Business and Corporations Law Big Oil Ltd is a wholly owned subsidiary of the Really Big Oil Group of Companies. In 1993 it entered into a deal with...

Business and Corporations LawBig Oil Ltd is a wholly owned subsidiary of the Really Big Oil Group of Companies. In 1993 it entered into a deal with the Victorian Government to build an oil refinery in a region near Portland in Western Victoria in the council district of Portland. The agreement was therefore between Big Oil Ltd and the Victorian Government. One term of this contract was that Big Oil was entitled to transfer its interest in the refinery to any company in which it held 40% of the shares. In addition the Victorian Government agreed to lift planning restrictions against this type of development on this occasion, as the community benefit was seen to override any other considerations.On the strength of this agreement (but as a completely separate contract) Big Oil Ltd entered into a separate contract with the Council of Portland.As part of the deal the following term was included in the contract with Portland Council:•