Month: March 2025

Source: Allens Insights (legal sector)

Impact on class action landscape: Victoria’s magnet effect 7 min read

In the first of a string of upcoming decisions about the class action landscape, the High Court of Australia handed down judgment in Bogan v Smedley on 12 March 2025.¹ The Court held that a group costs order (GCO) made in a class action commenced in the Supreme Court of Victoria could not travel to the Supreme Court of New South Wales and that, consequently, neither could the proceeding.

Key takeaways 

• GCOs will anchor proceedings to Victoria. Proceedings commenced in the Supreme Court of Victoria are likely to remain there once a GCO has been made—irrespective of whether another jurisdiction is the more appropriate forum, and particularly where the survival of the proceeding depends on the GCO.
• Timing of challenge is critical. Businesses facing a class action in the Supreme Court of Victoria should give early consideration, prior to any GCO being made, to whether it is appropriate to make an application to transfer the proceeding to another jurisdiction.
• The evolving funding landscape. While the decision consolidates Victoria’s position as a magnet for class action activity, the Federal Court is likely to remain the preferred jurisdiction for class action filings, a trend that can be seen in our recent report on class action risk.

Background

The legislative regime

Group costs orders

In every state and territory across Australia, legislation prohibits a law practice from charging contingency fees. Since July 2020, however, Victorian legislation has contained an exception for GCOs—orders allowing the representatives of plaintiffs in a class action to recover as costs a specified percentage of any award or settlement obtained in the proceeding.

To make a GCO, the Supreme Court of Victoria must be satisfied that it is ‘appropriate or necessary to ensure that justice is done in the proceeding’.²

Transfer of proceedings

At the heart of this proceeding was s1337H(2) of the Corporations Act 2001 (Cth), which allows a court to transfer a proceeding to another court if it appears to the first court that, ‘having regard to the interests of justice’, it is more appropriate for the second court to determine the matter.

Notably, this provision only applies to a proceeding with respect to a civil matter arising under, relevantly, the Corporations Act or the Australian Securities and Investments Commission Act 2001 (Cth) (ASIC Act).

The Arrium proceeding

On 14 August 2020, a class action was commenced in the Supreme Court of Victoria against the directors of Arrium Ltd (Arrium) and its auditor, alleging contraventions of the Corporations Act, the ASIC Act and the Australian Consumer Law. There was evidence that the proceeding was originally intended to be filed in the Supreme Court of New South Wales, where Arrium had its principal place of business and where the relevant events had largely taken place. The High Court inferred that the ultimate choice to file in Victoria rather than NSW was to take advantage of the availability of GCOs.

The plaintiffs applied for a GCO on 2 February 2021. On 26 February 2021, one of the defendants applied to transfer the proceeding to the Supreme Court of New South Wales.

The Supreme Court of Victoria made orders that the GCO application be determined first, before the transfer application. As noted by the High Court, no objection was taken to that order at the time. A GCO was then made in favour of the plaintiffs’ solicitors entitling them to 40% of any award or settlement (the Arrium GCO).

The transfer application was not ultimately dealt with by the Supreme Court of Victoria. Instead, three questions arising on that application were removed to the Victorian Court of Appeal:

1. whether the Arrium GCO would remain in force if the proceeding were transferred to the Supreme Court of New South Wales;
2. if not, whether the absence of the Arrium GCO in the Supreme Court of New South Wales was a relevant factor to the transfer application; and
3. whether the proceeding should be transferred.

Decision of the Victorian Court of Appeal

In respect of those questions, the Victorian Court of Appeal unanimously held that:

1. the Arrium GCO would not remain in force if the proceeding were transferred to the Supreme Court of New South Wales;
2. this was relevant to (and decisive of) the transfer application; and
3. the proceeding should not be transferred.

The same questions were subsequently removed to the High Court for determination.

Summary of findings

A majority of the High Court (Chief Justice Gageler, Justices Gordon, Gleeson, Jagot and Beech-Jones ) and Justice Edelman (in separate reasons) reached the same conclusion on each question as the Court of Appeal. Justice Steward disagreed on the second question, holding that the availability or not of a GCO in the Supreme Court of New South Wales was not relevant to the transfer application.

Would the Arrium GCO remain in force in NSW?

The parties agreed that the Supreme Court of New South Wales had no power to make an order in the nature of the Arrium GCO. The issue for the High Court instead turned on whether a provision of the Corporations Act would give legal force to the Arrium GCO if the proceeding were transferred.

