Aardwolf Industries LLC v Tayeh [2020] NSWCA 301

Court of Appeal Supreme Court New South Wales Medium Neutral Citation: Aardwolf Industries LLC v Tayeh [2020] NSWCA 301 Hearing dates: 13 October 2020 Date of orders: 20 November 2020 Decision date: 20 November 2020 Before: Bell P at [1]; Macfarlan JA at [2]; Leeming JA at [87] Decision: (1) Leave to appeal granted. (2) The applicants are directed to file a Notice of Appeal conforming with the draft supplied to the Court within 14 days of today's date. (3) Dismiss the appeal with costs. Catchwords: NEGLIGENCE – duty of care to avoid economic loss – whether vulnerability required – applicants pleaded vulnerability as an essential element of duty – no obligation on primary judge to consider alternatives to that position – no relevant vulnerability due to applicants' ability to protect themselves from consequences of liquidators' actions CONSUMER LAW – misleading or deceptive conduct – whether reliance on accuracy of recitals to deed – clear inference from evidence that person knew of true position CONSUMER LAW – misleading or deceptive conduct – whether conduct "in trade or commerce" – court-appointed liquidators performing statutory functions – assignment of property with view to facilitating business interests of purchaser arguably had an essentially trading or commercial character CORPORATIONS – leave to commence action against court-appointed liquidators – governing principles – relevance of lengthy and inadequately explained delay Legislation Cited: Corporations Act 2001 (Cth) Jurisdiction of Courts (Cross-vesting) Act 1987 (Cth), s 7 Trade Marks Act 1955 (Cth) Trade Marks Act 1995 (Cth) Cases Cited: ASIC v Hellicar (2012) 247 CLR 345; [2012] HCA 17 Aston v Heron (1834) 2 My & K 390; 39 ER 993 Australian Health & Nutrition Association Ltd v Hive Marketing Group Pty Ltd (2019) 99 NSWLR 419; [2019] NSWCA 61 Bramco Electronics Pty Ltd v ATF Mining Electrics Pty Ltd (2013) 86 NSWLR 115; [2013] NSWCA 392 Brisbane South Regional Health Authority v Taylor (1996) 186 CLR 541; [1996] HCA 25 Caltex Refineries (Qld) Pty Ltd v Stavar (2009) 75 NSWLR 649; [2009] NSWCA 258 Concrete Constructions (NSW) Pty Ltd v Nelson (1990) 169 CLR 594; [1990] HCA 17 Ex parte Bucknell (1936) 56 CLR 221; [1936] HCA 67 Houghton v Arms (2006) 225 CLR 553; [2006] HCA 59 Hunter and New England Local Health District v McKenna (2014) 253 CLR 270; [2014] HCA 44 In re Maidstone Palace of Varieties Ltd [1909] 2 Ch 283 In the matter of Worldwide Speciality Property Services Ltd (in liq) [2017] NSWSC 1851; 35 ACLC 17-063 Jones v Dunkel (1959) 101 CLR 298; [1959] HCA 8 Karlsson v Griffith University [2020] NSWCA 176 Macedonian Church v Eminence Petar (2008) 237 CLR 66; [2008] HCA 42 Mamone v Pantzer [2001] NSWSC 26; (2001) 36 ACSR 743 McGowan v Chadwick [2002] EWCA Civ 1758 Mills v Sheahan (2007) 99 SASR 357; [2007] SASC 365 Perera v Genworth Financial Mortgage Insurance Pty Ltd (2017) 94 NSWLR 83; [2017] NSWCA 19 Perre v Apand Pty Ltd (1999) 198 CLR 180; [1999] HCA 36 Re Siromath Pty Ltd (No 1) (1991) 9 ACLC 1,580 Sullivan v Moody (2001) 207 CLR 562; [2001] HCA 59 Sydlow Pty Ltd (In Liq) v TG Kotselas Pty Ltd (1996) 65 FCR 234; [1996] FCA 233 Woolcock Street Investments Pty Ltd v CDG Pty Ltd (2004) 216 CLR 515; [2004] HCA 16 Category: Principal judgment Parties: Aardwolf Industries LLC (First Applicant) Aardwolf Australia Pty Ltd (Second Applicant) Riad Tayeh (First Respondent) Antony Anne de Vries (Second Respondent) Representation: Counsel: M Galvin QC / S Dyrenfurth (Applicants) T W Marskell (Respondents)