ANZ's bank fees action goes to High Court

The plaintiffs in the class action against ANZ over the alleged over-charging of penalty fees will have their appeal against an adverse ruling in the Federal Court heard by the High Court. The hearing is likely to be in August.

The bank is defending a class action being brought against it by 34,000 claimants who seek the refund of an estimated A$50 million in fees. The claimants say the fees are void or unenforceable.

Litigation funder IMF (Australia) is funding the case, with law firm Maurice Blackburn managing the action.

A ruling by Justice Michelle Gordon in December analysed 17 different fees across four ANZ product categories, using examples from the accounts of three customers selected by Maurice Blackburn.

The ruling dealt mainly with whether the fees levied by ANZ - $35 in most cases - were the result of a breach by the customers of their contracts with the bank.

Gordon ruled that 13 of the 17 fees "are not capable of being characterised as a penalty".

It is this ruling on a point of law - rather than the facts of the case, such as ANZ's rationale for the level of the fees - that the High Court will consider.

Justice Gordon also ruled that four late payment fees on consumer credit cards and commercial cards "are capable of being characterised as a penalty".