Shaddock; Ex Parte Commonwealth Bank of Australia [1998] FCA 355

FEDERAL COURT OF AUSTRALIA

BANKRUPTCY - bankruptcy notice - application for extension of time for compliance - application filed one day after act of bankruptcy - whether power to extend time under ss 41(5), 41(7), 41(6A) or 33(1)(c) of the Bankruptcy Act 1966 (Cth) - s 41(6A) when application filed after the expiration of time fixed for compliance with the requirements of the bankruptcy notice - whether amount claimed in notice was an overstatement - mortgagee in possession of land - claim for overstatement for failure to account for agistment income and occupation rent during possession, failure to credit at the proper time the proceeds of the sale conversion of chattels - mismanagement of property - Counter‑claim, set‑off or cross demand equal to, or exceeding the debt claimed under s 41(7) - requirements for establishing - need to establish a prima facie case - whether bankruptcy notice defective because of an overstatement of the amount of interest - calculation of interest in a leap year - whether notice irregular on its fact because an understatement of the amount of interest claimed - whether notice defective because misleading and unclear what amount to be paid - use of the words "and not more" to define debt.

Bankruptcy Act 1966 (Cth): s 33(1)(c), s 41(5), s 41(6A), s 41(6C), s 41(7)

Ebert v The Union Trustee Company of Australia Limited (1960) 104 CLR 346- followed and applied Re Brink; Ex parte Commercial Banking Co of Sydney Ltd (1980) 30 ALR 433 - followed Re Clubb; Ex parte Clubb v Westpac Banking Corporation (1990) 93 ALR 123 - distinguished Re The Bankruptcy Act 1966; Ex parte Commercial Banking Co of Sydney Ltd (1979) 23 ALR 522 - distinguished Kleinwort Benson Australia Limited v Crowl (1988) 165 CLR 71 - applied Re Farrugia; Ex parte Deputy Commissioner of Taxation (NSW) (1988) 80 ALR 651 - followed Re Hanby; Ex parte Flemington Central Spares Pty Ltd (1967) 10 FLR 378 - followed Re Vella; Ex parte Seymour (1983) 67 FLR 287 - followed Livestock Traders International Pty Ltd v Bui (1996) 22 ACSR 51 - considered Graywinter Properties Pty Ltd v Dyer (1997) 15 ACLC 302 - considered Re Sterling; Ex parte Esanda Ltd (1980) 44 FLR 125 - followed Streimer v Tamas (1981) 54 FLR 253 - followed Re Wilhelmsen; Ex parte Gould (1986) 11 FCR 107 - followed RE: SHADDOCK; EX PARTE COMMONWEALTH BANK OF AUSTRALIA VG 7800 of 1997 GOLDBERG J MELBOURNE 9 APRIL 1998