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4 Found helpful • 2 Pages • Essays / Projects • Year: Pre-2021
The grants power under s 96 explicitly states ‘parliament may grant financial assistance to any state on any such terms … as the parliament thinks fit’, allowing specific terms and conditions to grants (Mason J in AAP). Primarily, constitutional limitations did not apply to the grants power, demonstrated by Moran where discrimination or preferential treatment of states is permissible. However, grants are subject to limitations, such as s 116, and the acquisition of property on just terms as demonstrated in ICM case, which narrowed the scope of Pye v Renshaw. This essay will discuss in detail the limitations of s 96, and whether s 96 effectively allows the Commonwealth the power to extend its legislative powers.
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