This is an unusual and complex case heard by the Court of Appeal, Supreme Court of Queensland. It concerns an application by Brisbane City Child Care Pty Ltd (applicant) for leave leave to appeal against the decision of a judge in a lower court to dismiss the applicant's case.
The facts of the case, in summary, are that the applicant owned and operated a childcare centre and they entered into a contract to sell the child care centre to a
third party (Affinity Education Group Ltd). The Regulatory Authority (Queensland Department of Education) issued the required consent
to the transfer of the service approval for the childcare centre under
the National Law on conditions relating to fire and emergency evacuation and egress, and educator-child ratios, amongst other matters (under s.66(2)). Affinity withdrew from the purchase due to the conditions. The applicant did not accept that Affinity was entitled to
terminate the contract. The Authority subsequently repealed its decision to
issue the consent to the transfer of the service approval. Before the lower court the
applicant sought a declaration that the imposition of the conditions on
the consent to the transfer of the service approval was beyond power. The primary judge considered it inappropriate to grant the relief
that the applicant sought on the basis of lack of utility, the third
party was not a party to the proceeding and the applicant was seeking an
advisory opinion. However, the Court of Appeal granted leave to appeal and referred the matter back to a lower court for trial, remarking (at paras. 62-3):
The ongoing
relationship between the parties in relation to the sale of the child care
centre is a relevant
consideration for addressing the substantive dispute between them. Although the objective and
guiding principles of the National Law and the objectives of the national
education and care
services quality framework must be at the forefront of the decision-making of
the Authority, the
dispute between the applicant and the Authority is not about avoiding best practice in the
provision of a child care service, but about the timing and content of
condition that can be
imposed by the Authority in relation to the transfer of the service approval.
The applicant’s
notice of appeal did seek orders from this Court in relation to the proper construction of
s 65(2) and s 66(2) of the National Law. The application for leave to appeal
was argued on the
basis, however, of endeavouring to show that leave to appeal should be given
and that, if the
appeal were allowed against the summary dismissal of the proceeding by the
primary judge, the
matter should be remitted to the Trial Division for the substantive issues
between the parties to be
decided. All that needs to be observed at this stage in relation to the
substantive issues is that
the applicant’s construction of s 66(2) of the National Law is sufficiently
arguable in the context of
the other provisions of the National Law, but particularly division 3 of part
3, to warrant
consideration on the merits.