Darelvale Holdings Australia Pty Ltd v Waterjet Designs Pty Ltd [2003] FCA 863

FEDERAL COURT OF AUSTRALIA

Darelvale Holdings Australia Pty Ltd v Waterjet Designs Pty Ltd [2003] FCA 863

COURTS – practice and procedure – applicant a "two-person" company with paid-up capital of $2 – whether security for costs should be ordered – whether security should be discounted for delay and other relevant factors

Federal Court of Australia Act 1976 (Cth) s 56 Federal Court Rules 1979 (Cth) O 28 r 3(1) Corporations Act 2001 (Cth) s 1335

Beach Petroleum NL v Johnson (1992) 7 ACSR 203 – cited Rosenfeld Nominees Pty Ltd v Bain & Co (1988) 14 ACLR 467 – cited Acohs Pty Ltd v Merck Ltd (Unreported, Merkel J, 20 June 1997) – cited Costa Vraca v Bell Regal Pty Ltd [2003] FCA 65 at [77] - cited Idoport Pty Limited v National Australia Bank Limited [2001] NSWSC 744 – cited Bryan E Fencott and Associates Pty Ltd v Eretta Pty Ltd (1987) 16 FCR 497 - cited DARELVALE HOLDINGS AUSTRALIA PTY LTD ACN 075 201 286 v WATERJET DESIGNS PTY LTD ACN 095 911 229, GABRIEL CARDAMONE AND MICHAEL BUKOVAC V 337 of 2002 MERKEL J 27 AUGUST 2003 MELBOURNE

IN THE FEDERAL COURT OF AUSTRALIA

VICTORIA DISTRICT REGISTRY V 337 OF 2002

BETWEEN: DARELVALE HOLDINGS AUSTRALIA PTY LTD

ACN 075 201 286

APPLICANT

AND: WATERJET DESIGNS PTY LTD

ACN 095 911 229

FIRST RESPONDENT

GABRIEL CARDAMONE

SECOND RESPONDENT

MICHAEL BUKOVAC

THIRD RESPONDENT JUDGE: MERKEL J

DATE OF ORDER: 27 AUGUST 2003

WHERE MADE: MELBOURNE

THE COURT ORDERS THAT: 1. Within 28 days of the date of this order the applicant provide security for costs in the sum of $20,000 in the form of a bank guarantee, or such other form as a Registrar of the Court approves. 2. Reserve liberty to the respondents to apply for a further order for security in accordance with the reasons for judgment given in this matter. 3. The costs of the parties of and incidental to the application for security for costs be costs in the cause.