Document ID: chunk:federal_register_of_legislation:F2021C00201:clause:1_14
Version: federal_register_of_legislation:F2021C00201
Segment Type: clause
Provision Reference: sch 1 cl 14
Character Range: 21267–22846

14  Payments for wastage
 (1) The retailer or wholesaler must not directly or indirectly require a supplier to make any payment to cover any wastage of groceries incurred at premises of:
 (a) the retailer or wholesaler; or
 (b) a contractor or agent of the retailer or wholesaler; or
 (c) any other entity that is a retailer or wholesaler.
 (2) Subclause (1) does not apply if:
 (a) the relevant grocery supply agreement sets out expressly and unambiguously the circumstances, which could include negligence, in which the supplier will be required to make payments to cover wastage of the supplier's groceries incurred at premises of a person or entity referred to in subclause (1); and
 (b) the wastage occurs in such circumstances; and
 (c) the basis of the payment is set out in the grocery supply agreement; and
 (d) the payment is reasonable having regard to the retailer's or wholesaler's costs incurred by the wastage; and
 (e) the retailer or wholesaler takes reasonable steps to mitigate those costs.
 (3) In any dispute, the retailer or wholesaler has the onus of establishing the matters in subclause (2).
 (4) If:
 (a) the relevant grocery supply agreement provides for the supplier to make payments to cover wastage of the supplier's groceries; and
 (b) the supplier seeks to negotiate a variation of the agreement relating to payments of that kind;
the retailer or wholesaler must not, in the course of the negotiations or as a precondition to entering into the negotiations, seek to negotiate other variations of the agreement unrelated to payments of that kind.