The Australian Competition and Consumer Commission has instituted proceedings in the Federal Court, Perth, alleging contraventions of the secondary boycott* provisions of the Trade Practices Act 1974 by the Construction Forestry Mining and Energy Union (CFMEU), the Construction Forestry Mining and Energy Union of Workers (CFMEUW) and three union members.
The ACCC has alleged that on 16 April and 4 November 2004 the CFMEU, CFMEUW and a number of union members engaged in conduct that contravened section 45D of the Act by hindering or preventing the supply of goods or services by third parties to Doric Constructions Pty Ltd at the then Holiday Inn construction site in Burswood, Western Australia.
The ACCC is seeking:
- declarations that the conduct contravened section 45D of the Act
- injunctions restraining similar conduct in the future
- pecuniary penalties against CFMEU and CFMEUW only
- orders requiring the CFMEU and CFMEUW to implement a trade practices compliance program
- orders requiring the CFMEU and CFMEUW to publish a notice to members detailing the substance of the Court orders, and
- costs.
The matter has been listed for a directions hearing in the Federal Court, Perth on 15 December 2005.
*A secondary boycott involves action by two or more people acting in concert, which prevents a third party, such as a potential customer or supplier, from dealing with or doing business with the target. It is prohibited under section 45D of the Trade Practices Act 1974 where the purpose and effect (or likely effect) of the conduct is to cause substantial loss or damage to the target.