MTF Investments Pty Ltd v Prestige Building Services Pty Ltd [2004] NSWSC 965

New South Wales Supreme Court

CITATION : MTF Investments Pty Ltd v Prestige Building Services Pty Ltd [2004] NSWSC 965 HEARING DATE(S) : 17/09/04 JUDGMENT DATE : 17 September 2004

JURISDICTION: Equity Division Corporations List JUDGMENT OF : Young CJ in Eq DECISION : Order that the statutory demand be set aside and that the defendant pay the plaintiff's costs of the proceedings.

CATCHWORDS : CONTRACTS [41]- Joint and several contracts- Building contract in one document- Proprietor liable only in fixed percentages- Held several contract only. CORPORATIONS [213]- Setting aside demand- Building contract- Proprietor only liable for 26%- Statutory demand for whole cost- Set aside. PARTIES : MTF Investments Pty Limited (P) Prestige Building Services Pty Limited (D) FILE NUMBER(S) : SC 1504/04 COUNSEL : G Thomas (P) A P Coleman (D) SOLICITORS : Levitt Robinson (P) Henry Davis York (D)

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

YOUNG CJ in EQ

Friday 17 September 2004

1504/04 – MTF INVESTMENTS PTY LTD v PRESTIGE BUILDING SERVICES PTY LTD JUDGMENT 1 HIS HONOUR: This is an application made by MTF Investments Pty Ltd, which was served with a creditor's statutory demand under the Corporations Act 2001 in January 2004. 2 The relationships between the parties was defined by a contract headed "Formal Instrument of Agreement", which was by deed made 9 July 2004. The defendant, therein called "the Builder", was one party. The other party was constituted by four corporations, one of which was the plaintiff. 3 The contract involved the builder constructing work of 42 units and one terrace in Botany Road, Alexandria. It was a middle of the range building contract for seven and a half million dollars. 4 Clause 6 of the contract is headed: