Meadow Springs Fairway Resort Ltd (In Liq) (ACN 084 358 592) v Balanced Securities Limited (ACN 083 514 685) (No 3) [2008] FCA 861

FEDERAL COURT OF AUSTRALIA

Meadow Springs Fairway Resort Ltd (In Liq) (ACN 084 358 592) v Balanced Securities Limited (ACN 083 514 685) (No 3) [2008] FCA 861

CORPORATIONS ‑ legal costs incurred by a liquidator in impugning the validity of a charge of a secured creditor ‑ whether liquidator entitled to a priority in respect of legal costs under s 512 of the Corporations Act 2001 (Cth) ‑ whether liquidator entitled to an equitable lien in respect of the legal costs

Corporations Act 2001 (Cth) s 512 Meadow Springs Fairway Resort Ltd (In Liq) (ACN 084 358 592) v Balanced Securities Limited (ACN 083 514 685) (No 2) [2008] FCA 471 Crawford v Australian & New Zealand Banking Group Ltd (1994) 14 ACSR 310 In re Universal Distributing Company Limited (In Liquidation) (1933) 48 CLR 171 Shirlaw v Taylor (1991) 31 FCR 222 Re Berkeley Applegate (Investment Consultants) Ltd (In Liq); Harris v Conway [1989] Ch 32 Rumball v Mortimore [2000] WASC 126 MEADOW SPRINGS FAIRWAY RESORT LTD (IN LIQ) (ACN 084 358 592) v BALANCED SECURITIES LIMITED (ACN 083 514 685), WESTRALIAN CAPITAL HOLDINGS PTY LTD (IN LIQ) (ACN 083 526 630), KNIGHTSBRIDGE MANAGED FUNDS LIMITED (IN LIQ) (ACN 089 532 169) AND KNIGHTSBRIDGE FINANCE PTY LTD (IN LIQ) (ACN 008 716 872), HURLY INVESTMENTS PTY LTD (ACN 082 972 067) AND TIMOTHY JOSEPH CASEY and IMF (AUSTRALIA) LTD (ACN 067 298 088)

WAD 150 of 2007

SIOPIS J

10 JUNE 2008

PERTH

IN THE FEDERAL COURT OF AUSTRALIA

WESTERN AUSTRALIA DISTRICT REGISTRY WAD 150 of 2007

BETWEEN: MEADOW SPRINGS FAIRWAY RESORT LTD (IN LIQ) (ACN 084 358 592)

Plaintiff

AND: BALANCED SECURITIES LIMITED (ACN 083 514 685)

First Defendant

WESTRALIAN CAPITAL HOLDINGS PTY LTD (IN LIQ) (ACN 083 526 630), KNIGHTSBRIDGE MANAGED FUNDS LIMITED (IN LIQ) (ACN 089 532 169) AND KNIGHTSBRIDGE FINANCE PTY LTD (IN LIQ) (ACN 008 716 872)