CGU Insurance Limited v Blakeley [2016] HCA 2

HIGH COURT OF AUSTRALIA

FRENCH CJ, KIEFEL, BELL, KEANE AND NETTLE JJ

CGU INSURANCE LIMITED APPELLANT

AND

ROSS BLAKELEY, MICHAEL RYAN & QUENTIN OLDE AS JOINT AND SEVERAL LIQUIDATORS OF AKRON ROADS PTY LTD (IN LIQUIDATION) & ORS RESPONDENTS

CGU Insurance Limited v Blakeley [2016] HCA 2 11 February 2016 M221/2015

ORDER

Appeal dismissed with costs.

On appeal from the Supreme Court of Victoria

Representation

D J O'Callaghan QC with R L Enbom for the appellant (instructed by Norton Rose Fulbright Australia)

P D Crutchfield QC with O Bigos for the first and second respondents (instructed by King & Wood Mallesons)

No appearance for the third to sixth respondents

Notice: This copy of the Court's Reasons for Judgment is subject to formal revision prior to publication in the Commonwealth Law Reports.

CATCHWORDS

CGU Insurance Limited v Blakeley

Procedure – Joinder of third parties – Where liquidators of company brought action in Supreme Court of Victoria against company directors for order under s 588M(2) of Corporations Act 2001 (Cth) – Where liquidators sought to join third party insurer after directors' claim for professional indemnity rejected – Where directors not in position to challenge denial of liability under contract of insurance – Whether Supreme Court had jurisdiction to join third party insurer and grant declaratory relief in relation to private insurance contract between directors and third party insurer.

Jurisdiction – Federal jurisdiction – Meaning of matter – Meaning of justiciable controversy.

Words and phrases – "declaratory relief", "federal jurisdiction", "joinder", "justiciable controversy", "matter", "privity", "real interest".

Constitution, s 76(ii). Bankruptcy Act 1966 (Cth), s 117. Corporations Act 2001 (Cth), ss 562, 588G, 588M(2). Judiciary Act 1903 (Cth), ss 39(2), 79. Supreme Court Act 1986 (Vic), s 36. Supreme Court (General Civil Procedure) Rules 2005 (Vic), r 9.06.