P J Magennis Pty Ltd v Commonwealth
Encyclopedia
P J Magennis Pty Ltd v Commonwealth (1949) 80 CLR
Commonwealth Law Reports
The Commonwealth Law Reports are the authorised reports of decisions of the High Court of Australia. The CLR are published by the Lawbook Company, a division of Thomson Reuters...

 382 is a High Court of Australia
High Court of Australia
The High Court of Australia is the supreme court in the Australian court hierarchy and the final court of appeal in Australia. It has both original and appellate jurisdiction, has the power of judicial review over laws passed by the Parliament of Australia and the parliaments of the States, and...

 case that deals with the Commonwealth's power of acquisition of property, which must be on just terms, as specified in section 51(xxxi) of the Australian Constitution
Constitution of Australia
The Constitution of Australia is the supreme law under which the Australian Commonwealth Government operates. It consists of several documents. The most important is the Constitution of the Commonwealth of Australia...

.

The Commonwealth government wished to purchase land for resettlement after World War II
World War II
World War II, or the Second World War , was a global conflict lasting from 1939 to 1945, involving most of the world's nations—including all of the great powers—eventually forming two opposing military alliances: the Allies and the Axis...

. Because the States are not required to acquire property on just terms, the Commonwealth government entered into a deal with the New South Wales
New South Wales
New South Wales is a state of :Australia, located in the east of the country. It is bordered by Queensland, Victoria and South Australia to the north, south and west respectively. To the east, the state is bordered by the Tasman Sea, which forms part of the Pacific Ocean. New South Wales...

 government, which would purchase the land for a lower price. The Commonwealth government would then pay the New South Wales government in the form of a grant (section 96
Section 96 of the Australian Constitution
Section 96 of the Constitution of Australia permits that the Australian Parliament is able, subject to the approval of the State concerned, to grant financial assistance to any State on the terms and conditions that it sees fit...

)

The majority characterised the law as being one of acquiring real property, instead of the grants power.

Consequently, the law was amended to remove references to the acquisition of property. This resulted in the later case of Pye v Renshaw
Pye v Renshaw
Pye v Renshaw 84 CLR 58 is a High Court of Australia case that deals with the effect of section 51 on section 96 ....

.

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