In the matter of Ryals Hotel Pty Ltd [2020] NSWSC 1906

Supreme Court New South Wales

Medium Neutral Citation: In the matter of Ryals Hotel Pty Ltd [2020] NSWSC 1906 Hearing dates: 21 December 2020 Date of orders: 21 December 2020 Decision date: 21 December 2020 Jurisdiction: Equity - Corporations List Before: Black J Decision: Winding up application dismissed with costs. Parties to make further submissions on any special order as to costs and gross sum costs order. Catchwords: CORPORATIONS — Winding up — Proceedings against company — Application for winding up in insolvency brought without reliance on creditor's statutory demand — Whether Plaintiff complied with Retail and Other Commercial Leases (COVID-19) Regulation 2020 — Solvency of hotel business impacted by COVID-19 pandemic — Whether proceedings are an abuse of process — Whether to dismiss or adjourn winding up under s 467 of the Corporations Act 2001 (Cth) Legislation Cited: - Conveyancing Act 1919 (NSW) - Coronavirus Economic Response Package Omnibus Act 2020 (Cth) - Corporations Act 2001 (Cth), ss 95A, 467, 459A, 459E - Corporations Law Reform Act 1992 (Cth) - Retail and Other Commercial Leases (COVID-19) Regulation 2020 (NSW) Cases Cited: - Braams Group Pty Ltd v Miric (2002) 44 ACSR 124; [2002] NSWCA 417 - Cornhill Insurance Plc v Improvement Services Ltd [1986] 1 WLR 114 - David Grant & Co Pty Ltd v Westpac Banking Corporation (1995) 184 CLR 265; (1995) 18 ACSR 225; [1992] HCA 34 - FAI Insurances Ltd v Goldleaf Interior Decorators Pty Ltd (No 2) [1988] 14 NSWLR 643 at 660 - Just Juice Corp Pty Ltd v Murrayland Fruit Juice Pty Ltd (1990) 2 ASCR 541 - L & D Audio Acoustics Pty Ltd v Pioneer Electronics Australia Pty Ltd [1982] 7 ACLR 180 - Re Catombal Investments Pty Ltd [2012] NSWSC 775 - Re Gladstone Mortgagee No 1 Pty Ltd [2015] NSWSC 1551 - Re Humur Pty Limited [2020] NSWSC 1759 - Re MSB Capital Holdings Pty Ltd [2020] ASC 775 - Re Plutus Payroll Pty Ltd [2017] NSWSC 1360 - Sneakerboy Retail Pty Ltd t/as Sneakerboy v Georges Properties Pty Ltd (No 2) [2020] NSWSC 1141 - Southern Cross Interiors Pty Ltd (in liq) v Deputy Commissioner of Taxation (2001) 39 ACSR 305; [2001] NSWSC 621 - Taylor Industrial Flooring Ltd v M&H Plant Hire (Manchester) Pty Ltd [1990] BCLC 216 - Williams v Spautz (1992) 174 CLR 509; (1992) 107 ALR 635 Category: Principal judgment Parties: Zhaos Pty Ltd (Plaintiff) Ryals Hotel Pty Ltd (Defendant) Representation: Counsel: Mr J T Johnson (Plaintiff) Mr D Elliott (Defendant)