Tan Hung Luu v 888 Links Group Pty Ltd & Ors [2006] NSWSC 1127

New South Wales Supreme Court

CITATION : Tan Hung Luu v 888 Links Group Pty Ltd & Ors [2006] NSWSC 1127

HEARING DATE(S) : 28/09/06

JUDGMENT DATE : 28 September 2006

JURISDICTION : Equity Division Corporations List

JUDGMENT OF : White J

EX TEMPORE JUDGMENT DATE : 09/28/2006

DECISION : 1. Refuse the relief sought in the interlocutory process filed on 26 September 2006; note the undertaking of the defendants to the court referred to above; order that the costs of the interlocutory process be the defendants' costs in the proceedings.

CATCHWORDS : CORPORATIONS – Share capital – Shares – Issue of shares – Validity – Plaintiff holds 2/5 of issued shares in first defendant ("the company") – Second and third defendants directors of company – Second and third defendants resolved that company would issue 200,000 ordinary shares – Plaintiff seeks interlocutory injunction to restrain issue of shares – Whether serious question to be tried that second and third defendants do not have power to cause shares to be issued – Whether serious question to be tried that second and third defendants exercising power with improper purpose of diluting plaintiff's shareholding in company – Where serious question to be tried – Balance of convenience – Where plaintiff's position can be protected by orders to be made at final hearing – Application for interlocutory injunction refused.

LEGISLATION CITED : Corporations Act 2001 (Cth) Civil Procedure Act 2005 (NSW)

CASES CITED : Whitehouse v Carlton Hotel Pty Limited (1987) 162 CLR 285

Tan Hung Luu PARTIES : v 888 Links Group Pty Limited (ACN 089 009 147) & Ors