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Home · Legal News · Northern Territory And Coca-Cola In Legal Row
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Northern Territory And Coca-Cola In Legal Row
The row between the Northern Territory in Australia and corporate giants Coca-Cola Amatil is due to continue after the global company left open the possibility of seeking legal action against the proposed scheme to offer cash for used bottles and cans.The idea was to offer a cash incentive (of 10c) for used cans and bottles in an effort to eradicate the area of rubbish and littering while at the same time encourage recycling among its citizens. While it appears a good prospect on paper, the drinks giant argued that it will mean an extra tax on its products and, in turn, this could lead to a fall in sales.
Environment Minister Karl Hampton recently went public by asking Coca-Cola to rule out any possibility that they will take legal action over the scheme however the corporation, while not explicable saying that they would take the matter to court, have not completely ruled out the possibility. They, Coca-Cola, said that they have been actively involved in promoting and encouraging recycling over the years and believe that there are better and more efficient ways in which to do it. The basis of their argument lies in the fact that their lawyers have advised that the Northern Territory’s scheme directly clashes with the Mutual Recognition Act.
However South Australia run a very similar recycling project but is exempt under the above act and therefore not eligible to be taken to court. That being said, the beverage giant has no immediate plans to take this issue to court and hope that it can be sorted out amicable and without legal proceedings.
01.10.2011. 09:10