The High Court held that it would not. To the contrary, the provision could only apply if the Supreme Court of New South Wales had power to make an order providing for at least ‘similar steps’ to the Arrium GCO. The parties agreed it did not have that power and, accordingly, the Arrium GCO could not be carried into NSW. 

Was the absence of the Arrium GCO relevant to the transfer application?

The majority held that the absence of the Arrium GCO could not be ignored in considering whether transfer to NSW was in ‘the interests of justice’. Importantly, it was agreed between the parties that there was not a realistic prospect of alternative funding being obtained in the absence of the Arrium GCO. In this regard the majority stated that the capacity of the plaintiffs and class members to obtain access to justice ‘bear[s] vitally’ on the interests of justice,⁴ a sentiment echoed by Justice Edelman.⁵ In the views of the majority and Justice Edelman, these matters were decisive of the transfer application because, on the facts of the case, there was a ‘considerable risk’ that the proceeding would not be able to continue without the GCO.⁶

By contrast, Justice Steward held that the Arrium GCO was not relevant to, and so not determinative of, the transfer application. His Honour disagreed with the majority on the basis that a GCO offers a plaintiff an advantage (a way of ensuring the financial viability of a proceeding) and imposes on a defendant a corresponding disadvantage (being subjected to a proceeding which would not be viable in any other jurisdiction). To consider the Arrium GCO a relevant factor would, in his Honour’s view, be for the court to ‘play favourites’.⁷ As his Honour noted, NSW did not cease to be a place where the plaintiffs could obtain justice merely because Victoria introduced laws introducing an exception to an otherwise national ban on contingency fees, and nor did those laws mean NSW was not a suitable forum in which to litigate class actions.

Will a GCO always anchor proceedings to Victoria?

The majority also noted that common factors bear on the determination of GCO applications and transfer applications. As noted above, the former involves consideration of whether the GCO is appropriate or necessary to ensure that justice is done, while the latter involves an inquiry into ‘the interests of justice’. While the High Court stopped short of articulating a general rule, its reasoning suggests that where a GCO has been made (because the court is satisfied that it is appropriate or necessary to ensure that justice is done), that will tend in favour of it being in the interests of justice that the proceeding remains in Victoria.

Looking ahead

One route not taken by the parties in this case was to challenge the sequence in which the Supreme Court of Victoria dealt with the GCO and transfer applications. If the transfer application was heard before the making of the GCO, the transfer application would have been decided by reference only to the connections the proceeding had to Victoria and NSW respectively. It remains to be seen what the attitude of the courts will be to that kind of challenge, however, it may be one strategy open to parties faced with similar circumstances in future.

The majority’s reasoning also suggests a potential shift in the High Court’s approach to considering factors relevant to the ‘interests of justice’ and similar assessments. The High Court previously held that whether an action can proceed is not relevant to that inquiry.⁸ By contrast, in Bogan v Smedley, the majority and Justice Edelman held that whether the action could proceed was relevant to an inquiry into whether the transfer was ‘in the interests of justice’. As further matters come before the High Court which require a similar analysis, it will be interesting to monitor the extent to which the Court considers the survival of a proceeding to be relevant to ‘ensuring justice is done’.

Source: Australian National Party

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Source:

Our engagement with Next 5,000 privately owned and wealthy groups reveals a range of common capital gains tax (CGT) mistakes. These are usually the result of the mischaracterisation of information and poor record keeping. They include:

• cost base errors
• reporting of transactions in the wrong year, or not at all
• incorrect characterisation of ordinary income as capital income
• beneficiaries that fail to gross up discounted share of capital gain distributed by trusts
• unsubstantiated carried forward capital losses
• inability to substantiate assets sold to related parties.

Consequences for getting things wrong 

Failing to correctly prepare tax returns can lead to audits and amendments. These can be time consuming and costly, highlighting the importance of accurate CGT reporting and record keeping.

For example, a Next 5,000 group incorrectly characterised a transaction as ordinary income instead of capital income when lodging their tax return. The group acquired a property while it was in the process of being subdivided and developed, and shortly afterwards marketed the property for sale.

During our audit, we concluded the property sale wasn’t simply the mere realisation of an asset but part of a profit-making undertaking where the intention was to generate a return.

We amended the group’s tax returns, which increased their tax liability by over
$5 million, plus penalties and interest of over $1 million.

To avoid these type of issues, you should note that certain capital losses, disposals, and business CGT concession claims will attract our attention.

How to get things right

To ensure compliance and accuracy in CGT reporting, you need to:

• understand the nature of the transaction and asset
• keep records of everything that may be relevant to working out whether you’ve made a capital gain or loss from a CGT event
• obtain independent professional valuations to support assets sold between related parties.

