Mahommed v Greenhills Securities Pty Ltd [2021] NSWSC 1178

Supreme Court New South Wales

Medium Neutral Citation: Mahommed v Greenhills Securities Pty Ltd [2021] NSWSC 1178 Hearing dates: 16 September 2021 Date of orders: 16 September 2021 Decision date: 16 September 2021 Jurisdiction: Equity Before: Basten J Decision: (1) In matter number 2016/53923, the Court orders that the plaintiff give security in the amount of $160,000 to be paid into court in cash or by deposit of an unqualified bank guarantee, such security to be provided in the following tranches: (a) as to $25,000, by 16 October 2021; (b) as to a further $65,000, by 16 December 2021, and (c) as to the balance of $70,000, by 14 days after the defendant has given notice that it has completed the service of its evidence. (2) Subject to order (3) below, the proceedings, including motions as to the further conduct of the proceedings or any part of them, shall be stayed pending provision of all three tranches of the security. (3) Order (2) will not affect compliance with directions as to: (a) the filing by the plaintiff of a reply (if any) to the defence; (b) the preparation and service of the plaintiff's evidence, and (c) the hearing and determination of any motion brought pursuant to order (4). (4) Order that the plaintiff not file, whether by way of its reply or a proposed amended statement of claim, any pleading which purports to raise a new cause of action, further basis for an existing cause of action or any claim by the plaintiff otherwise than in his capacity as trustee of the Lovedale Ranch Unit Trust, unless the pleading has been settled and signed by senior counsel, with the intention that any motion by the defendant seeking to strike out part or all of such pleading on the basis that it does not comply with this requirement be determined without consideration of the merit of the pleading. (5) Pursuant to r 42.21(3), if the first two tranches of the security have not been provided by 16 March 2022, the proceedings are dismissed. (6) Order that the plaintiff pay the defendant's costs of the motion. Catchwords: PRACTICE AND PROCEDURE – security for costs – order that plaintiff provide security – plaintiff suing in capacity as trustee – impecuniosity – indemnity by trust – delay – conduct of proceedings vexatious – amount – stay pending compliance – dismissal in event of non-compliance Legislation Cited: Uniform Civil Procedures Rules 2005 (NSW), r 42.21 Cases Cited: Mahommed v Unicomb [2017] NSWCA 65 Mohammed v Unicomb (No 3) [2020] NSWSC 1312 Category: Procedural rulings Parties: Peter Shah Mahommed (Plaintiff) Greenhills Securities Pty Ltd (Defendant) Representation: Counsel: Mr L Smits (solicitor) (Plaintiff) Mr D Allen (Defendant)