← All Authorities
Australia penalty clauses and liquidated damagesguarantees and indemnitiesunconscionability

Paciocco v ANZ Banking Group Ltd (Full Federal Court)

(2015) 236 FCR 199
JurisdictionAustralia
CourtFull Federal Court of Australia
Year2015
StatusPersuasive authority

Summary

Full Federal Court held that bank late payment fees were not penalties or unconscionable under consumer protection law as they bore a genuine pre-estimate of loss or legitimate commercial interest.

Key Principle

late payment fees; penalty; consumer protection; whether fees proportionate to cost of breach

Area of Law

banking

Related Cases

Westpac Banking Corporation v Lenthall (2019) 272 CLR 1

A bank owes a duty of care to guarantors to take reasonable steps to ensure they understand the nature and effect of the guarantee under the Code of Banking Practice.

AUSTRAC v Commonwealth Bank of Australia [2018] FCA 930

CBA liable for systemic AML/CTF Act contraventions including failure to report suspicious matters and threshold transactions via intelligent deposit machines, resulting in $700 million civil penalty.

Andrews v ANZ Banking Group (Exception Fees) [2012] HCA 30

Bank exception fees may constitute unenforceable penalties if they are extravagant or unconscionable in comparison to the lender's greatest loss from breach.

Ask CommonBench about this case

Get a detailed analysis of Paciocco v ANZ Banking Group Ltd (Full Federal Court) and how it applies to your situation.

Explain Paciocco v ANZ Banking Group L...