Brosnan v Katke [2015] FCA 203

FEDERAL COURT OF AUSTRALIA

Brosnan v Katke [2015] FCA 203 Citation: Brosnan v Katke [2015] FCA 203

Parties: MICHAEL BROSNAN, LEON BROSNAN, MARY BROSNAN, ALAN GEE, ALAN BAWDEN GRANT, BARBARA LEE GRANT, ALAN DAVID GRANT, MICHAEL CURLEY and GRAEME JOINER v JEFFREY JAMES KATKE, METAGENICS AUSTRALIA PTY LTD (ACN 113 937 572), METAGENICS INC, JEFFREY BLAND and HEALTH WORLD LIMITED (ACN 010 636 165)

File number(s): QUD 384 of 2012

Judge(s): GREENWOOD J

Date of judgment: 12 March 2015

Catchwords: CORPORATIONS – consideration of a claim to set aside a Settlement Deed of 31 July 2009 in reliance upon conduct said to be in contravention of s 52 of the Trade Practices Act 1974 (Cth) which had the effect of compromising claims made by the applicants as grounds for setting aside a Share Sale Purchase Agreement of 2005 on grounds including a ground that the applicants were induced to enter into the 2005 Agreement by contended representations that a relevant entity would undertake an initial public offering of securities on a United States Stock Exchange in 2005, market permitting CONSUMER LAW – consideration of contended representations said to have been made in contravention of s 52 of the Trade Practices Act 1974 (Cth) said to have induced the applicants to enter into a Settlement Deed on 31 July 2009 by which the applicants compromised an opportunity to pursue relief in relation to conduct said to have induced entry into a Share Sale Purchase Agreement of 2005, in contravention of s 52 of the Trade Practices Act 1974 (Cth) TRADE PRACTICES – consideration of contended representations said to have been made in contravention of s 52 of the Trade Practices Act 1974 (Cth) said to have induced the applicants to enter into a Settlement Deed on 31 July 2009 and conduct said to have induced the applicants to enter into a Share Sale Purchase Agreement of 2005 TRADE PRACTICES – consideration of the extra-territorial operation of Part V of the Trade Practices Act 1974 (Cth) and in particular the approach to be adopted in relation to ss 5 and 6 of that Act in the context of whether overseas conduct by particular participants falls within the scope of s 52 TRADE AND COMMERCE – consideration of the extra-territorial operation of Part V of the Trade Practices Act 1974 (Cth) and in particular the approach to be adopted in relation to s 6 of that Act and the constitutional connecting factors contemplated by s 6 of that Act in the context of whether overseas conduct by particular participants falls within the scope of s 52 – consideration of s 5 of that Act