SST Consulting Services Pty Limited v Rieson [2006] HCA 31

HIGH COURT OF AUSTRALIA

GLEESON CJ

GUMMOW, KIRBY, HAYNE, HEYDON AND CRENNAN JJ

SST CONSULTING SERVICES PTY LIMITED APPELLANT

AND

STEPHEN CHARLES RIESON & ANOR RESPONDENTS

SST Consulting Services Pty Limited v Rieson [2006] HCA 31

15 June 2006

S452/2005

ORDER

1. Appeal allowed with costs. 2. Set aside the orders of the Full Court of the Federal Court of Australia made on 15 February 2005 and, in their place, order that the appeal to that Court be dismissed with costs.

On appeal from the Federal Court of Australia

Representation:

C J Birch SC with K W Dawson for the appellant (instructed by Henderson Taylor Workplace Lawyers)

R I M Lilley with P R Franco for the respondents (instructed by Synkronos Legal)

Notice: This copy of the Court's Reasons for Judgment is subject to formal revision prior to publication in the Commonwealth Law Reports.

CATCHWORDS

SST Consulting Services Pty Limited v Rieson

Trade Practices – Restrictive trade practices – Exclusive dealing – Trade Practices Act 1974 (Cth) ("TPA"), s 47(1) – Loan agreement obliged borrower to acquire services of a particular kind from third persons specified by the lender – Lender thereby engaged in "exclusive dealing" in breach of s 47(1) of the TPA – Guarantors of loan sought to avoid enforcement of guarantee on basis that contract was void and unenforceable for illegality – Whether contract void or unenforceable for illegality – Relevance of other forms of relief available under ss 87 and 87A – Whether severance an exceptional form of relief – Whether TPA, s 4L permitted or required severance of the prohibited provision.

Statutes – Interpretation – Structure and meaning of s 4L – Whether s 4L engaged common law "rules" of severance – Whether identifiable "rules" of severance existed at common law – Relevance of rules of severance devised and applied in other contexts.