Bruning v MMAL Rentals Pty Ltd; Bruning v Kingmill (Australia) Pty Ltd [2004] NSWSC 60

New South Wales Supreme Court

CITATION : Bruning v MMAL Rentals Pty Ltd; Bruning v Kingmill (Australia) Pty Ltd [2004] NSWSC 60 revised - 10/03/2004 HEARING DATE(S) : 11, 12 August 2003; 20, 21, 22, 23, 24, 27, 28 October 2003 JUDGMENT DATE : 18 February 2004 JURISDICTION: Equity Division JUDGMENT OF : Young CJ in Eq DECISION : Contract varied as noted in catchwords.

CATCHWORDS : INDUSTRIAL LAW [678]- Unfair contract- Managing director- Contract required man to invest his own money in enterprise in purchase of shares- At end of enterprise value of shares fallen greatly- Other party made profits from enterprise through collateral businesses- Other party given right to buy back director's shares at fair value- Appropriate to vary contract by ordering buyback to return director at least the sum invested plus reasonable interest. WORDS & PHRASES- "Partnership". Corporations Act 2001, s 233 LEGISLATION CITED : Industrial Relations Act 1996, ss 105, 106 Trade Practices Act 1974 Bruning v Kingmill (Australia) Pty Ltd (1998) 44 NSWLR 180 O'Neill v Phillips [1999] 1 WLR 1092 Premier Sports Australia Pty Ltd v Dodds [2001] NSWSC 707 Re A Company; Ex parte Glossop [1988] 1 WLR 1068 Re A Company [1997] 1 BCLC 479 Re Dah and Hull (1983) 9 Fam LR 241 CASES CITED : Re Reynolds (1984) 10 Fam LR 388 Re Sam Weller & Sons Ltd [1990] Ch 682 Reich v Client Server Professionals of Australia Pty Ltd (2000) 49 NSWLR 551 Sapir v Sapir (No 2) (1989) 13 Fam LR 362 Scottish Co-Operative Wholesale Ltd v Meyer [1959] AC 324 Swann v Ultratune Australia Pty Ltd (1983) 5 IR 284 Thompson Pty Ltd v Total Australia Ltd [1980] 2 NSWLR 1 Walsham v Stainton (1863) 1 De GJ & Sm 678; 46 ER 268 3142/98 Bernard John Bruning (P) MMAL Rentals Pty Limited (D1) Mitsubishi Motors Australia Limited (D2) PARTIES : Kingmill (Australia) Pty Limited (D3) 4049/98 Bernard John Bruning (P) Kingmill (Australia) Pty Limited (D1) Mitsubishi Motors Australia Limited (D2) FILE NUMBER(S) : SC 3142/98; 4049/98 COUNSEL : G C Lindsay SC and S J Philips (P) R J Whitington QC and A J Grant (D) SOLICITORS : Horton Rhodes (P) Thomson Playford (D)