Parras Holdings Pty Ltd & Ors v Commonwealth Bank of Australia [1998] FCA 682

FEDERAL COURT OF AUSTRALIA BANKING - Nature of banker/customer relationship examined - whether notice of demand must be given - what is adequate notice. MORTGAGES - what demand is required - whether notice of demand may be given simultaneously with demand on principal debtor - what particulars are required in a s 57 notice - whether a s 57 notice may operate as a demand for other purposes - possession. GUARANTEES- what demand is required - whether notice may be given simultaneously with demand on principal debtor - whether demand may be made for moneys not due and payable by principal debtor - whether nature of guarantee overridden by indemnity clause. Federal Court of Australia Act 1976 (Cth) - ss 22, 23 and 32 Real Property Act (NSW)1900, ss 57, 58 and 60 Trade Practices Act 1974 (Cth)

"The Law relating to Bank and Customer in Australia", Weaver & Craigie ,1st ed, pp 193-4

Ankar Pty Limited v National Westminster Finance (Australia) Limited (1987) 162 CLR 549 Anshun Pty Ltd v Port of Melbourne Authority [No 2] (1981) 147 CLR 589 Bunbury Foods Pty Limited v National Bank of Australasia Ltd (1984) 153 CLR 491 Commonwealth Bank of Australia v Stow (Supreme Court of New South Wales, 21 February 1989, unreported), Brownie J Cripps (R.A.) & Son Ltd v Wickenden [1973] 1 WLR 944 Photo Production Ltd v Securicor Transport Ltd [1980] AC 287 Rouse v Bradford Banking Co [1894] AC 586 Williams and Glyn's Bank v Barnes [1981] Com LR 205 PARRAS HOLDINGS PTY LIMITED & ORS v COMMONWEALTH BANK OF AUSTRALIA Davies J. 12 June 1998 Sydney

IN THE FEDERAL COURT OF AUSTRALIA ) NEW SOUTH WALES DISTRICT REGISTRY ) No. NG 478 of 1992 GENERAL DIVISION ) BETWEEN: PARRAS HOLDINGS PTY LIMITED (A.C.N. 003 546 807) First Applicant/First Cross-Respondent FULANGA PTY LIMITED (A.C.N. 001 796 354) Second Applicant/Second Cross-Respondent PHONTOS INVESTMENTS PTY LIMITED (A.C.N. 000 870 762) Third Applicant/Third Cross-Respondent ILANZ PTY LIMITED (A.C.N. 001 885 392) Fourth Applicant/Fourth Cross-Respondent P & E PHONTOS PTY LIMITED (A.C.N. 000 870 771) Fifth Applicant/Fifth Cross-Respondent DOVIZO PTY LIMITED (A.C.N. 003 932 269) Sixth Applicant/Sixth Cross-Respondent PETER PHONTOS Seventh Applicant/Seventh Cross-Respondent ELLI PHONTOS Eighth Applicant/Eighth Cross-Respondent HARRYPHILLIP COSTAS Ninth Applicant/Ninth Cross-Respondent MARY COSTAS Tenth Applicant/Tenth Cross-Respondent MICHAEL PHONTOS Eleventh Applicant/Eleventh Cross-Respondent SIBARD PTY LIMITED (A.C.N. 003 575 291) Twelfth Applicant SHIMCOST PTY LIMITED (A.C.N. 003 355 048) Thirteenth Applicant SPOTEK PTY LIMITED (A.C.N. 050 325 212) Fourteenth Applicant/Twelfth Cross-Respondent AND: COMMONWEALTH BANK OF AUSTRALIA (A.C.N. 123 123 124) Respondent/Cross-Claimant Coram: Davies J Date: 12 June 1998 Place: Sydney MINUTES OF ORDER ON THE CROSS-CLAIM THE COURT ORDERS THAT: 1. There be judgment for the Cross-Claimant: (a) Against each of the first to tenth Cross-Respondents in the sum of $7,203,496.42. (b) Against the eleventh Cross-Respondent in the sum of $7,474,740.26. (c) Against the twelfth Cross-Respondent in the sum of $55,925.49. 2. The Cross-Claimant have possession of the whole of the lands contained in: (a) Folio Identifier 1/SP39048, being the lands known as and situated at Unit 1, 13-15 Wharf Road, Gladesville. (b) Folio Identifier 2/SP39048, being the lands known as and situated at Unit 2, 13-15 Wharf Road, Gladesville. (c) Folio Identifier 2/SP33486, being the lands known as and situated at Townhouse 2, 16 Bannerman Street, Cremorne. (d) Folio Identifier 2/12055, being the lands known as and situated at 4 Garrick Avenue, Hunters Hill. (e) Folio Identifiers A/331102 and B/186122, being the lands known as and situated at 1-3 Linsley Street, Gladesville. (f) Folio Identifier 3/12055, being the lands known as and situated at 4 Crescent Street, Hunters Hill. (g) Folio Identifier 2/SP35236, being the lands known as and situated at Unit 2, 1st Floor, Linsley Street, Gladesville. 3. The Cross-Claimant have leave to issue forthwith a writ of execution in respect of the said lands. 4. The Cross-Respondents pay the Respondent's/Cross-Claimant's costs of the cross-claim. Note: Settlement and entry of orders is dealt with in Order 36 of the Federal Court Rules.