Ghose v CX Reinsurance Company Ltd & ors [2010] NSWSC 110

New South Wales Supreme Court

CITATION : Ghose v CX Reinsurance Company Ltd & ors [2010] NSWSC 110

HEARING DATE(S) : 8 December 2009, 4 and 18 February 2010

JUDGMENT DATE : 24 February 2010

JURISDICTION : Equity

JUDGMENT OF : Austin J

1. Order that the notices of motion for joint hearing filed on 1 October 2009 in each of proceedings No 00175282 of 2004 (Legacy No 50081 of 2004) and 00290411 of 2008 (Legacy No 50040 of 2008), and the notice of motion for joint hearing filed on 26 November 2009 in proceedings No 00259074 of 2005 (Legacy No 2518 of 2005), be dismissed. DECISION : 2. Order that the costs of the motion be costs in the cause of each of the proceedings mentioned in Order 1. 3. Stand the proceedings mentioned in Order 1 into the Corporations List on Monday 15 March 2010, with the intention that the three proceedings should travel together in the Corporations List for the time being.

CATCHWORDS : PRACTICE AND PROCEDURE - complex litigation concerning insurers' purported avoidance of D & O policy and liquidator's claim against directors for insolvent trading - respondent settles insolvent trading claim with liquidator but seeks indemnification from insurers for settlement money paid - application for joint hearing of proceedings - whether appropriate for same judge to determine insolvent trading proceedings and decide whether settlement was reasonable - whether common issues in the proceedings - whether prejudice to respondent

Civil Procedure Act 2005 (NSW), s 56 LEGISLATION CITED : Corporations Act 2001 (Cth), ss 588G, 588M Uniform Civil Procedure Rules, Part 28 Rule 5, Part 2 Rule 3(k)

A Goninan & Co Ltd v Atlas Steel (Aust) Pty Ltd [2003] NSWSC 956 Arab Bank Plc v Zürich Insurance Co [1999] 1 Lloyd's Rep 262 Aristocrat Technologies Australia Pty Limited v Global Gaming Supplies Pty Limited [2007] FCA 943 ASIC v Rich & Ors (2003) 44 ACSR 682; [2003] NSWSC 186 ASIC v Rich & Ors (2004) 50 ACSR 500; [2004] NSWSC 836 Australian Competition and Consumer Commission v Liquorland (Australia) Pty Ltd [2005] FCA 524 Australian Securities & Investments Commission v Axis International Management Pty Ltd [2009] FCA 250 Australian Securities & Investments Commission v Somerville [2008] NSWSC 788 Bishop v Bridgelands Securities (1990) 25 FCR 311 Bolwell Fibreglass Pty Ltd v Foley [1984] VR 97 Buckley v The Herald and Weekly Times Pty Ltd [2009] VSCA 118 Cameron v McBain [1948] VLR 245 Carnie v Esanda Finance Corp Ltd (1996) 38 NSWLR 465 CGU Insurance Ltd v AMP Financial Planning Pty Ltd (2007) 235 CLR 1 Cousins v Cousins (1948) 51 WALR 57 Dean v Phung [2009] NSWSC 201 Dean-Willcocks and Another v Air Transit International Pty Ltd and Others (2002) 55 NSWLR 64 CASES CITED : Dehsabzi & Dehsabzi v John Fairfax Publications Pty Ltd (No 3) [2008] NSWDC 273 Fong Consultants Pty Ltd v ATI Management Pty Ltd (1992) 108 FLR 140 Fox v Olsen & The State of South Australia [1999] SASC 411 Goold & Porter Pty Ltd v Housing Commission [1974] VR 102 Green v CGU Insurance Ltd (2005) 215 ALR 612 Horwood v British Statesman Publishing Co Ltd [1929] WN 38 Humphries v Newport Quays Stage 2A Pty Ltd [2009] FCA 699 International Advisor Systems Pty Ltd v XYYX Pty Ltd & Anor (No 3) [2008] NSWSC 430 Jendas Pty Ltd v Jolly [1997] 2 VR 106 Lewis v Daily Telegraph Ltd (No 2) [1964] 2 QB 601 Maher v Spedley Securities Ltd (in liq) and others (1992) 26 NSWLR 411 Main-Rd Property Group Pty Ltd v Pelligra & Sons Pty Ltd [2007] VSC 43 Muller v Human Rights and Equal Opportunity Commission (Federal Court of Australia, 17 July 1997, unreported, Moore J); Pegasus Gold Inc v Bateman Project Engineering Pty Ltd [1999] FCA 490 Re Ling; Ex parte Ling v Commonwealth (1995) 58 FCR 129 SCI Operations Pty Ltd v Australian Paper Manufacturers Ltd (1983) 51 ALR 365 Thompson v HFA Asset Management Ltd [2008] FCA 1926 Wilson v Minister for Land and Water Conservation for the State of New South Wales and Others (2003) 126 FCR 500; [2003] FCA 307