Global Television v Sportsvision Australia (in liq.) & 2 Ors [2000] NSWSC 960

Reported Decision : [2000] 35 ACSR 484

New South Wales Supreme Court

CITATION : Global Television v Sportsvision Australia (in liq.) & 2 Ors [2000] NSWSC 960 CURRENT JURISDICTION: Equity FILE NUMBER(S) : SC 3055/99 HEARING DATE(S) : 17/08/00, 18/08/00 JUDGMENT DATE : 16 October 2000

Global Television Pty Limited (ACN 010 122 611) (Plaintiff/First Cross-Defendant/Second Cross-Defendant) PARTIES : Sportsvision Australia Pty Limited (in liquidation) (ACN 068 170 945) (First Defendant) Kenneth John Rennie (Second Defendant/First Cross-Claimant) Optus Vision Pty Limited (Third Defendant/Second Cross-Claimant) JUDGMENT OF : Santow J

B A Coles, QC/M J Leeming (Plaintiff/First Cross-Defendant/Second Cross-Defendant) COUNSEL : J C Sheahan, SC/P Russell (First and Second Defendants/First Cross-Claimant) I M Jackman (Third Defendant/Second Cross-Claimant) Speed and Stracey (Plaintiff/First Cross-Defendant/Second Cross-Defendant) SOLICITORS : Blake Dawson Waldron (First and Second Defendants/First Cross-Claimant) Minter Ellison (Third Defendant/Second Cross-Claimant) CATCHWORDS : CORPORATIONS LAW — Does recourse to guarantee survive liquidator's disclaimer of contract guaranteed taking into account s568D(1) of the Corporations Law — Effectiveness of disclaimer — Meaning of "unprofitable contract" — Challenge to disclaimer on basis of disproportionate prejudice. Bankruptcy Act 1869 (Imp) s23 LEGISLATION CITED : Bankruptcy Act of 1883 s55(2) Corporations Law Division 7A of Pt 5.6; s568(1), (1A); s568B(2), (3); s568D(1), (2); s568F; s1321 Arthur Hill v East & West India Dock Co (1884) 9 App Cas 448 Christopher Moran Holdings Ltd v Bairstow [1999] 2 WLR 396 Dekala Pty Limited (in liq) v Perth Land and Leisure Ltd (1989) 17 NSWLR 664 Hindcastle Ltd v Barbara Attenborough Associates Ltd [1997] AC 70 McDonald v Dennys Lascelles (1933) 48 CLR 457 Manning v Flight (1832) 3 B & Ad 211, 110 ER 29 Re Middle Harbour Investments Limited [1977] 2 NSWLR 652 Re the Nottingham General Cemetery Co [1953] Ch 683 CASES CITED : Old Style Confections Pty Ltd v Microbyte Investments Pty Ltd (in liq) [1995] 2 VR 457 Rothwells Ltd v Spedley Securities Limited (1990) 20 NSWLR 417 Sandtara Pty Limited v Abigroup Pty Limited (1996) 14 ACLC 888 Smith v North (1872) LR 7 Exch 242 Stacey v Hill [1901] 1 QB 660 Stubbs Investments Ltd v Thorp [1997] 1 NZLR 310 [CA1955(NZ) S243 1992] Transmetro Corporation Ltd v Real Investments Pty Ltd (1999) 17 ACLC 1314 Ex parte Walton in re Levy (1881) 17 ChD 746 Yeoman Credit Ltd v Latter [1961] 1 WLR 828 DECISION : Guarantee survives though disclaimer effective.