Gough & Gilmour Holdings Pty Ltd v Caterpillar of Australia Pty Ltd
[2009] FCA 1429
At a glance
Source factsCourt
Federal Court of Australia
Decision date
2009-12-02
Before
Carter J, Flick J
Source
Original judgment source is linked above.
Judgment (11 paragraphs)
REASONS FOR JUDGMENT (Revised from Transcript) 1 On 6 October 2009 the Applicant filed in this Court an Application and a Statement of Claim. 2 On 2 November 2009 the proceeding first came before the Court. Directions were then made for the filing and service of an Amended Application and an Amended Statement of Claim. An Amended Statement of Claim was filed on 6 November 2009. No Amended Application has as yet been filed. 3 The proceeding came back before the Court on 30 November 2009 when a Notice of Motion was then filed seeking leave "to serve the Application and Statement of Claim" on the Second, Third and Fourth Respondents overseas. 4 No Defences have as yet been filed. 5 The Applicant essentially seeks relief in respect to the termination of "Dealership Agreements" whereby an exclusive dealership was said to have been conferred for the sale of Caterpillar machines in New South Wales and the Australian Capital Territory. There was apparently an agreement executed in 1989 as between a wholly owned subsidiary of the Applicant, Gough & Gilmour Pty Ltd, and the First Respondent. A second agreement is also relied upon, being one executed on 1 July 1991 between the Applicant and the First Respondent. This second agreement is said to have "replaced the earlier such agreements executed in 1989 …". A further agreement is said to have been executed as between the Applicant and the First Respondent on 12 November 1997. The 1991 and 1997 agreements are defined in the Amended Statement of Claim as being the "Dealership Agreements". Notice of termination is said to have been given on 7 October 2003 and the Dealership Agreements are said to have been terminated "on [or] around 6 April 2004". 6 The Applicant contends in its Amended Statement of Claim that the Dealership Agreements contain a term implied as a matter of law that in respect to the agreements "the parties … would exercise their rights … reasonably and in good faith". The manner in which it is said that the First, Third and/or Fourth Respondents "failed to act reasonably and in good faith, with due regard to the objects of the Dealership Agreements, and thereby breached this term of the Dealership Agreements" is said to be particularised in Schedule A to the Amended Statement of Claim. That Schedule provides in relevant part as follows: 1. Acting to terminate the Dealership without regard to the possibility of permitting the Dealership to remain on foot on terms which would have allowed G&G to enjoy the trust and confidence of COA, CAT, COCC and CSARL. 2. Failing to engage in good faith negotiations with G&G for the Dealership to remain on foot on terms which would have preserved to both G&G and COA, CAT, COCC and CSARL the commercial benefits of the Dealership. "G&G" is a reference to the Applicant; "COA" is a reference to the First Respondent; "CAT" is a reference to the Second Respondent; "COCC" is a reference to the Third Respondent and "CSARL" is a reference to the Fourth Respondent. 7 It is further alleged that the First and Second Respondents engaged in conduct which is said to be the making of representations as to future matters within the meaning of s 51A of the Trade Practices Act 1974 (Cth) (the "Trade Practices Act"). Reliance is also placed upon s 52 of that Act. Equitable estoppel and unconscionable conduct are also alleged in the Amended Statement of Claim. 8 The First Respondent is Caterpillar of Australia Pty Ltd. The First Respondent has been served and a Notice of Appearance was filed on its behalf on 9 November 2009. The Second Respondent, Caterpillar Inc, is said to be "one of the world's largest manufacturers of engines, tractors, trucks, bulldozers and similar earth-moving and materials handling equipment". The Third Respondent is Caterpillar Overseas Credit Corporation S.A. The Fourth Respondent is Caterpillar S.A.R.L. 9 Now before the Court is the Notice of Motion filed on 30 November 2009 seeking orders pursuant to O 8 r 3(2) of the Federal Court Rules to serve "the Application and the Statement of Claim": · on the Second Respondent in the United States of America; · on the Third Respondent in Switzerland; and · on the Fourth Respondent in Switzerland. Presumably the relief which is sought is the grant of leave to serve any Amended Application that may be filed and the Amended Statement of Claim on those Respondents. The Motion is supported by two Affidavits of Mr Michael Harmer - one affirmed on 30 November 2009 and the other on 2 December 2009. A number of the Exhibits to the former Affidavit of Mr Harmer have also been tendered. Notwithstanding service on the First Respondent, that Respondent did not seek to appear on the hearing of the present Motion and the application thus proceeded ex parte.