https://www.accc.gov.au
The ACCC had appealed the 2019 judgment of the Federal Court which held that the acquisition would not be likely to substantially lessen competition due to an undertaking that Pacific National had offered the Court.
While the ACCC was successful in relation to a number of legal issues, the Full Court found there was insufficient evidence to establish that the acquisition was likely to result in a substantial lessening of competition, and dismissed the ACCC's appeal.
Although the majority of the Full Court agreed with the ACCC's position on the meaning of 'likely', the case hinged on the ACCC establishing the likelihood of another player seeking to enter the market in the next five to ten years. The Full Court considered that the prospect of new entry was no more than speculative.
"This was a particularly important case for
The result of the Full Court's decision is that Pacific National's acquisition of the
"This is also a sad day for the economy, because the ACCC's view is that the prospects of competition in rail freight have been significantly diminished and the impacts of this will be with us for more than a decade,"
The ACCC's case was that Pacific National's ownership of the
"We will now carefully consider the Full Court's judgment. The ACCC will continue to consider what changes are needed to make
Notes to editors
The term 'intermodal' freight is used to describe the carriage of general freight usually in a container using two or more modes of transportation, such as truck and rail. 'Intermodal rail linehaul' refers to the rail leg of the movement of intermodal freight. 'Steel rail linehaul' refers to similar services that are provided in respect of steel products.
An intermodal terminal, such as the
Background
The ACCC commenced proceedings on
The ACCC was concerned that the acquisition of the
The ACCC had commenced a public investigation of
The Federal Court dismissed the ACCC's proceedings on
The ACCC lodged an appeal on
.
(C) 2020 M2 COMMUNICATIONS, source