Fair Work Ombudsman v Blue Sky Kids Land Pty Ltd (in liquidation) [2020] FCA 718

FEDERAL COURT OF AUSTRALIA

Fair Work Ombudsman v Blue Sky Kids Land Pty Ltd (in liquidation) [2020] FCA 718 File number: NSD 1444 of 2019

Judge: KATZMANN J

Date of judgment: 25 May 2020

Catchwords: CORPORATIONS — application for leave to proceed against companies in liquidation under s 500(2) of the Corporations Act 2001 (Cth) in proceedings for remedies under the Fair Work Act 2009 (Cth) for pecuniary and other forms of relief, including pecuniary penalties, arising out of alleged contraventions of Fair Work Act — where declaratory relief and civil penalties not available through proof of debt process —where claim has to be proved against one or other company before claims of accessorial liability can be made out against other respondents — where no opposition from liquidator or major creditors and significant proportion of compensation sought relates to claims that rank higher in priority than claims of other unsecured creditors — whether claim against companies has a solid foundation and gives rise to a serious question to be tried — public interest considerations

Legislation: Corporations Act 2001 (Cth) s 500(2) Fair Work Amendment (Protecting Vulnerable Workers) Act 2017 (Cth) Sch 1 Pt 7 cl 24A and Pt 8 cl 4

Cases cited: Australian Competition and Consumer Commission v Artorios Ink Co Pty Ltd [2013] FCA 753 Australian Competition and Consumer Commission v Birubi Art Pty Ltd (No 2) [2018] FCA 1785 Australian Competition and Consumer Commission v Leahy (No 2) [2005] FCA 254; 215 ALR 281; ATPR ¶42–051 Fair Work Ombudsman v Foot & Thai Massage Pty Ltd (in liquidation) [2019] FCA 1601 In the matter of DSHE Holdings Limited (recs and mgrs apptd) (in liq) [2018] NSWSC 82 In the Matter of Forge Group Ltd (In Liq) (Receivers and Managers Appointed) [2016] FCA 1471 Rushleigh Services Pty Ltd v Forge Group Ltd (In Liq) (Receivers and Managers Appointed) Vagrand Pty Ltd (In liquidation) v Fielding (1993) 41 FCR 550