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VCAT matters diverted to Magistrates Court due to ‘constitutional reasons’
Parties that are unable to hear their matters in the Victorian Civil and Administrative Tribunal due to constitutional reasons will now be directed to the Magistrates Court under new legislation passed by the Victorian Parliament earlier this year.
Naomi Neilson
Following a Court of Appeal ruling in Meringnage v Interstate Enterprises & Ors that found the Victorian Civil and Administrative Tribunal (VCAT) could not hear matters between states or with residents in different states, the Victorian government has passed new legislation that will transfer these matters to the Magistrates Court.
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As a result of the Meringnage v Interstate Enterprises & Ors ruling, recent High Court and Victorian Court of Appeal decisions have left residents without “legal recourse” because the Court of Appeal made it clear that VCAT cannot hear federal jurisdiction matters, such as those disputes between residents of different states.
To resolve this new issue, the Victorian Parliament passed the Victorian Civil and Administrative Tribunal and Other Acts Amendment (Federal Jurisdiction and Other Matters) Act 2021 that “created a pathway for parties to resolve disputes that VCAT cannot hear for constitutional reasons” within the Magistrates Court.
“The act overcomes this significant access to justice issues by creating new processes that enable affected parties to resolve these kinds of disputes in the Magistrates Court,” the Victorian Department of Justice confirmed in the recently released 2020-21 annual report into the Victorian court and justice system.
In addition to not hearing matters between residents of different states, VCAT cannot hear matters that involve the Commonwealth either suing or being sued; involving the constitution or its possible interpretations; or arising under any new laws that may have been passed by its Commonwealth Parliament counterpart.
If VCAT determines it does not have jurisdiction due to the change in legislation, any fees will be refunded. The new legislation has also confirmed that past VCAT decisions involving federal jurisdiction matters remain effective.
“Such measures give affected parties much-needed certainty and ensure that Victorians can continue to have their federal jurisdiction matters resolved in a way that is accessible, low-cost and as user-friendly as possible,” the annual report said.
