The Australian Competition and Consumer Commission will oppose the application made by Coles Myer Ltd and Liquorland (Aust) Pty Ltd to the High Court of Australia for orders preventing the production of relevant documents to an ACCC liquor investigation, which are claimed to be subject to legal professional privilege.

"The ACCC has sought the documents in relation to a major investigation it is conducting into alleged anti-competitive agreements which restrict liquor trading", Acting ACCC Chairman, Mr Rod Shogren, said today. "The ACCC fears that, if true, these alleged agreements may have forced consumers to pay higher prices for take-away liquor and to have less choice and convenience due to fewer competing liquor outlets.

"Woolworths Ltd recently made a similar application to the High Court for orders to prevent the production of legal professional privileged documents. The applications to the High Court follow the ACCC issuing section 155(1)(a) and (b) Notices on Woolworths Limited, Coles Myer Ltd and Liquorland (Australia) Pty Ltd (a subsidiary of Coles Myer) as part of its investigation. These notices required these companies to provide relevant information and documents, including documents which may be the subject of legal professional privilege.

"In March 2001, the Full Federal Court in the Daniels case upheld the ACCC's earlier claim that its powers under section 155 of the Trade Practices Act 1974 to gain access to relevant documents, extends to relevant documents which are subject to legal professional privilege. This decision is subject to a special leave to appeal application to the High Court of Australia. Since the Full Federal Court decision in Daniels the ACCC has sought, in limited circumstances, production of documents which may be the subject of legal professional privilege.

"The ACCC will be cooperating fully with Coles Myer and Woolworths in their High Court applications, so as to expedite the hearing of their claims that production of privileged documents should be deferred pending the High Court decision in the Daniels case".

Both applications are expected to be heard before the High Court in Sydney on Wednesday 7 November 2001.