ACC and Coles headed for an April trial

ACC and Coles headed for an April trial

Commercial
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Australian Country Choice and supermarket giant, Coles, are headed to court in April over claims Coles was breaching contractual obligations by selling ACC beef products overseas.

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Managing Director David Foote speaking at the Rural Press Club in Brisbane in August.

Managing Director David Foote speaking at the Rural Press Club in Brisbane in August.

Australian Country Choice has been successful in its bid to block supermarket giant, Coles, from selling ACC products overseas – at least until May 2018. 

ACC filed legal proceedings in October alleging Coles has repeatedly breached its contractual obligations.

Coles’ undertaking will be in effect until those legal proceedings, which have been set down for trial for ten days from 30 April 2018, are heard.

Managing Director David Foote said ACC would suffer significant reputational and relationship damage if Coles was allowed to keep building an overseas sales business using ACC products.

“ACC has spent many years carefully building its brand and reputation for high quality meat, offal and other products, investing in and developing specialist export teams and cultivating a network of overseas customers,” Mr Foote said.

“Today’s undertaking is significant because it allows ACC’s valued and unique vertically integrated business model to remain intact.

“We believe Coles’ conduct, if left unchecked, would allow them to take charge of the relationship with our overseas clients and the goodwill in our brand.

“ACC values its long-term partnership with Coles and we have always honoured the contracts agreed with them but, in recent years, this hasn’t been reciprocated by the Coles management team.”

ACC employs more than 1,400 staff at various sites across Queensland from Cannon Hill to the Gulf of Carpentaria.

Fairfax Media’s original story on the legal proceedings between Coles and ACC can be viewed here.  

The story ACC and Coles headed for an April trial first appeared on Queensland Country Life.

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