BROLRIK v SAMBAH [2001] NSWSC 1171

Reported Decision : 40 ACSR 361 (2003) 21 ACLC 1045

New South Wales Supreme Court

CITATION : BROLRIK v SAMBAH [2001] NSWSC 1171 CURRENT JURISDICTION: Equity FILE NUMBER(S) : SC 4254/01 HEARING DATE(S) : 03/12/01, 06/12/01, 14/12/01 JUDGMENT DATE : 17 December 2001

Brolrik Pty Limited - Plaintiff PARTIES : Sambah Holdings Pty Limited - First Defendant Natural Essential Pty Limited - Second Defendant Progress & Securities Management Pty Limited - Third Defendant JUDGMENT OF : Barrett J

Mr M.R. Aldridge SC/Mr J.T. Johnson - Plaintiff COUNSEL : Mr M. Ashhurst - Defendants Mr D. Massey (Solicitor) - Creditor Mr R. Bretag (Solicitor) - Liquidator Sally Nash & Co - Plaintiff SOLICITORS : Kemp Strang - Defendants Massey Bailey - Creditor Henry Davis York - Liquidator CATCHWORDS : CORPORATIONS - winding up - whether directors retain residual power to cause company to appeal against winding up order - s.417A excludes such residual power - court's approval of such action by directors may be given nunc pro tunc - CORPORATIONS - winding up - termination of winding up on application of contributories - need for solvency and financial stability to be shown - order made on undertakings of related creditors not to call up debts while money owing to external creditors LEGISLATION CITED : Corporate Law Reform Act 1992 Corporations Act 2001 ACE Contractors & Staff Pty Ltd v Westgarth Development Pty Ltd [1999] FCA 728 Aetna Properties Ltd v G A Listing & Maintenance Pty Ltd (1994) 13 ACSR 422 Re Allebart Pty Ltd [1971] 1 NSWLR 24 Australian Securities Commission v Marlborough Gold Mines Ltd (1993) 177 CLR 485 Robert H Barber & Co Ltd v Simon (1914) 19 CLR 24 Bastion v Gideon Investments Pty Ltd (2000) 35 ACSR 466 Brooks v Heritage Hotel Adelaide Pty Ltd (1996) 20 ACSR 61 Bunbury Foods Pty Ltd v National Bank of Australasia Ltd (1984) 153 CLR 491 Re Country Traders Distributors Ltd [1974] 2 NSWLR 135 Re Data Homes Pty Ltd [1971] 1 NSWLR 338 Re Diamond Fuel Co (1879) 13 ChD 400 Doonan v Henry (2000) 74 ALJR 1289 Emanuele v Australian Securities Commission (1995) 63 FCR 54 (Full Federal Court) Emanuele v Australian Securities Commission (1997) 188 CLR 11 Grime Carter & Co Pty Ltd v Whytes Furniture (Dubbo) Pty Ltd [1983] 1 NSWLR 158 Hamilton v BHP Steel (JLA) Ltd (1995) 13 ACLC 1548 CASES CITED : Intergraph Public Safety Pty Ltd v Tess Lawrence Media Services Pty Ltd (1996) 19 ACSR 523 Liverpool Cement Renderers (Aust) Pty Ltd v Landmarks Constructions (NSW) Pty Ltd (1996) 19 ACSR 411 Re Mascot Home Furnishers Pty Ltd [1970] VR 93 Melbase Corporation Pty Ltd v Segenhoe Ltd (1995) 17 ACSR 187 National Mutual Fire Insurance Co Ltd v Commonwealth [1981] 1 NSWLR 400 Re Nature Springs Pty Ltd (1994) 13 ACSR 50 Object Design Inc v Object Design Australia Pty Ltd (1997) 78 FCR 60 Redglove Holdings Pty Ltd v GNE & Associates Pty Ltd [2001] NSWSC 867 Rock Bottom Fashion Market Pty Ltd v H R & C E Griffiths Pty Ltd [2000] 2 Qd R 573 (7 November 1997) Rock Bottom Fashion Market Pty Ltd v H R & C E Griffiths Pty Ltd [1998] QCA 33 Helljay v Deputy Commissioner of Taxation (1999) 74 ALJR 68 King of Hanover v Bank of England (1869) LR 8 Eq 350 Vynotas Pty Ltd v Mystic Crystals Franchises (Australia) Pty Ltd [1999] QCA 473 Walker v Midlink Nominees Pty Ltd (2000) 34 ACSR 210 Woods Bagot Pty Ltd v Poppy Lodge Pty Ltd (1995) 65 SASR 583 Young v Queensland Trustees Ltd (1956) 99 CLR 560 DECISION : Refer paragraph 52