Patrick v Capital Finance Pty Ltd (No 2) [2002] FCA 1570

FEDERAL COURT OF AUSTRALIA

Patrick v Capital Finance Pty Ltd (No 2) [2002] FCA 1570 TRADE PRACTICES –– misleading and deceptive conduct –– representative proceedings – prospectus issued for stage production "Crazy For You" – applicant invested money in stage production – tax-driven investment scheme – loans made to investors – assignment of loans – use of investors' funds – purchase of term bonds as security – representations made in prospectus – allegation that representations as to use of investors' funds were misleading – knowledge of respondents – claim of aiding and abetting misleading conduct – whether case to answer CONTRACT –– agreements underpinning investment scheme – obligations of various respondents –– allegations of breach of contractual obligations – claim of interference with contractual relations – whether case to answer EQUITY – investment scheme – Crazy For You investors' fund – investors' representative – trustee – fiduciary duties – trust property – allegations of breach of fiduciary duties – claim of accessorial liability – Barnes v Addy claim – whether case to answer PRACTICE AND PROCEDURE – applicant's case closed –– no-case submission – relevant principles – causes of action related –– evidentiary hiatus – whether case to answer Income Tax Assessment Act 1936 (Cth) Trade Practices Act 1974 (Cth) ss 51A, 52, 75B Union Bank of Australia Pty Ltd v Puddy [1949] VLR 242 applied Prentice v Cummins (No 5) [2002] FCA 1503 referred to Jones v Dunkel (1959) 101 CLR 298 referred to Rasomen v Shell Company of Australia Ltd (1997) 75 FCR 216 referred to Protean (Holdings) Ltd v American Home Assurance Co [1985] VR 187 referred to Residues Treatment & Trading Co Ltd v Southern Resources Ltd (1989) 52 SASR 54 referred to Preston v Dowell (1987) 45 SASR 111 referred to Trade Practices Commission v Allied Mills Industries Pty Ltd (1981) 37 ALR 225 referred to James v Australia and New Zealand Banking Group Ltd (1986) 64 ALR 347 referred to Sargent v ASL Developments Ltd (1974) 131 CLR 634 cited Yorke v Lucas (1985) 158 CLR 661 cited Barnes v Addy (1874) LR 9 Ch. App. 244 referred to Royal Brunei Airlines v Tan [1995] 3 WLR 64 cited WILLIAM GEORGE DOUGHTY PATRICK (for himself and as representing the persons referred to in paragraph 1 of the Statement of Claim) v