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A Tale Of Two Cities: From Davids Holdings To Metcash, George A. Hay, E. Jane Murdoch

George A. Hay

In 1994, the Full Federal Court upheld the decision of the trial judge to prevent the acquisition of QIW by Davids, on the grounds that, Davids would become the only supplier of groceries to independent retailers in the geographic market. While the independent retailers faced significant competition in the downstream (retail) business from the integrated retail chains, the Court found that such competition would not be sufficient to prevent the exercise of monopoly power in the upstream (wholesale) business. In 2011, the Full Federal Court upheld the decision of the trial judge not to prevent the acquisition by Metcash of …