Allstate Life Insurance Co & Ors v Australia & New Zealand Banking Group Ltd & Ors [1995] FCA 553

CATCHWORDS Practice and Procedure - security for costs - discretion ALLSTATE LIFE INSURANCE CO. & ORS. v AUSTRALIA AND NEW ZEALAND BANKING GROUP LIMITED & ORS No. G381 of 1994 BEAUMONT J. SYDNEY 6 JULY 1995

IN THE FEDERAL COURT OF AUSTRALIA ) ) NEW SOUTH WALES DISTRICT REGISTRY ) No. G381 of 1994 ) GENERAL DIVISION ) BETWEEN: ALLSTATE LIFE INSURANCE CO. & OTHERS Applicants AND AUSTRALIA AND NEW ZEALAND BANKING GROUP LIMITED & OTHERS Respondents

CORAM: Beaumont J. DATE: 6 July 1995 REASONS FOR JUDGMENT (On application for security for costs) In the context of applications made on behalf of the respondents for security for costs, counsel for the applicants submitted that, in the exercise of its discretion, the Court should refuse to order security because of the action of some of the respondents in moving for a stay of similar proceedings brought by the applicants in New York. The stay was successfully sought on the "forum non conveniens" ground. The applicants submit that, those respondents having compelled them to litigate in this country, they should not now be able to require security on the footing that the applicants are foreign corporations.

Counsel for the applicants referred to the decision given by Patterson J. in proceedings brought in the United States by several of the parties to these proceedings and to his orders and reasons for judgment dated 21 December 1992 (see Allstate Life Insurance Co. v Linter Group Ltd., unreported, 21 December 1992). There, Patterson J. concluded (at A142-143): For the reasons set forth above, the Linter Defendants' motion to dismiss this action on the basis of comity and the Bank Defendants' motion to dismiss this action on the ground of forum non conveniens are granted. This entire action is dismissed.