Firmtech Aluminium Pty Ltd v Xie [2022] NSWSC 1031

Supreme Court New South Wales

Medium Neutral Citation: Firmtech Aluminium Pty Ltd v Xie [2022] NSWSC 1031 Hearing dates: 28 July 2022 Decision date: 28 July 2022 Jurisdiction: Equity Before: Meek J Decision: Freezing orders made Catchwords: CIVIL PROCEDURE — Interim preservation — distinction between an asset preservation order and an injunction to preserve an asset CIVIL PROCEDURE — Interim preservation — Freezing orders — alleged scheme making use of a corporations to misappropriate or divert funds, property or corporate opportunities from its proper channels — application of principle in Patterson v BTR Engineering (Aust) Ltd (1989) 18 NSWLR 319 that evidence in relation to the establishment of a prima facie case can also support the inference of a risk of dissipation of assets — Onus of establishing risk on applicant — Ex parte freezing orders ought be of limited duration with an early as practical return date — Applicant duty of full and frank disclosure Legislation Cited: Corporations Act 2001 (Cth), ss 180, 181, 182, 232, 236, 237, 241, 1317H Uniform Civil Procedure Rules 2005 (NSW), Pt 25 Div 2 Cases Cited: Allsop Investments Pty Ltd v Jerkovic (No 2) [2022] NSWSC 7 Cardile v LED Builders Pty Ltd (1999) 198 CLR 380; [1999] HCA 18 Drama Unit Pty Ltd v Timothy James Cook as Administrator of Fearndale Holdings Pty Ltd [2019] NSWCA 276 Goulburn International PL v GEMI 160 Pty Ltd [2021] NSWSC 796 Ip v Chiang [2019] NSWSC 1549 Patterson v BTR Engineering (Aust) Ltd (1989) 18 NSWLR 319 Texts Cited: Practice Note SC Gen 14 Category: Procedural rulings Parties: Firmtech Aluminium Pty Ltd (First Plaintiff) Zhaohui Xu (Second Plaintiff) Xiaoyan Xie (First Defendant) Jiamin Zhang (Second Defendant) Firmtech Aluminum Pty Ltd (Third Defendant) Logikal Façade Solutions Pty Ltd (Fourth Defendant) JKZ (Australia) Pty Ltd (Fifth Defendant) Firmtech Group Pty Ltd (Sixth Defendant) LGK Holdings Pty Ltd (Seventh Defendant) Western Spring Projects Pty Ltd (Eighth Defendant) Z & X Investment Holding Pty Ltd (Nineth Defendant) Haj (Australia) Pty Ltd (Tenth Defendant) JHN Projects Pty Ltd (Eleventh Defendant) Representation: Counsel: A Ogborne / P Lin (Second Plaintiff / Applicant)