BHG Nominees Pty Ltd v Ellis Young Investments Pty Ltd (in liq) [2000] FCA 419

FEDERAL COURT OF AUSTRALIA

BHG Nominees Pty Ltd v Ellis Young Investments Pty Ltd (in liq)

[2000] FCA 419

TRADE PRACTICES – misleading or deceptive conduct – whether letter contained representation pleaded concerning profitability of business – effect of conduct on reasonable members of class to which "representation" directed – whether "representation" false – whether reliance by applicant – inference to be drawn from applicant's failure to call own accountant – accessorial liability. Trade Practices Act 1974 (Cth) ss 52, 75B

Taco Co of Australia Inc v Taco Bell Pty Ltd (1982) 42 ALR 177 referred to Elders Trustee and Executor Co Ltd v EG Reeves Pty Ltd (1987) 78 ALR 193 referred to Sutton v AJ Thompson Pty Ltd (In liq) (1987) 73 ALR 233 at 239-240 referred to Argy v Blunts & Lane Cove Real Estate Pty Ltd (1990) 26 FCR 112 referred to Tobacco Institute of Australia Ltd v AFCO (1992) 38 FCR 1 at 49-50 referred to Wardley Australia Ltd v Western Australia (1992) 175 CLR 514 at 525 Yorke v Lucas (1985) 158 CLR 661 referred to Jones v Dunkel (1959) 101 CLR 298 at 308 applied

BHG NOMINEES PTY LTD (ACN 073 195 025) v ELLIS YOUNG INVESTMENTS PTY LTD (ACN 055 198 055) & ORS

VG336 of 1998

WEINBERG J 5 APRIL 2000 MELBOURNE

IN THE FEDERAL COURT OF AUSTRALIA

VICTORIA DISTRICT REGISTRY VG 336 OF 1998

BETWEEN: BHG NOMINEES PTY LTD (ACN 073 195 025)

APPLICANT

AND: ELLIS YOUNG INVESTMENTS PTY LTD (ACN 055 198 055)

FIRST RESPONDENT

COLIN ALAN ELLIS

SECOND RESPONDENT

IL WOLLERMANN PTY LTD (ACN 005 645 134)

THIRD RESPONDENT

IAN LAURIE WOLLERMANN

FOURTH RESPONDENT

JUDGE: WEINBERG J

DATE OF ORDER: 5 APRIL 2000

WHERE MADE: MELBOURNE

THE COURT ORDERS THAT: 1. The application be dismissed. 2. The applicant pay the second, third and fourth respondents' costs. Note: Settlement and entry of orders is dealt with in Order 36 of the Federal Court Rules.