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The Federal Court of Australia (FCA / Court) recently delivered reasons that materially changed the accepted approach to employment contract set-off clauses, a mechanism employers have long used to offset higher payments in one pay period against lower payments in another.

On November 3, Parliament passed the Fair Work Amendment (Baby Priya’s) Bill 2025, protecting paid parental leave in tragic situations where the child is stillborn or dies.

Clauses that attempt to bind parties to contractual terms through their conduct, commonly known as “deemed acceptance” clauses, are prevalent across many service industries. These clauses often assert that a party has agreed to the service provider’s terms simply by engaging in some form of conduct with them. However, such provisions face significant legal hurdles under Australian Consumer Law (ACL) as well as the Unfair Contract Terms (UCT) regime.
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