Container recycling depot operator U Can Recycle has launched a multi-million dollar lawsuit against Container Exchange (COEX), alleging it was misled into believing it would operate a new depot in Beenleigh, south of Brisbane.

The company is seeking more than $5 million in damages, claiming COEX acted unconscionably in its dealings. In response, COEX has raised serious allegations against the operator, including claims of employees sleeping on depot floors, miscounting containers, and working outside visa conditions.

The dispute has escalated to the Federal Court of Australia, where the court is considering whether claims against COEX should proceed. The case follows broader scrutiny of the Containers for Change program, with multiple allegations previously referred to authorities.