The Australian Competition and Consumer Commission has sought special leave to appeal to the High Court over certain aspects of the decision of the Full Federal Court in its case against Australian Safeway Stores Pty Ltd.

The decision of the Full Federal Court, handed down on 30 June 2003, partially upheld the ACCC's appeal against a decision of a single judge of the Federal Court that Safeway had not engaged in price fixing and misuse of market power.

The Full Federal Court unanimously held that the ACCC had established that Safeway had engaged in price fixing in relation to the price of bread to be sold at the Tip Top Bakeries store located in Preston markets.

The majority of the court found that on four of nine instances pleaded against Safeway the company had misused its market power as a wholesale purchaser of bread for an anticompetitive purpose.

The court held that Safeway had not engaged in misuse of market power in respect of the other five instances pleaded by the ACCC. It is these instances on which the ACCC has sought leave to appeal.

Safeway has also filed an application for special leave to appeal both the findings of misuse of market power and price fixing.

MR 157/03

29 July 2003