Seventy newsagencies were represented in a meeting held in Melbourne yesterday to discuss Bill Express and the company’s removal of marketing subsidies which it used to promote the service into newsagencies. One hundred newsagents apologised in advance of the meeting for not being available to get away from their shops.
The newsagent-only meeting opened with three brief presentations:
- A summary of activity around Bill Express relating to its future.
- A summary of ACCC investigation into matters around representations to newsagents prior to their signing of agreements to take on Bill Express.
- An outline of proposed Federal Court action commenced by a group of newsagents convened through NANA and being prepared by Melbourne based QC Charles Sweeney and briefed by former General Manager of the ACCC and Barrister Hank Spier. The proposed court action is to focus on three respondents: Bill Express, Technology Business International and the Australian Newsagents’ Federation.
What followed was a discussion about the various options available to newsagents including the legal action proposed by the ANF against Bill Express over the contracts newsagents have with the company.
Some newsagents spoke to their specific circumstances, highlighting the difference in agreements and terms around Bill Express and related contracts with newsagents. Others spoke about the issue of due diligence of the agreements before they were put to newsagents. Others spoke to their contact with the company over the last six months and the challenge of accessing information necessary to them protecting their interests.
Concern was raised as to why VANA had not acted on this matter for Victorian newsagents. Ron McKinnis, VANA Chairman, spoke to the meeting, took on board the concerns raised about VANA apparent inaction and committed to taking these back to VANA.
While newsagents attending were angry and hurt at the serious financial situation they are in over Bill Express, the meeting was cordial, productive and co-operative.
All bar one person attending the meeting voted to support the Federal Court class action which has been commenced by NANA. The details of these newsagents have been provided direct to the legal counsel for inclusion in the list of newsagents prepared to financially support the action. The legal team will be in direct contact about progress of the matter through the Federal Court and assistance they may require – either financial or evidentiary as necessary.
We anticipate having a process established for other newsagents who want to offer direct support to the legal team in the same way.
The benefits of the NANA instigated Federal Court action already on foot over the proposed ANF action, as put to and discussed at the meeting yesterday are:
- It is independent of any party which may have a conflict in this matter.
- Work on the case is well advanced.
- Newsagents are not required to join any association to be part of or to support the action.
- No Association is controlling the agenda or briefing legal counsel.
In the course or organising the meeting Adam de Jong and myself took many calls from newsagents in tough circumstances. There were tears of stress over the financial hardship they now find themselves in over Bill Express unilaterally changing the terms of their agreement. While these stories were difficult to listen to, they reminded us of the personal impact the actions of Bill Express is having. They redoubled our commitment to yesterday’s meeting and ensuring that newsagents achieve a just outcome from the Bill Express mess.