Stockl v Rigura Pty Ltd [2004] NSWCA 73

New South Wales Court of Appeal

CITATION : Stockl v Rigura Pty Ltd [2004] NSWCA 73 HEARING DATE(S) : 4 & 5 February, 2004 JUDGMENT DATE : 19 March 2004

JUDGMENT OF : Mason P at 1; Ipp JA at 2; Palmer J at 3 DECISION : (1) Leave to amend Notice of Appeal refused; (2) appeal dismissed; (3) parties to file written submissions as to costs.

CATCHWORDS : REAL PROPERTY - MORTGAGE - POWER OF SALE - Whether mortgagee's power of sale had been exercised in good faith - significance of expert valuation evidence as to market price of property - significance of result of properly conducted advertising campaign - whether unaccepted offer for property may be taken into consideration in determining whether sale at an undervalue - whether it is proper for a mortgagee to advertise a sale as a "mortgagee sale" - whether a mortgagee must obtain an independent valuation of the property before setting a reserve price or accepting an offer to buy - PRACTICE AND PROCEDURE - Whether case should be remitted to trial judge to enable a finding as to disputed fact to be made - whether cause of action should be remitted if doomed to failure in any event. LEGISLATION CITED : Contracts Review Act 1980 (NSW) Real Property Act 1900 (NSW) - s.57(2) - Australia & New Zealand Banking Group Ltd v Bangadilly Pastoral Co Pty Ltd (1978) 139 CLR 195 - Marcus Clark & Co Ltd v Commissioner for Railways (1949) 29 VLR 98 - Elizabeth Grove Shopping Centre Pty Ltd v Commonwealth Bank of Australia (unrep. FCA 22 June 1994 - Gomez v State Bank of New South Wales Ltd [2001] FCA 1059 - Goold & Rootsey v Commonwealth of Australia (1993) 42 FCR 51 - Hallifax Property Corp Pty Ltd v GIFC Ltd (1987) 4 BPR 9708 - Hawkesbury Valley Developments Pty Ltd v Custom Credit Corporation Ltd (1994) 8 BPR 15,581 CASES CITED : - Henry Roach (Petroleum) Pty Ltd v Credit House (Victoria) Pty Ltd [1976] VR 309 - McDonald v Deputy Federal Commissioner of Land Tax (NSW) (1915) 20 CLR 231 - Pendlebury v Colonial Mutual Life Assurance Society Ltd (1912) 13 CLR 676 - Stone v. Farrow Mortgage Services (In liq) [2000] ANZ ConvR 463 - Tyler v Custom Credit Corporation Ltd (In liq) [2001] QSC 495 - Warner v Jacob (1882) 20 Ch D 220 - Westpac Banking Corporation Ltd v Kingsland (1991) 26 NSWLR 700 - Westpac Corporation v Lakajev [2000] NSWSC 603 Peter Maximilian Stockl - Appellant Rigura Pty Ltd - First Respondent Thomas George Ridgeway & Ors t/as Parish Patience Solicitors - Second Respondent Christopher Michael Finn & Ors t/as Parish Patience Solicitors - Third Respondent John Barry Gray & Ors t/as Parish Patience Solicitors - Fourth Respondent PARTIES : David Lee Bitel & Ors t/as Parish Patience Solicitors - Fifth Respondent Phillip John Lederman & Ors t/as Parish Patience Solicitors - Sixth Respondent Laurence Phillip Graves & Ors t/as Parish Patience Solicitors - Seventh Respondent Malcolm Phillip Bersten & Ors t/as Parish Patience Solicitors - Eighth Respondent Rodney Kent & Ors t/as Parish Patience Solicitors - Ninth Respondent Adolfson Investments Pty Ltd - Tenth Respondent FILE NUMBER(S) : CA 40695/02 COUNSEL : J. Thomson and S.W. Davis - Appellant J.T. Gleeson SC and R.A. O'Keefe - Respondents SOLICITORS : L.C. Muriniti & Associates - Appellant Minter Ellison - Respondents