Commonwealth Bank of Australia v Prentice (Trustee), in the matter of Shannon (Bankrupt) [2016] FCA 53

FEDERAL COURT OF AUSTRALIA

Commonwealth Bank of Australia v Prentice (Trustee), in the matter of Shannon (Bankrupt) [2016] FCA 53 File number: NSD 935 of 2015

Judge: GLEESON J

Date of judgment: 8 February 2016

Catchwords: BANKRUPTCY AND INSOLVENCY – leave pursuant to s 58(3)(b) of the Bankruptcy Act 1966 (Cth) ("Bankruptcy Act") – purpose of s 58(3) of the Bankruptcy Act – relevance of complex facts to the exercise of the s 58(3)(b) discretion – s 229 of the Bankruptcy Act PRACTICE AND PROCEDURE – whether the respondent's application is an abuse of process – whether an offer to set aside judgements in a separate proceeding fully resolved the respondent's concerns – whether the Bank's application was disproportionate – whether the respondent's application was for an ulterior purpose – whether the proceedings lacked all utility

Legislation: Bankruptcy Act 1966 (Cth)

Cases cited: 7Steel Building Solutions Pty Ltd v Wright [2011] FCA 328 Allanson v Midland Credit Ltd [1977] FCA 14; (1977) 30 FLR 108 Bleyer v Google Inc LLC [2014] NSWSC 897; (2014) 88 NSWLR 670 Commonwealth Bank of Australia v Shannon [2013] NSWSC 1076; (2013) 8 BFRA 674 Commonwealth of Australia v Robson [2013] FCA 1430 DA Shannon v G A Shannon; D&W Shannon Pty Ltd v G A Shannon [No 2] [2013] NSWSC 1222 Fraser v Deputy Commissioner of Taxation (1996) 69 FCR 99; (1996) 138 ALR 689 Haviland v Joslow (No. 4) [1979] 2 NSWLR 318 Health Services Union v Jackson (No 3) [2015] FCA 694 Lehman Brothers Australia Ltd v Wingecarribee Shire Council [2009] FCAFC 63; (2009) 176 FCR 120 Mango Media Pty Ltd v Velingos [2008] NSWSC 202; (2008) FLR 176 Nicholson v Nicholson [1974] 2 NSWLR 59 Rana v Commonwealth [2008] FCA 907 Re AJ Benjamin Ltd (in liq) (1969) 2 NSWR 374 Re McMaster (1991) 33 FCR 70 Re Veghelyi; Smith v Official Trustee in Bankruptcy (1993) 45 FCR 413 SBA Music Pty Ltd v Hall (No 2) [2014] FCA 1116 Scott v Bagshaw [2000] FCA 816; (2000) 99 FCR 573 Shannon v Commonwealth Bank of Australia [2014] FCAFC 108; (2014) 318 ALR 420 Stoker (Trustee), in the matter of Starr (Bankrupt) v Starr [2011] FCA 746 Westpac Banking Corporation v Ollis [2007] FCA 1194 Williams v Spautz [1992] HCA 34; (1992) 174 CLR 509 Wren v Mahoney [1972] HCA 5; (1972) 126 CLR 212