ROWLAND v MEUDON PTY LIMITED [2008] NSWSC 381

Reported Decision : 220 FLR 362

New South Wales Supreme Court

CITATION : ROWLAND v MEUDON PTY LIMITED [2008] NSWSC 381

HEARING DATE(S) : 21/04/2008

JUDGMENT DATE : 2 May 2008

JURISDICTION : EQUITY

JUDGMENT OF : Bryson AJ

1.An order pursuant to Section 247A of the Corporations Act 2001, authorising the Plaintiff to inspect documents recording matters taken into account by the directors of the company in the defence, or prosecution of the defence, of Supreme Court proceedings No. 5011/2002 and the Appeal, and in particular documents recording: i. deliberations of the company or the Board concerning the prospects of success of the defence of the respective proceedings; DECISION : ii. advices, whether of a legal nature or otherwise, in relation to the respective proceedings and their prosecution; iii. consideration given to the costs, or cost risks, of the proceedings. 2. Reserve liberty to apply with respect to costs, inspection by authorised person, identification and production of documents, legal professional privilege and generally.

CATCHWORDS : CORPORATIONS - inspection of documents by shareholders 247B Corporations Act - Home Unit company directors made arrangements with one member about developing roof garden - proprietors of one unit objected, brought proceedings and established on appeal that the arrangements should not be carried out - large costs incurred by Company - another member who opposed the arrangements and litigation sought information from directors about decisions and legal advice and received responses which in substance were refusals - levies for litigation costs imposed on members - no specific claim against directors and company proposed - consideration of case law on inspection of corporations' documents by members - HELD - order for inspection made.