The Owners – Strata Plan No 80877 v Lannock Capital 2 Pty Ltd [2023] NSWSC 1401

Supreme Court New South Wales

Medium Neutral Citation: The Owners – Strata Plan No 80877 v Lannock Capital 2 Pty Ltd [2023] NSWSC 1401 Hearing dates: 23, 24 and 25 October 2023; further submissions received 3 November 2023 Decision date: 24 November 2023 Jurisdiction: Equity - Real Property List Before: Peden J Decision: (1) Further Amended Summons is dismissed. (2) Parties are to confer and attempt to agree on appropriate costs orders. Should agreement not be possible within 7 days, the parties are to make a joint approach to the Associate to Peden J with a proposed timetable for a costs hearing. Catchwords: LAND LAW — Strata title — Termination of strata scheme — Where termination orders sought not unanimous — Where there are existing debts owed by owners corporation to an unsecured lender — Whether registered mortgagees ought be paid first from proceeds of sale if termination orders made — Whether collective sale pursuant to Part 10 of the Strata Schemes Development Act is more appropriate in the circumstances Legislation Cited: Conveyancing Act 1919 (NSW) Conveyancing (Strata Titles) Act 1961 (NSW) Corporations Act 2001 (Cth) Real Property Act 1900 (NSW) Strata Schemes Development Act 2015 (NSW) Strata Schemes (Freehold Development) Bill 1973 (NSW) Strata Schemes Management Act 2015 (NSW) Strata Titles Act 1973 (NSW) Cases Cited: Application of Custom Credit Corporation Ltd (1975) 2 BPR 97083 Borsky v Proprietors Strata Plan No 19833 (1986) 7 NSWLR 84 Brenchley v The Owners – Strata Plan No 80609 [2022] NSWSC 646 Community Association DP 270982 v Registrar-General for New South Wales [2018] NSWSC 225 Community Association DP270212 v Registrar-General (NSW) (2004) 62 NSWLR 25 De Mol Investments Pty Ltd v Owners of Strata Plan No 31757 [2019] WADC 86 Denham Constructions Pty Ltd and Another v Proprietors Strata Plan No 17833 (1987) 11 NSWLR 615 Humphries v Proprietors "Surfers Palms North" Group Titles Plan 1955 (1994) 179 CLR 597 Mary Erling v The Owners Strata Plan No 8891 [2010] NSWSC 824 Massalski v The Owners SP 90255 [2023] NSWSC 23 Owners of Argosy Court Strata Plan 21513 v Wise (2016) 90 SR (WA) 148 Pritpro Pty Ltd v Willoughby Municipal Council (1986) 3 BPR 97224 Singh v Commonwealth of Australia (2004) 222 CLR 322 The Owners Strata Plan No 5709 v Anthony Andrews and Anor [2009] NSWCA 189 Texts Cited: New South Wales Fair Trading, Strata Title Law Reform, (November 2013) New South Wales Legislative Assembly, Parliamentary Debates (Hansard), 14 October 2015 New South Wales Legislative Assembly, Parliamentary Debates (Hansard), 26 September, 1973 Category: Principal judgment Parties: The Owners – Strata Plan No 80877 (Plaintiff) Lannock Capital 2 Pty Ltd (First Defendant) Mr Anthony Stevens (Second Defendant) Commonwealth Bank of Australia (Third Defendant) Another Bucket of Worms Pty Ltd (Fourth Defendant) Westpac Banking Corporation (Fifth Defendant) Australia and New Zealand Banking Group (Sixth Defendant) Macquarie Bank Limited (Seventh Defendant) National Australia Bank Limited (Eighth Defendant) AFSH Nominees Pty Ltd (Ninth Defendant) Representation: Counsel: M Castle and M Keene (Plaintiff) D Sulan SC, J Mee and S Hoare (First Defendant) M Isaac (Second Defendant) Z Hillman (Third Defendant) S Robertson SC and D Allen (Fourth Defendant) T Mehigan SC and M Collins (Sixth Defendant) V Whittaker SC and H Lenigas (Fifth, Eighth and Ninth Defendants)