Case: Hospitality Group Pty Ltd v Australian Rugby Union Ltd [2001] FCA 1040 ; (2001) 110 FCR 157
Outcome: referred to
Tickets issued by the ARU which are in substance the same as the tickets for the Perth Test, have already been the subject of consideration by this Court: Hospitality Group Pty Ltd v Australian Rugby Union Ltd [2001] FCA 1040 ; (2001) 110 FCR 157. This decision, in its application to this case, is to the effect that each ticket comprises a licence from the ARU to the bearer for admission to Subiaco Oval for the purpose of watching the match, in consideration of payment of the ticket price. The case did not concern s 45 of the Act . 7 The following condition is printed on each ticket for the Perth Test ("the Ticket Condition"): Sale of this ticket creates a contract between the ARU and the purchaser which gives the purchaser a transferable but conditional licence for admission to the specified match. The licence will automatically terminate if the purchaser or any subsequent transferee: (a) resells this ticket at a premium; (b) resells the is ticket through a broker or agent; (c) advertises or offers this ticket for resale on the internet or in any other medium; or (d) uses this ticket for advertising, promotion or other commercial purpose (including competitions or trade promotions) or to enhance the demand for other goods or services, without the prior, written permission of the ARU. The ARU has the right to deny admission if the licence has terminated. 8 The Ticket Condition prohibits the resale of the ticket at a premium, that is, at a price higher than the amount for which it was sold by the ARU, as well as use of the ticket for commercial purposes, without the prior written permission of the ARU. If the condition is breached, the ARU is entitled to deny admission to any bearer: Hospitality Group at [103]-[105] and [136]. 9 There is an immediate and direct relationship between the Ticket Condition and the SFC Contract Condition. The SFC Contract Condition amounts to a pre-emptive refusal on the part of the ARU to give permission to the SFC to use the tickets to be provided under the SFC Contract for commercial purposes by way of supplying them to CSA. Such permission under the Ticket Condition is necessary before tickets can be used for commercial purposes. The use of tickets for commercial purposes without such permission constitutes a breach of the Ticket Condition. 10 The written evidence of Mr Eddie Moore, Head of ARU's Operations, as to the justification for the Ticket Condition and its enforcement by the ARU, is to the following effect. It is to ensure that the purchaser of a ticket to the Perth Test or any Rugby Union test match does not pay more than the face value price appearing on the ticket. This objective is consistent with the ARU's responsibility to promote and advance the sport of Rugby Union because it maximises public access to Rugby Union tests through the various channels available to a wide cross-section of the public. In addition, the Ticket Condition assists the ARU in protecting an important revenue stream from the sale of hospitality packages which is in turn invested into the Rugby Union game. In particular, by imposing the Ticket Condition, the purpose of the ARU is to: (a) prevent scalping and a black market in tickets at inflated prices; (b) ensure that all members of the public within the various groups that attend Rugby Union tests, including those who wish to use corporate hospitality packages, have purchased the same product at the same price; (c) prevent confusion amongst the public as to which agents are official and authorised to sell tickets on behalf of the ARU and those who are not; (d) prevent persons such as CSA from increasing the cost of corporate hospitality associated with Rugby Union tests in an era when re-building is the focus of the ARU.