By addressing these key areas, Next 5,000 groups can ensure compliance and avoid the pitfalls associated with CGT errors.

Keep up to date

We have tailored communication channels for medium, large and multinational businesses, to keep you up to date with updates and changes you need to know.

Read more articles in our online Business bulletins newsroom.

Subscribe to our free:

• fortnightly Business bulletins email newsletterExternal Link
• email notifications about new and updated information on our website – you can choose to receive updates relevant to your situation. Choose the ‘Business and organisations’ category to ensure your subscription includes notifications for more Business bulletins newsroom articles like this one.

Source: New South Wales Community and Justice

Firearms and ammunition surrendered to police during amnesty drive

Monday, 24 March 2025 – 11:10 am.

Police continue to encourage Tasmanians to surrender illegal or unwanted firearms and related items, after eight firearms and a large quantity of ammunition were surrendered as part of a mobile amnesty drive over the weekend. 
“As part of a firearms amnesty drive across the state over the weekend, eight firearms and a large quantity of ammunition were surrendered to police,” said Assistant Commissioner Adrian Bodnar.
“This is eight firearms now out of our community that can’t get into the wrong hands and be used to commit crime or cause harm.” 
Included in the surrendered firearms were one shotgun, three rifles, two air rifles, one pistol and one gel blaster that has the appearance of a firearm. 
“While it’s pleasing that people surrendered these items, we know there continues to be people in our community that have illegal or unwanted firearms, which is a concern.” 
“Under Tasmania’s permanent firearms amnesty you can surrender illegal or unwanted firearms, firearm parts, ammunition, or gel blasters that have the appearance of a firearm at any time without fear of being prosecuted for the possession.” 
“If you have items to surrender, or you know of someone who has illegal firearms, please contact police on 131 444.” 
Crime Stoppers Tasmania Ambassador, Mark Mewis said, “if you suspect that someone has an illegal firearm or ammunition, you can help keep your community safe by sharing what you know with Crime Stoppers.” 
“The public can provide information anonymously to Crime Stoppers, safely and without the need to say who you are, get involved, or put yourself at risk of harm. Submit your tip at crimestopperstas.com.au or on 1800 333 000,” added Mr Mewis.”

Source: New South Wales Community and Justice

Man charged after police seize shortened semi-automatic rifle from vehicle

Monday, 24 March 2025 – 10:19 am.

A man has been charged with multiple firearms and drug-related offences after police seized a shortened semi-automatic rifle and a significant quantity of cash during a vehicle search at Westbury yesterday.
Uniform officers from Central North attempted to intercept a vehicle on Mary Street before locating the vehicle parked behind a Westbury business.
The driver – a 33 year old Kings Meadows man- was drug tested and returned a positive result.
During a subsequent search of his vehicle, police located and seized a shortened semi-automatic rifle, quantities of methylamphetamine, illegal stimulants and prescription drugs and more than $120,000 in cash believed to be proceeds of crime.
The driver was charged with multiple firearm and drug-related offences, including possess prohibited firearm to which a firearms licence may not be issued, possess shortened firearm, possess controlled drug and dealing with property suspected of being proceeds of crime.
He was detained to appear in the Launceston Magistrates Court today.

Source: Australia Safe Travel Advisories

23/03/2025

Issued: 23 March 2025

Today is World Meteorological Day and an opportunity to recognise the contributions of national weather and water agencies across the world.

The World Meteorological Organization (WMO), the specialised agency of the United Nations for meteorology, operational hydrology and related geophysical sciences, commemorates World Meteorological Day on 23 March each year. This year also marks the 75th anniversary of the establishment of the WMO.

The Bureau of Meteorology continues to play a leading role in supporting Pacific Islands nations to prepare for and respond to the impacts of severe weather and a changing climate. The Bureau engages in several initiatives in the Pacific region aligned to this year’s theme of “Closing the early warning gap”.

In partnership with the Pacific Meteorological Council, the Bureau supports the Weather Ready Pacific (WRP) program, to enhance early warning systems and increase climate resilience in the Pacific.

As part of the initiative, the Bureau provides technical guidance and advice to help the Pacific improve its infrastructure, systems and training.

General Manager of International Development, Dr Andrew Jones said the program supports the Pacific region in benefiting from advances in forecast and warning systems for weather, hydrological and oceanic events, enabling increased accuracy specificity and lead times of forecasts.

“Severe weather events devastate Pacific Island communities through loss of life and damage to homes and infrastructure, agricultural lands, livelihoods, and economies,” Dr Jones said.

