Saker, in the matter of Great Southern Managers Australia Ltd (Receivers and Managers Appointed) (in liquidation) (No 2) [2011] FCA 958

FEDERAL COURT OF AUSTRALIA

Saker, in the matter of Great Southern Managers Australia Ltd (Receivers and Managers Appointed) (in liquidation) (No 2) [2011] FCA 958 Citation: Saker, in the matter of Great Southern Managers Australia Ltd (Receivers and Managers Appointed) (in liquidation) (No 2) [2011] FCA 958

Parties: IN THE MATTER OF GREAT SOUTHERN MANAGERS AUSTRALIA LTD (RECEIVERS AND MANAGERS APPOINTED) (IN LIQUIDATION) (ACN 083 825 405); ANDREW SAKER, DARREN WEAVER, JAMES STEWART AND MARTIN JONES AS LIQUIDATORS OF GREAT SOUTHERN MANAGERS AUSTRALIA LTD (RECEIVERS AND MANAGERS APPOINTED) (IN LIQUIDATION) (ACN 083 825 405)

File number: WAD 244 of 2010

Judge: MCKERRACHER J

Date of judgment: 23 August 2011

Catchwords: CORPORATIONS - determination of a question sought by liquidators - liquidation of responsible entity - whether the outgoing responsible entity is entitled to indemnities – whether the liquidators are entitled to recover a sum by reason of a right to indemnity – whether the liquidator should retain or pay the incoming responsible entity management fees - charges and expenses properly incurred – whether an honest error can be conduct that is unreasonable, dishonest or improper – whether culpable neglect – whether exercise of power to wholly or partially determine second question will be just and beneficial in absence of complete evidence and argument - whether entitled to management fees – whether entitled to set-off for mismanagement

Legislation: Corporations Act 2001 (Cth) s 511

Cases cited: Re Beddoe [1893] 1 Ch 547 Business Computers Ltd v Anglo-African Leasing Ltd [1977] 2 All ER 741 Cathedral Place Pty Ltd v Hyatt of Australia Ltd [2003] VSC 385 Chief Commissioner of Stamp Duties (NSW) v Buckle (1998) 192 CLR 226 Cotterell v Stratton (1872) 8 Ch App 295 Dean-Willcocks v Soluble Solution Hydroponics Pty Ltd [1997] 42 NSWLR 209 Gatsios Holdings Pty Ltd v Nick Kritharas Holdings Pty Ltd (in liq) [2002] ATPR 41-864 Re Great Southern Managers Australia Ltd (2010) 190 FCR 501 James v Commonwealth Bank of Australia (1992) 37 FCR 445 Murphy v Zamonex Pty Ltd (1993) 31 NSWLR 439 Norman; in the matter of Forest Enterprises Limited v FEA Plantation Limited [2011] FCAFC 99 Re Raybould [1900] 1 Ch 199 Turner v Hancock (1882) 20 Ch D 303 Re Walker (2005) 189 FLR 467