Three Australia stevedores have agreed to change contract terms with land transport businesses after competition regulator the Australian Consumer and Competition Commission (ACCC) raised concerns.
The ACCC conducted an investigation into the contracts held by DP World Australia (DPWA), Hutchison Ports Australia (Hutchison) and Victoria International Container Terminal (VICT) and concluded they could be unfair.
The regulator pointed specifically at contract terms favoured by DPWA and Hutchison which allowed them to vary terms in agreements without notice, including fees paid by land transport operators, and other terms which limited their liability for loss or damage suffered by transport businesses, while not offering the transport businesses similar protections.
VICT’s contract required transport businesses to indemnify VICT for loss or damage, without a similar obligation in return.
DPWA’s standard agreement required transport businesses to pay the stevedore’s legal costs and expenses, rather than having those costs determined in court.
All three stevedores co-operated with the ACCC investigation, and as a result of their compliance ACCC commissioner Sarah Court said thousands of transport businesses, which have standard form agreements with DPWA, Hutchison and VICT, stand to benefit.
The agreement has been welcomed by the Australian Freight and Trade Alliance and the Container Transport Alliance of Australia, which had called for regulatory intervention.
The ACCC began its investigation early last year following concerns raised about alleged unfair terms.
