First payments of almost $3 million from the Stevedoring Industry Reform Small Business Compensation Fund will be paid this week.
"Almost $3 million will be paid to businesses which suffered loss and damage as a result of the waterfront dispute which occurred last year," Acting ACCC Chairman, Mr Allan Asher, said today.
"In September 1998, the ACCC established a trust fund of up to $7.5 million to compensate businesses which suffered loss and damage when cargo was held up by boycott conduct at a number of Australian and overseas ports.
"The ACCC's position was that intervention was necessary in order to prevent significant financial harm, particularly to small business which was unable to take its own private legal action.
"The first tranche of payments, totalling $2.9 million, will be paid to approximately 70 businesses which made claims on the fund for economic loss incurred during the dispute. Included in this number are numerous small businesses, as well as a number of exporters who had cargo on the Columbus Canada, which was stranded off the Los Angeles coast for a number of weeks during the dispute due to boycott activity in the US.
"This is a very positive result for many small businesses which suffered significant losses during the dispute due to factors totally outside their control. Had they been forced to pursue their own private legal action it is likely that most would still be waiting to have their claims for compensation determined by the courts.
"Further payments, up to a further $4.5 million, are likely to be made out of the trust fund during the next 12 to 18 months".
"Almost $3 million will be paid to businesses which suffered loss and damage as a result of the waterfront dispute which occurred last year," Acting ACCC Chairman, Mr Allan Asher, said today.
"In September 1998, the ACCC established a trust fund of up to $7.5 million to compensate businesses which suffered loss and damage when cargo was held up by boycott conduct at a number of Australian and overseas ports.
"The ACCC's position was that intervention was necessary in order to prevent significant financial harm, particularly to small business which was unable to take its own private legal action.
"The first tranche of payments, totalling $2.9 million, will be paid to approximately 70 businesses which made claims on the fund for economic loss incurred during the dispute. Included in this number are numerous small businesses, as well as a number of exporters who had cargo on the Columbus Canada, which was stranded off the Los Angeles coast for a number of weeks during the dispute due to boycott activity in the US.
"This is a very positive result for many small businesses which suffered significant losses during the dispute due to factors totally outside their control. Had they been forced to pursue their own private legal action it is likely that most would still be waiting to have their claims for compensation determined by the courts.
"Further payments, up to a further $4.5 million, are likely to be made out of the trust fund during the next 12 to 18 months".