Findlay v DSHE Holdings Ltd; Mastoris v DSHE Holdings Ltd; Mastoris v Allianz Australia Insurance Ltd [2021] NSWSC 249

Supreme Court New South Wales

Medium Neutral Citation: Findlay v DSHE Holdings Ltd; Mastoris v DSHE Holdings Ltd; Mastoris v Allianz Australia Insurance Ltd [2021] NSWSC 249 Hearing dates: 5 March 2021 Date of orders: 17 March 2021 Decision date: 17 March 2021 Jurisdiction: Equity - Commercial List Before: Stevenson J Decision: Settlement approved on terms Catchwords: CIVIL PROCEDURE - representative proceedings – shareholder class actions – three proceedings travelling together settled in principle on day 55 of hearing – whether settlement should be approved – where settlement figure modest compared to amounts clamed – where four fifths of settlement figure to be used to meet legal costs and settlement administration expenses – where prospects of success problematic – where ability of defendants meet judgment in doubt Legislation Cited: Australian Securities and Investments Commission Act 2001 (Cth) Civil Procedure Act 2005 (NSW) Corporations Act 2001 (Cth) Court Suppression and Non-publication Orders Act 2010 (NSW) Cases Cited: Blairgowrie Trading Ltd v Allco Finance Group Ltd (Rec & Mgrs Apptd) (in Liq) (No 3) [2017] FCA 330; 118 ACSR 614 Caason Investments Pty Ltd v CAO (No 2) [2018] FCA 527 Camilleri v Trust Company (Nominees) Ltd [2015] FCA 1468 Court v Spotless Group Holdings Ltd [2020] FCA 1730 Farey v National Australia Bank Limited [2016] FCA 340 Haselhurst v Toyota Motor Corporation Australia Limited [2020] NSWCA 66 Kelly v Willmott Forests Ltd (in liq) (No 4) [2016] FCA 323; 112 ACSR 584 Liverpool City Council v McGraw-Hill Financial, Inc (now known as S&P Global Inc) [2018] FCA 1289 Money Max Int Pty Ltd v QBE Insurance Group Ltd [2018] FCA 1030; (2018) 358 ALR 382 Newstart 123 Pty Ltd v Billabong International Limited [2016] FCA 1194; (2016) 343 ALR 662 Smith v Australian Executor Trustees Ltd; Creighton v Australian Executor Trustees Ltd (No 4) [2018] NSWSC 1584 van Royden v DSHE Holdings Limited (Rec and Mgrs Apptd) (in Liq) [2018] NSWSC 1773 Williams v FAI Security Pty Ltd (No 4) [2000] FCA 1925 Category: Consequential orders Parties: 2017/294069 Haliburton Charles David Findlay (First Plaintiff) Marian Jennifer Denny Findlay (Second Plaintiff) DSHE Holdings Limited (Receivers & Managers Appointed) (In Liquidation) (First Defendant | First Cross Defendant on Fourth Cross Claim) Nicholas Abboud (Second Defendant | Cross Claimant on Second Cross Claim | Second Cross Defendant on Fourth Cross Claim) Michael Thomas Potts (Third Defendant | Cross Claimant on Third Cross Claim | Third Cross Defendant on Fourth Cross Claim) David White and others (listed in Annexure A) t/as Deloitte Touche Tohmatsu (Fourth to Four Hundred & Fifty Seventh Defendants | Cross Claimants on Fourth Cross Claim | Cross Defendants on Second and Third Cross Claims)