In the matter of Malvern Developments (Vic) Pty Ltd [2021] NSWSC 888

Supreme Court New South Wales

Medium Neutral Citation: In the matter of Malvern Developments (Vic) Pty Ltd [2021] NSWSC 888 Hearing dates: 14 July 2021 Date of orders: 14 July 2021 Decision date: 14 July 2021 Jurisdiction: Equity - Corporations List Before: Black J Decision: Creditor's statutory demand set aside. Defendant to pay Plaintiff's costs of the application. Catchwords: CORPORATIONS — Winding up — Statutory demand — Offsetting claim — Where separate proceedings in respect of matters relied on in offsetting claim commenced by party seeking to set aside creditor's statutory demand. CORPORATIONS — Winding up — Statutory demand — Application to set aside — Where Defendant accepted that offsetting claim established — Whether to impose condition as to payment into Court on setting aside statutory demand. CORPORATIONS — Winding up — Statutory demand — Application to set aside — Some other reason to set aside — Where creditor's statutory demand not supported by affidavit — Where demand relies upon judgment debt — Where credit allowed in respect of that debt for amount recovered by garnishee order. COSTS — Party/Party — Exceptions to general rule that costs follow the event — Where institution of other proceedings relevant to establishing offsetting claim — Whether costs should only be awarded from date those proceedings commenced. Legislation Cited: - Corporations Act 2001 (Cth), ss 459E, 459H, 459J, 459M Cases Cited: - Anderson Formrite Pty Ltd v CASC Hire Pty Ltd (2005) 147 FCR 379; (2006) 24 ACLC 154; [2005] FCA 1424 - Fitness First Australia Pty Ltd v Dubow (2011) 251 FLR 241; (2011) 84 ACSR 296; [2011] NSWSC 531 - Grandview Ausbuilder Pty Ltd v Budget Demolitions Pty Ltd [2018] NSWSC 1647 - Jargon Pty Ltd v Good Earth Garden Products Pty Ltd (2006) 206 FLR 244; (2006) 24 ACLC 1638; [2006] WASC 282 - Macleay Nominees v Belle Property East [2001] NSWSC 743 - Panel Tech Industries v Australian Skyreach (No 2) [2003] NSWSC 896 - Re Cooperbrown Pty Ltd [2019] NSWSC 1341 - Re Ming Tian Real Property Pty Ltd (2020) 145 ACSR 329; [2020] NSWSC 212 - Re SBC Construction Pty Ltd (2019) 136 ACSR 228; [2019] NSWSC 310 - Re Wabbits Pty Ltd [2018] NSWSC 532 Soudan Lane Pty Ltd v Glen Bradshaw t/as Pacific Coast Digital [2007] NSWSC 772 Category: Principal judgment Parties: Malvern Developments (Vic) Pty Ltd (Plaintiff) Devakon Pty Ltd (Defendant) Representation: Counsel: N Li (Plaintiff) P Reynolds (Defendant)