Morgan, in the matter of Brighton Hall Securities Pty Ltd (in liq) [2013] FCA 970

FEDERAL COURT OF AUSTRALIA

Morgan, in the matter of Brighton Hall Securities Pty Ltd (in liq) [2013] FCA 970 Citation: Morgan, in the matter of Brighton Hall Pty Ltd (in liq) [2013] FCA 970

Parties: RUSSELL HARRY MORGAN IN HIS CAPACITY AS LIQUIDATOR OF BRIGHTON HALL SECURITIES PTY LTD (IN LIQUIDATION) ACN 096 576 868

File number: WAD 98 of 2013

Judge: MCKERRACHER J

Date of judgment: 27 September 2013

Catchwords: CORPORATIONS – application by liquidator under s 511 of the Corporations Act 2001 (Cth) concerning distribution of proceeds under a professional indemnity policy held by a company in liquidation that provided financial advice and products – two separate representative proceedings filed against the company in Western Australia and Victoria on behalf of investors – Victorian proceeding included a cross-claim for indemnity or contribution under state tort legislation – whether the claims the subject of each representative proceeding were one 'claim' or multiple 'claims' – whether the claims in each representative proceeding arose from one 'act, error or omission' or 'a series of related acts, errors or omissions' – consideration of the nature of each representative proceeding – whether the liquidator is required to call for informal proofs of debt to make decisions to admit or reject the claims prior to seeking directions EQUITY – remuneration of liquidator – whether s 562 of the Corporations Act 2001 (Cth) entitles the liquidator to deduct his remuneration and expenses from the insurance proceeds – whether equitable lien created – whether the Corporations Act evinces an intention to exclude the liquidator's right to an equitable lien – whether it would be unconscionable for the investors to assert a right to insurance proceeds where liquidator has incurred expenses in procuring the insurance proceeds Words and Phrases: 'expenses' and 'expenses of or incidental to getting in that amount'