Boulton Factors (NSW) Pty Limited (In liq) v Walker, Leonard Roy & Anor [1998] FCA 754

IN THE FEDERAL COURT OF AUSTRALIA

NEW SOUTH WALES DISTRICT REGISTRY No. NG 3090 of 1997

BETWEEN: BOULTON FACTORS (NSW) PTY LIMTIED (IN LIQUIDATION) (ACN 003 532 590)

Applicant

AND: LEONARD ROY WALKER

First Respondent

PARA FACTORS PTY LIMITED (ACN 002 843 003)

Second Respondent

JUDGE: O'CONNOR J

DATE OF ORDER: 1 July 1998

WHERE MADE: SYDNEY

THE COURT ORDERS THAT: 1. The Applicant give further security for costs in the sum of $50,000 by depositing the said sum into ANZ Bank, Bathurst and Castlereagh Streets, Sydney, account number 3533-80328 by close of business on 5 August 1998. 2. The Applicant provide the particulars set out in the letter from Holman Webb to Brown & Partners dated 17 June 1998 by close of business on 31 August 1998. 3. The Applicant pay the Respondent's costs of today's proceedings. 4. These proceedings be stayed until such time as the further security for costs is provided. 5. Parties have liberty to apply on 3 days notice. NOTE: SETTLEMENT AND ENTRY OF ORDERS IS DEALT WITH IN ORDER 36 OF THE FEDERAL COURT RULES.

IN THE FEDERAL COURT OF AUSTRALIA

NEW SOUTH WALES DISTRICT REGISTRY no. NG 3090 of 1997

BETWEEN: BOULTON FACTORS (NSW) PTY LIMTIED (IN LIQUIDATION) (ACN 003 532 590)

Applicant

AND: LEONARD ROY WALKER

First Respondent

PARA FACTORS PTY LIMITED (ACN 002 843 003)

Second Respondent

JUDGE: O'CONNOR J

DATE: 1 JULY 1998

PLACE: SYDNEY

REASONS FOR JUDGMENT By notice of motion filed on 23 June 1998, the respondents have sought orders: (a) for particulars of the applicant's Further Amended Statement of Claim dated 5 June 1998; and (b) further security for costs in the sum of $50,000.

Particulars The applicant sought leave to file a Further Amended Statement of Claim dated 5 June 1997 which was not opposed by the respondents. The respondents submit that the Further Amended Statement of Claim does not address the significant deficiencies in earlier pleadings in terms of lack of proper particulars. The respondents submit that allegations of breach of directors duties, fraud and conspiracy (as alleged in the Further Amended Statement of Claim) are serious matters and therefore must be pleaded clearly and specifically and require proper particularisation. The respondents requests for particulars to the allegations in the Further Amended Statement of Claim is set out in correspondence from the respondents' solicitors, Holman Webb to the solicitors for the applicant, Brown & Partners, dated 17 June 1998. The applicant submits that upon an objective reading and assessment of the causes of action pleaded in the Further Amended Statement of Claim, full particulars have been provided and that there is no proper basis for the seeking of further and better particulars.