Air New Zealand and Indonesias National Airline

Air New Zealand and Indonesias National Airline In a cartel case Involving Air New Zealand and Indonesia's National Airline,Garuda Indonesia,the Federal Court ruled last month both Airlines fixed surcharges using an industry wide index known as the Lufthansa Index. But the case failed because the surcharges were imposed on inbound cargo to Australia and therefore did not affect a market in Australia. Prices may well have been affected in Australia by the conduct but that does not mean the market in which the airlines were competing was located here,Federal Court judge Nye Perram said. However,Dave Poddar, a partner at law firm Clifford Chance, said price-fixing provisions under the new cartel laws would have applied to conduct outside the Australian market. Almost certainly under the current law it would've been a different outcome,poddar said. The price fixing provisions under the new laws are seemingly broader in their application which arguably extends th...