AX Business Systems Pty Ltd (ACN 072 265 635) v Quality Image Pty Ltd (ACN 006 295 825) [2004] FCA 724

FEDERAL COURT OF AUSTRALIA

AX Business Systems Pty Ltd (ACN 072 265 635) v Quality Image Pty Ltd (ACN 006 295 825) [2004] FCA 724 CORPORATIONS – statutory demand for payment of unpaid agency fees – application for review of decision of registrar refusing to set aside statutory demand – dispute as to defendant's application of moneys paid by plaintiff – running account not produced in totality – whether there is a genuine dispute as to the existence of the debt or an offsetting claim within the meaning of s 459H of the Corporations Act 2001 (Cth).

Corporations Act 2001 (Cth): ss 459H, 459J

Eyota Pty Ltd v Hanave Pty Ltd (1994) 12 ACSR 785 – applied Spencer Constructions Pty Ltd v G & M Aldridge Pty Ltd (1997) 76 FCR 452 – applied Moyall Investments Services Pty Ltd v White (1993) 12 ACSR 320 – referred to Chadwick Industries (South Coast) Pty Ltd v Condensing Vaporisers Pty Ltd (1994) 13 ACSR 37 – referred to Jesseron Holdings Pty Ltd v Middle East Trading Consultants Pty Ltd (No 2) (1994) 122 ALR 717 – referred to Odyssey Re (Bermuda) v Reinsurance Australia (2001) 19 ACLC 987 – referred to St George Wholesale Finance Pty Ltd v Spalla (2000) 181 ALR 682 – distinguished Jones v Dunkel (1959) 101 CLR 298 – referred to

AX BUSINESS SYSTEMS PTY LTD (ACN 072 265 635) v QUALITY IMAGE PTY LTD (ACN 006 295 825) V 3089 of 2003 GOLDBERG J 15 JUNE 2004 MELBOURNE

IN THE FEDERAL COURT OF AUSTRALIA

VICTORIA DISTRICT REGISTRY V 3089 of 2003

BETWEEN: AX BUSINESS SYSTEMS PTY LTD

(ACN 072 265 635)

Plaintiff

AND: QUALITY IMAGE PTY LTD

(ACN 006 295 825)

Defendant

JUDGE: GOLDBERG J

DATE OF ORDER: 15 JUNE 2004

WHERE MADE: MELBOURNE

THE COURT ORDERS THAT: 1. The application for review of the decision of Deputy District Registrar Efthim made on 15 December 2003 be dismissed. 2. The period for compliance with the statutory demand dated 7 April 2003 served by the defendant on the plaintiff pursuant to s 459E of the Corporations Act 2001 (Cth) be extended to 22 June 2004. 3. The plaintiff pay the defendant's costs of and incidental to the application. Note: Settlement and entry of orders is dealt with in Order 36 of the Federal Court Rules.