BounceLED Pty Ltd v Clear Skies Corp Pty Ltd (in liq) [2023] NSWSC 121

Supreme Court New South Wales

Medium Neutral Citation: BounceLED Pty Ltd v Clear Skies Corp Pty Ltd (in liq) [2023] NSWSC 121 Hearing dates: 29 April, 10 May 2022 Date of orders: 22 February 2023 Decision date: 22 February 2023 Jurisdiction: Equity Before: Richmond J Decision: Appeal from the Local Court be allowed. Judgment entered and orders made on 14 October 2021 be set aside. Defendants to pay the Plaintiff's costs of the proceedings in this Court, and in the Local Court. Catchwords: APPEALS — leave to appeal from Local Court — whether leave required pursuant to the Local Court Act 2007 (NSW), s 40(1) — Civil Procedure Act 2005 (NSW), s 56(1) CORPORATIONS — winding up — voidable transactions — appeal against decision of Local Court making orders under s 588FF of the Corporations Act in favour of the liquidator — whether open to find that defence under s 588FG(2) was not established Legislation Cited: Civil Procedure Act 2005 (NSW), s 56(1) Corporations Act 2001 (Cth), ss 588FA, 588FC, 588FE, 588FF, 588FG Local Court Act 2007 (NSW), ss 39, 40 Supreme Court Act 1970 (NSW), s 75A Cases Cited: Badenoch Integrated Logging Pty Ltd v Bryant (2021) 284 FCR 590; [2021] FCAFC 64 Barclays Bank Ltd v Quistclose Investments Ltd [1970] AC 567 Cant v Mad Brothers Earthmoving Pty Limited (2020) 63 VR 222; [2020] VSCA 198 Chicago Boot Co Pty Ltd v Davis & Nicol as joint and several liquidators of Harris Scarfe Ltd [2011] SASCFC 92; 282 ALR 378 Commissioner of Taxation v Kassem (2012) 205 FCR 156; [2012] FCAFC 124 Cussen as Liquidator of Akai Pty Ltd (in liq) v Commissioner of Taxation [2004] NSWCA 383; 57 ATR 499 D'Aloia v Federal Commissioner of Taxation [2003] FCA 1336; 54 ATR 366 Davis v NSW Land and Housing Corporation [2016] NSWCA 325; 18 BPR 36,459 Dean-Willcocks v Commissioner of Taxation [2008] NSWSC 1113; 73 ATR 801 Drive My Car Rentals Pty Ltd v Gabriel (2021) 104 NSWLR 697; [2021] NSWCA 73 Gibson v Drumm [2016] NSWCA 206 Hosking v Extend N Build Pty Ltd [2018] NSWCA 149; 357 ALR 795 In the matter of Alsafe Security Products Pty Ltd atf Alsafe Trust (in liq) [2016] NSWSC 428 In the matter of Evolvebuilt Pty Limited [2017] NSWSC 901; 35 ACLC 17-036 In the matter of Heavy Plant Leasing Pty Ltd (in liq) [2018] NSWSC 707 In the matter of Pacific Steelfixing Pty Ltd [2021] NSWSC 655 In the matter of Western Port Holdings Pty Ltd (receivers and managers appointed) (in liq) [2021] NSWSC 232; 358 FLR 45 Leduva Pty Ltd v NM Structural Engineering Pty Ltd [2010] NSWSC 1164 Lesley-Swan v Owners SP 32735 [2013] NSWSC 1635 Mann v Sangria Pty Ltd [2001] NSWSC 172; 38 ACSR 307 Nikitins (Liquidator) v Encorefx (Australia) Pty Ltd (in liq) (No 2) [2021] FCA 27; 149 ACSR 533 R v PL [2009] NSWCCA 256; 261 ALR 365 Re BBY Limited (Receivers and Managers Appointed) (in liq) and BBY Holdings Pty Limited (Receivers and Managers Appointed) (in liq) [2022] NSWSC 29 Re Emanuel No 14 Pty Ltd (In Liq); Macks v Blacklaw & Shadforth Pty Ltd [1997] FCA 667; 147 ALR 281 Reitano v Commissioner of Police [2004] NSWCA 99 Rose v Tunstall [2018] NSWCA 241 Secure Parking Pty Ltd v Ralan Property Services Pty Ltd (No 1) [2018] NSWSC 660 Silvia v Brodyn Pty Ltd [2007] NSWCA 55; 25 ACLC 385 Souaid v Nahas [2019] NSWSC 1132; 89 MVR 364 Sutherland (as liquidator of Sydney Appliances Pty Ltd (in liq)) v Eurolinks Pty Ltd [2001] NSWSC 230; 37 ACSR 477 Walsh v Natra Pty Ltd (2000) 1 VR 523; [2000] VSCA 60 Wesiak v D & R Constructions (Aust) Pty Ltd [2016] NSWCA 353 White v ACN 153 152 731 Pty Ltd (in liq) (2018) 53 WAR 234; [2018] WASCA 119 Category: Principal judgment Parties: BounceLED Pty Limited ACN 149 737 119 (Plaintiff) Simon John Thorn in his capacity as Liquidator of Clear Skies Corp Pty Ltd (in Liquidation) ACN 153 519 736 (First Defendant) Clear Skies Corp Pty Ltd (in Liquidation) ACN 153 519 736 (Second Defendant) Representation: Counsel: Mr D Krochmalik with Ms N Bailey (Plaintiff) Mr A Justice (First Defendant and Second Defendant)