Invast Financial Services Pty Ltd v Pseven International DWC LLC [2022] FCA 861

Federal Court of Australia

Invast Financial Services Pty Ltd v Pseven International DWC LLC [2022] FCA 861 File number: NSD 903 of 2020

Judgment of: YATES J

Date of judgment: 22 July 2022

Catchwords: CORPORATIONS – alleged contraventions of s 12DA(1) of the Australian Securities and Investments Commission Act 2001 (Cth) (the ASIC Act), s 18(1) of the Australian Consumer Law (ACL), and the Australian Consumer Law (NSW) (ACL(NSW)) – contracts for differences entered into between the first respondent and the applicant – whether a contract for differences is a "financial product" for the purposes of s 12BAA(1) of the ASIC Act – whether s 12DA(1) of the ASIC Act is engaged – whether s 18(1) of the ACL(NSW) applies – whether the operation of s 18(1) of the ACL is excluded by s 131A of the Competition and Consumer Act 2010 (Cth) CONSUMER LAW – representations that funds would be, and had been, transferred by the first respondent to the applicant in satisfaction of a margin call made, and of other obligations assumed, in respect of contracts for differences entered into between the applicant and the first respondent – whether the making of the representations constituted conduct in trade or commerce that was misleading or deceptive – whether loss or damage was suffered by the making of the representations PRACTICE AND PROCEDURE – application for summary judgment against the second respondent pursuant to s 31A of the Federal Court of Australia Act 1976 (Cth) – application for default judgment against the second respondent pursuant to r 5.23(2)(b) of the Federal Court Rules 2011 (Cth) – application for summary judgment granted PRACTICE AND PROCEDURE – whether the second respondent is liable as a principal contravener or as a person involved in the alleged contraventions – discussion of relevant principles