“Climate change escalates the Pacific’s vulnerability to extreme events by increasing their intensity and/or frequency.

“The Bureau supports Pacific meteorological leaders in providing technical guidance and advice to ensure that every Pacific Island person will be safer from severe weather and the impacts of climate change.”

The Bureau also works with stakeholders in Pacific Island countries to adapt to and mitigate the impacts of climate variability through the Climate and Oceans Support Program in the Pacific (COSPPac) and, in collaboration with the World Meteorological Organization and the Papua New Guinea Weather Service, the Climate Risk and Early Warning Systems Papua New Guinea (CREWS-PNG).

Dr Jones said Papua New Guinea’s diverse topography and highly variable rainfall means a limited rain gauge network is insufficient to accurately assess rainfall distribution.

“The Bureau’s technical advice of extensive and uniform coverage of satellite-based precipitation observations provide a more precise picture of rainfall,” Dr Jones said.

“CREWS-PNG closes the early warning gap, benefiting over 200 users in agriculture, water, energy, and emergency services with improved decision-making and climate resilience.

“Meteorology operates outside of political and geographical boundaries. The Bureau works with partners in other countries, sharing information and resources to benefit people in Australia and around the world.”

Find out more information about the Weather Ready Pacific (WRP) program here: Program Summary and about World Meteorological Day here: World Meteorological Day

ENDS…

Source: Murray Darling Basin Authority

The Albanese Government has reached an agreement with the Crisafulli Government to put all state schools in Queensland on a path to full and fair funding.
 
Today’s agreement means that all public and state schools in the country are on a path to full and fair funding and all jurisdictions in Australia have now signed on to the Better and Fairer Schools Agreement.
 
As part of the Heads of Agreement signed today, the Commonwealth will provide an additional 5 per cent of the Schooling Resource Standard (SRS) to Queensland.
 
This will lift the Commonwealth’s contribution from 20 per cent to 25 per cent of the SRS by 2034.
 
This will see an estimated $2.8 billion in additional Commonwealth funding to Queensland state schools over the next 10 years.

This agreement will see the biggest injection of funding ever delivered for Queensland state schools.
 
As part of the Agreement, Queensland will remove the provision allowing them to claim 4 per cent of state school funding for indirect school costs such as capital depreciation and replace it with 4 per cent of recurrent funding on eligible expenses.
 
Commonwealth funding will be tied to the reforms needed to lift education standards across the country, including more individualised support for students.

This is not a blank cheque. The Agreement signed today will be followed by a Queensland Bilateral Agreement, which will tie funding to reforms that will help students catch up, keep up and finish school, such as: 

• Year 1 phonics and early years of schooling numeracy checks to identify students in the early years of school who need additional help.
• evidence-based teaching and targeted and intensive supports such as small-group or catch-up tutoring to help students who fall behind.
• initiatives that support wellbeing for learning – including greater access to health professionals.
• access to high-quality and evidence-based professional learning, and
• initiatives that improve the attraction and retention of teachers and reduce teacher and school leader workload.

In addition to these reforms, the Agreements have targets, including that by 2030 the proportion of students finishing high school will be the highest it has ever been. Other targets include:

• Reducing the proportion of students in the NAPLAN ‘Needs Additional Support’ proficiency level for reading and numeracy by 10 per cent.
• Increasing the proportion of students in the ‘Strong’ and ‘Exceeding’ proficiency levels for reading and numeracy by 10 per cent by 2030 and trend upwards for priority equity cohorts in the ‘Strong’ and ‘Exceeding’ proficiency levels.
• Increasing the Student Attendance Rate, nationally, to 91.4 per cent (2019 level) by 2030.
• Increasing the engagement rate (completed or still enrolled) of initial teacher education students by 10 percentage points to 69.7 per cent by 2035.
• Increasing the proportion of students leaving school with a Year 12 certificate by 7.5 percentage points (nationally) by 2030.

 This means more help for students and more support for teachers.
 
Quotes attributable to Prime Minister Anthony Albanese:
 
“Building Australia’s Future means investing in the next generation.
 
“That’s why every dollar of this funding will go into helping children learn and participate in school.
 
“We know that education opens the doors of opportunity, and we want to widen them for every child in Australia.
 
“This is about investing in real reform with real funding – so Australian children get the best possible education.”
 
Quotes attributable to Queensland Premier David Crisafulli:
 
“We’re proud to have secured the biggest funding boost ever delivered to Queensland state schools, because that’s what our children deserve.
 
