Advanced Management v Beech [2003] NSWSC 638

New South Wales Supreme Court

CITATION : Advanced Management v Beech [2003] NSWSC 638 HEARING DATE(S) : 11/07/03 JUDGMENT DATE : 18 July 2003 JURISDICTION: Equity Division JUDGMENT OF : Master Macready at 1 DECISION :

CATCHWORDS : Corporations Law. Application to set aside statutory demand. Whether a referance to Review Panel of a determination of a costs assessor operates as a stay of judgment. On the facts no referral during the currency of the demand. Proceedings dismssed. PARTIES : Advanced Management Consultancy Pty Limited v Martin Conway Beech FILE NUMBER(S) : SC 3097 of 2003 COUNSEL : Mr S.J. Stanton for plaintiff Aitken McLachlan Thorpe for plaintiff SOLICITORS : Mr T. Bors of Hasset Dixon for defendant

- 1 - IN THE SUPREME COURT OF NEW SOUTH WALES EQUITY DIVISION CORPORATIONS LIST

MASTER MACREADY

Friday 18 July 2003

3097 of 2003 ADVANCED MANAGEMENT CONSULTANCY PTY LIMITED v MARTIN CONWAY BEECH JUDGMENT 1 MASTER: This is an application under the Corporations Act to set aside a statutory demand served by the defendant on the plaintiff which is dated 13 May 2003. The statutory demand sought recovery of $50,272.43 being the amount of a judgment debt obtained in the District Court in respect of an order for costs in litigation between the two parties. 2 The plaintiff in these proceedings was the plaintiff in District Court proceedings No 5856 of 1998 which were heard at first instance in October 2000. The plaintiff was successful before the trial judge and obtained a verdict of $76,011.17. There was an appeal from that decision to the Court of Appeal. The Court of Appeal set aside the judgment and ordered a retrial which is listed for hearing in the District Court on 21 and 22 July 2003. The Court of Appeal ordered the respondent to pay the appellant's costs of the appeal and to have a certificate under the Suitors Fund Act if otherwise qualified. 3 On 22 October 2002 there was an application by the defendant for an assessment of the party and party costs in that order. A Certificate of Determination and a Statement of Reasons was given by the Costs Assessor on 12 May 2003. 4 The next day, namely 13 May 2003 the defendant lodged the Certificate of Determination in the District Court and as a result there was judgment against the plaintiff in the sum of $50,272.43. The judgment was given pursuant to section 208 J (3) of the Legal Profession Act 1987 which is in the following terms:- (3) In the case of an amount of costs that has not been paid, the certificate is, on the filing of the certificate in the office or registry of a court having jurisdiction to order the payment of that amount of money, and with no further action, taken to be a judgment of that court for the amount of unpaid costs, and the rate of any interest payable in respect of that amount of costs is the rate of interest in the court in which the certificate is filed. 5 There is a procedure under the Legal Profession Act for review of a determination of a costs assessor by a panel. Those provisions are contained within Subdivision 4A of Division 6 of the Legal Profession Act. Under section 208 KB if an application for review is made it is to be referred by the Manager, Costs Assessment to a panel which is to be constituted by two costs assessors. 6 The plaintiff filed an application for review of the costs assessment on 27 May 2003. On 28 May the Manager, Costs Assessment wrote to the solicitors lodging the application for review in these terms I refer to your Application for Review of Costs Assessment filed in the above matter on 27 May 2003. Please be advised that I have recommended the panel members to review this decision. Whilst I have confirmation from one panel member that he is able to review the matter, I am still awaiting confirmation from the second panel member. The Court is likely to have that confirmation by the end of today, and will issues notices advising both parties of the names of the panel members.