Competition & Consumer Protection

Omni Bridgeway will book a smaller-than-expected loss from its investment in failed shareholder class actions against the Commonwealth Bank of Australia that it spent close to $10 million on, having curbed its exposure by selling a stake in the group proceedings.

The law firm behind a class action over cancelled Qantas flights has confirmed the case continues despite a $120 million settlement with the consumer regulator, and has called on the airline to follow through on its pledge to restore customers’ confidence.

Qantas will pay a $100 million penalty and another $20 million in compensation in a settlement of the ACCC’s so-called ghost flights case that includes an admission by the airline that it engaged in misleading and deceptive conduct in selling tickets for cancelled flights.

A judge has questioned the “independent skill and judgment” applied to the pleading in a third class action filed against International Capital Markets over risky derivative products, amid a “hot contest as to carriage and forum”.

The law firm and funder that ran a class action against Retail Food Group on behalf of current and former franchisees of its Michel’s Patisserie chain will be out of pocket, after the company agreed to a settlement under which it will pay nothing.

ASIC has brought proceedings against renewables company Magnis Energy Technologies and its executive chairman for allegedly misleading the market about the capabilities and funding for the company’s “flagship” battery production facility in New York. 

Fashion retailer Mosaic Brands has flagged various COVID-related defences to a case brought by the Australian Competition and Consumer Commission alleging it failed to deliver several hundred thousand products to customers within advertised time frames.

Aussie Skips is not appealing a finding that it engaged in serious criminal cartel conduct but will challenge the size of the $3.5 million penalty, a court has been told.

Sydney lawyer and wealth guru Dominique Grubisa is challenging a finding in an ACCC case that her seminars made misleading statements and has sought to pause the court action until her appeal is heard, a bid a judge has warned won’t be “favourably received” by him.

The Environmental Defenders Office has lodged a complaint with ASIC on behalf of a member of UniSuper, accusing the Australian superannuation fund of greenwashing its products by mislabelling them as ‘sustainable’.