Notesco Pty Ltd v Australian Financial Complaints Authority Ltd [2023] NSWSC 1525

Supreme Court New South Wales

Medium Neutral Citation: Notesco Pty Ltd v Australian Financial Complaints Authority Ltd [2023] NSWSC 1525 Hearing dates: 11 December 2023 Decision date: 18 December 2023 Jurisdiction: Equity - Commercial List Before: Stevenson J Decision: Summons dismissed Catchwords: CORPORATIONS – financial services – external dispute resolution scheme – review of determination made by Australian Financial Complaints Authority (AFCA) – whether determination legally unreasonable and beyond the contractual authority, jurisdiction or power of AFCA – whether decision one no reasonable decision maker could have reached on the evidence – where determination related to conduct of financial service licensee – whether financial service licensee adequately assessed complainant's suitability to trade – apportionment of liability – consideration of ASIC Regulatory Guide 227 Legislation Cited: Corporations Act 2001 (Cth) Uniform Civil Procedure Rules 2005 (NSW) Cases Cited: Australia Capital Financial Management Pty Ltd v Australian Financial Complaints Authority Ltd [2022] NSWCA 204 Australian Capital Financial Management Pty Ltd v Australian Financial Complaints Authority Ltd [2021] NSWSC 1577 Cromwell Property Securities Ltd v Financial Ombudsman Service Ltd [2014] VSCA 179 Investors Exchange Ltd v Australian Financial Complaints Authority Ltd [2020] QSC 74 MetLife Insurance Ltd v Australian Financial Complaints Authority Ltd (2022) 295 FCR 1; [2022] FCAFC 173 Mickovski v Financial Ombudsman Service Ltd (2012) 36 VR 456; [2012] VSCA 185 Minister for Immigration and Citizenship v Li (2013) 249 CLR 332; [2013] HCA 18 Notesco Pty Ltd v Australian Financial Complaints Authority Ltd [2022] NSWSC 285 Patersons Securities Ltd v Financial Ombudsman Service Ltd [2015] WASC 321 QSuper Board v Australian Financial Complaints Authority Ltd (2020) 276 FCR 97; [2020] FCAFC 55 Texts Cited: AFCA Complaint Resolution Scheme Rules AFCA Operational Guidelines to the Rules ASIC, Regulatory Guide 227, "Over-the-counter Contracts for Difference: Improving Disclosure for Retail Investors" Australian Financial Complaints Authority Constitution International Capital Markets Pty Ltd Case Number 765773 Category: Principal judgment Parties: Notesco Pty Ltd (Plaintiff) Australian Financial Complaints Authority Limited (First Defendant) Jean Pasquier (Second Defendant) Representation: Counsel: D R Sulan SC with R J Pietriche (Plaintiff) E A J Hyde (First Defendant)