“This funding will raise the bar in classrooms across Queensland, giving our students a world class education and the support needed to succeed.
 
“We are backing our schools and teachers so they can boost participation rates and unlock our kids full potential.
 
“We are putting Queensland children on the path to a better education, so they can have a better future.”
 
Quotes attributable to Minister for Education Jason Clare:
 
“This is a big day for Queensland state schools.
 
“I want to pay tribute to Premier Crisafulli and Minister Langbroek for their commitment to getting this done.
 
“This is real funding tied to real reforms to help students catch up, keep up and finish school.

“It’s not a blank cheque. I want this money to get results.

“That’s why funding will be directly tied to reforms that we know work.

“It will help make sure every child gets a great start in life. What every parent wants. And what every Australian child deserves.” 
 
Quotes attributable to Queensland Minister for Education and The Arts John-Paul Langbroek:
 
“I want to thank Prime Minister Albanese and Minister Clare for their perseverance throughout negotiations and their collaborative efforts to get this deal done.
 
“These agreements truly signify a fresh start for Queensland state schools, we know this funding is needed across the state and I will work with my Department to put this money to best use in every aspect of our education system.
 
“The education outcome targets within this agreement also reaffirm our commitment at a state level to ensure all Queensland children have access to a world-class education.”

Source:

There have been large protests across Türkiye, including in Istanbul, in recent days. Demonstrations and protests may continue and may turn violent. A protest ban is in effect and there are restrictions to freedom of movement for those suspected of participating in protests. This is likely to be strictly enforced. Avoid protests and large public gatherings. Monitor the media and follow the advice of local authorities (see ‘Safety’).

There have been several recent deaths reported in Istanbul and Ankara from methanol in counterfeit drinks. Stick to reputable venues and be wary of suspiciously cheap alcohol (see ‘Safety’).

You’ll need an e-visa for tourism or business if you’re staying for less than 90 days (see ‘Travel’).

Source: Assistant Minister for Industry, Innovation and Science

The Albanese Labor Government and Minns Labor Government are working together to deliver more critical frontline family, domestic and sexual violence services in NSW.

Both governments have demonstrated their commitment to ending gender-based violence by renewing the five-year National Partnership Agreement on Family, Domestic and Sexual Violence Responses.

Under the agreement, the Australian Government will provide an additional $110.6 million to NSW to bolster family, domestic and sexual violence services and action in the state.

This additional investment will bring the total Commonwealth funding by the Albanese Government for NSW to $210.6 million since 2022.

Minister for Social Services, Amanda Rishworth, said renewing the FDSV National Partnership demonstrated the dedication of governments to making real and meaningful change for Australians.

“Under the National Plan to End Violence against Women and Children 2022-2032, all governments have made a commitment to ending gender-based violence in Australia, which requires us to come together and focus efforts and funding where it is needed most for victim-survivors and people at risk of violence,” Minister Rishworth said.

“This funding and renewed agreement with NSW will strengthen funding to frontline services and further our shared goal of creating a safer Australia.”

Minister for the Prevention of Domestic Violence and Sexual Assault Jodie Harrison said addressing domestic, family and sexual violence is priority for the NSW Government.

“We welcome the additional $110 million from the Federal Government under the National Partnership Agreement. With matched funding by the NSW Government, we will be focusing on the important work of driving down the prevalence of domestic, family and sexual violence in our state.”

The renewed FDSV National Partnership will deliver over $700 million across all jurisdictions in new, matched investments from the Commonwealth and states and territories, supporting frontline FDSV services, including specialist services for women and children impacted by FDSV, and men’s behaviour change programs.

An additional $1 million will also be used for an independent evaluation of the renewed FDSV National Partnership.

More information on the FDSV National Partnership Agreement is available on the Federal Financial Relations website.

If you or someone you know is experiencing, or at risk of experiencing domestic, family and sexual violence, you can call 1800RESPECT on 1800 737 732, text 0458 737 732 or visit www.1800respect.org.au for online chat and video call services:

• Available 24/7: Call, text or online chat
• Mon-Fri, 9am – midnight AEST (except national public holidays): Video call (no appointment needed)

If you are concerned about your behaviour or use of violence, you can contact the Men’s Referral Service on 1300 766 491 or visit www.ntv.org.au

Feeling worried or no good? Connect with 13YARN Aboriginal & Torres Strait Islander Crisis Supporters on 13 92 76, available 24/7 from any mobile or pay phone, or visit www.13yarn.org.au No shame, no judgement, safe place to yarn.

Source: Northern Territory Police and Fire Services