The incident seriously disrupted the live export trade and the immediate shipping of 72,000 sheep from Portland, Vic.

But Justice Gray dismissed the legal case by Rural Export and Trading (WA) and Samex against the activist on the grounds that Mr Hahnheuser had been acting in the interests of environmental protectionism, given sheep are part of the environment.

He also believed Mr Hahnheuser had not intended to hinder trade.

The Victorian Farmers Federation financially supported the exporters in their action, through the Farmers Fighting Fund.

The VFF has strongly criticised the Federal Court decision.

Livecorp chief executive, Cameron Hall, has since endorsed the VFF criticism, saying, "This sets a dangerous precedent for damaging acts performed by animal activists against livestock industries across Australia."

Mr Hahnheuser is no longer an activist with Animal Liberation and could not be contacted but a spokesman for the group said it would continue to educate the public on the "shameful way" animals are treated through the live export trade.

"We will continue to defend the animals who cannot defend themselves," the spokesperson said.

It is not known whether Rural Export and Trading (WA) and Samex will appeal against the ruling, with support from the VFF.

But VFF livestock president, Ailsa Fox, said new federal legislation regarding the Trade Practices Act had passed in recent months to further protect legitimate business against such activity.

SOURCE: Extract from report in Stock & land, Vic, October 11.