Pye v Renshaw
Encyclopedia
Pye v Renshaw 84 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...

 58 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 effect of section 51(xxxi)
Section 51(xxxi) of the Australian Constitution
Section 51 of the Constitution of Australia is a subsection of Section 51 of the Constitution of Australia providing that the Commonwealth has the power to make laws with respect to "the acquisition of property on just terms from any State or person for any purpose in respect of which the...

 (the Commonwealth's power to acquire property on just terms) on 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 grants power).

This case followed from P J Magennis Pty Ltd v Commonwealth
P J Magennis Pty Ltd v Commonwealth
P J Magennis Pty Ltd v Commonwealth 80 CLR 382 is a High Court of Australia case that deals with the Commonwealth's power of acquisition of property, which must be on just terms, as specified in section 51 of the Australian Constitution....

, which held that a Commonwealth law to purchase land via 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 was invalid. The Commonwealth amended the law, such that the reference to acquisition of land was removed.

The Court held that the law was valid; thus, the Commonwealth was able to get around the restrictions in section 51(xxxi) by ensuring that the law could not be characterised as land acquisition. Hence, section 51(xxxi) does not restrict the section 96 grants power.

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