Drinkwater v Caddyrack Pty Limited [1999] NSWSC 851

Reported Decision : [1999] 17 ACLC 1592

New South Wales Supreme Court CITATION : Drinkwater v Caddyrack Pty Limited [1999] NSWSC 851 CURRENT JURISDICTION : Equity Division FILE NUMBER(S) : 3970/96 HEARING DATE(S) : 12 March and 12 April 1999 JUDGMENT DATE : 26 August 1999

Peter Westgarth Drinkwater and John Francis Drinkwater (P1) Lustray Pty Limited (P2) Caddyrank Inc (P3) Caddyrack Pty Limited (P4) PARTIES : Caddyrack Pty Limited (D1) Terrance Kyrwood (D2) Geoffery Kyrwood (D3) Caddyrack International Pty Limited (D4) Gedrot Pty Limited (D5) Gavros Pty Limited (D6) JUDGMENT OF : Master McLaughlin

COUNSEL : Mr. M. Ashurst (P) Mr. A. McInerney (D) SOLICITORS : Hansens Solicitors (P) McDonald Johnson (D) CATCHWORDS : Valuation of shares; Buy-back of shares of members of a company by other members; Method of valuation; Valuation not an exact science; Expert evidence. ACTS CITED : Corporations Law Re London School of Electronic Limited [1985] 3 WLR 474 Dynasty Pty Limited v Coombs (1990) 14 ACSR 60 Lusk v Archive Security Limited (1991) 5 NZCLC 66,979 CASES CITED : Ledesma v Nobule Pty Limited (Master McLaughlin, 11 December 1997, unreported) Re Golden Bread Pty Limited [1977] QR 44 Diligenti v RWMD Operations Kelowna Limited (No. 2) (1977) 4 BCLR 134 Kizquari Pty Limited v Prestoo Pty Limited (1993) 10 ACLSR 606 Sapir v Sapir (1989) 13 FamLR 362 DECISION : 1. I certify the value of the shares in Caddyrack Pty Limited at $41,495 a share; 2. I express the view that the plaintiffs are entitled to have the fifth and sixth defendants pay the costs of the plaintiffs of the enquiry referred to in order 6 of the orders made on 28 November 1997.