Canstruct Pty Ltd v Project Sea Dragon Pty Ltd (Subject to a Deed of Company Arrangement) [2023] FCA 637

FEDERAL COURT OF AUSTRALIA

Canstruct Pty Ltd v Project Sea Dragon Pty Ltd (Subject to a Deed of Company Arrangement) [2023] FCA 637 File number: QUD 124 of 2023

Judgment of: DERRINGTON J

Date of judgment: 3 May 2023

Date of publication of reasons: 13 June 2023

Catchwords: PRACTICE AND PROCEDURE – interlocutory injunction sought to prevent performance of Deed of Company Arrangement (DOCA) – completion of DOCA would bring plaintiff's right to seek to set it aside to an end – balance of convenience CORPORATIONS – administration – application to enjoin performance of DOCA – whether entry into DOCA an abuse of Part 5.3A of the Corporations Act 2001 (Cth) – injunction granted

Legislation: Corporations Act 2001 (Cth) Insolvency Practice Rules (Corporations) 2016 (Cth) Construction Contracts (Security of Payments) Act 2004 (NT)

Cases cited: Australian Securities and Investments Commission v Midland Hwy Pty Ltd (admin apptd) (2015) 110 ACSR 203 Blacktown City Council v Macarthur Telecommunications Pty Ltd (admin apptd) (2003) 47 ACSR 391 Britax Childcare Pty Ltd v Infa Products Pty Ltd (2016) 115 ACSR 322 Canadian Solar v ACN 138 535 832 Pty Ltd, In the Matter of ACN 138 535 832 Pty Ltd (Subject to a Deed of Company Arrangement) [2014] FCA 783 Carna Group Pty Ltd v The Griffin Coal Mining Company Pty Ltd (No 6) (2021) 157 ACSR 224 Chalmsbury Nominees Pty Ltd v Alita Resources Limited (receivers and managers appointed) (subject to deed of company arrangement) [2023] WASC 97 Chan v First Strategic Development Corporation Ltd (in liq) [2015] QCA 28 Guo v Song [2018] NSWSC 12 Habrok (Dalgaranga) Pty Ltd v Gascoyne Resources Ltd (2020) 149 ACSR 1 Mighty River International Ltd v Hughes (2018) 265 CLR 480 Quin v Vlahos (2021) 64 VR 319 Re Sails Corp Pty Ltd [2021] NSWSC 1046 Treloar Constructions Pty Ltd v McMillan (2017) 318 FLR 58 Workers Compensation Nominal Insurer v Perfume Empire Pty Ltd [2011] NSWSC 379