Federal Court of Australia
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JUDGMENT Now Aol Dy mene
IN_THE FEDERAL COURT OF AUSTRALIA ) GENERAL DIVISION ) QLD BN798 of 1984
BANKRUPTCY DISTRICT OF THE SQUTHERN ) DISTRICT OF THE STATE OF QUEENSLAND
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RE: FREDERICK JOSEPH LORY and THE TRUSTEE OF THE PROPERTY OF FREDERICK JOSEPH LORY
Bankrupt EX PARTE: HAROLD FREDERICK STEVENS
Applicant MINUTES OF ORDER JUDGE MAKING ORDER: PINCUS J. DATE OF ORDER: 3 SEPTEMBER 1987 WHERE MADE: SYDNEY
THE COURT ORDERS THAT:
The applicant have leave to commence proceedings in the Supreme Court of Queensland against Frederick Joseph Lory by writ in or substantially in the form marked "A" annexed to the affidavit of Peter John Luscombe filed herein.
Settlement and entry of orders is dealt wi Rule 124 of the Bankruptcy Rules.
— FEDERAL COURT 1 . AUSTRALIA OF
IN THE FEDERAL COURT OF AUSTRALIA GENERAL DIVISION
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QLD BN798 of 1984
BANKRUPTCY DISTRICT OF THE SOUTHERN ) DISTRICT OF THE STATE OF QUEENSLAND )
RE: FREDERICK JOSEPH LORY and THE TRUSTEE OF THE PROPERTY OF FREDERICK JOSEPH LORY
Bankrupt EX PARTE: HAROLD FREDERICK STEVENS
Applicant
PINCUS J. 3 SEPTEMBER 1987
REASONS FOR JUDGMENT
The applicant, who desires to start proceedings in the Supreme Court of Queensland against the bankrupt, Mr. F.J. Lory, seeks leave to do so pursuant to s.58(3)(b) of the Bankruptcy Act 1966. The proceedings which the applicant desires to institute in that Court are for damages for negligence, negligent misstatement,
breach of fiduciary duty, fraud and fraudulent misrepresentation.
The relevant parts of s.58(3) read as follows:
"Except as provided by this Act, after a debtor has become a bankrupt, it is not competent for a creditor -
(b) except with the leave of the Court and on such terms as the Court thinks fit, to commence any legal proceeding in respect of a provable debt
The first question is whether the proposed proceedings are "in
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