In the matter of Gladstone Pacific Nickel Limited [2011] NSWSC 1235

Supreme Court New South Wales

Medium Neutral Citation: In the matter of Gladstone Pacific Nickel Limited [2011] NSWSC 1235 Hearing dates: 17 & 18 October 2011 Decision date: 04 November 2011 Jurisdiction: Equity Division - Corporations List Before: Ball J Decision: The originating process be dismissed with costs. Catchwords: CORPORATIONS - derivative action - leave to commence - whether serious question to be tried - whether in best interests of the company CORPORATIONS - directors duties - whether director in a position of conflict - whether director used his position as a director or knowledge gained as a director to obtain an unauthorised benefit - acquisition of refinery by director - did not seek to acquire until after company's bid failed - no prospect of the company acquiring refinery - director was approached with opportunity while not a director - no serious question that director breached his duties Legislation Cited: Corporations Act 2001 (Cth) Cases Cited: Aboriginal Development Commission v Ralkon Agricultural Co Pty Ltd (1987) 15 FCR 159; 74 ALR 505 ASIC v Adler [2002] NSWSC 171; (2002) 41 ACSR 72 Boardman v Phipps [1967] 2 AC 46 Chan v Zacharia (1984) 154 CLR 178 Consul Development Pty Ltd v DPC Estates Pty Ltd (1975) 132 CLR 373 Fitzpatrick v Cheal [2010] NSWSC 717 Furs Limited v Tomkies (1936) 54 CLR 583 Gerard Cassegrain & Co Pty Ltd v Cassegrain [2010] NSWSC 91 Hospital Products Ltd v United States Surgical Corporation (1984) 156 CLR 41 Kolback Securities Ltd v Epoch Mining NL (1987) 8 NSWLR 533 Maher v Honeysett & Maher Electrical Contractors Pty Ltd [2005] NSWSC 859 Oates v Consolidated Capital Services Ltd [2009] NSWCA 183; (2009) 72 ACSR 506 Paris King Investments Pty Ltd v Rayhill [2006] NSWSC 403 Queensland Mines Ltd v Hudson (1978) 18 ALR 1 Regal (Hastings) Ltd v Gulliver [1967] 2 AC 134n Swansson v R A Pratt Properties Pty Ltd [2002] NSWSC 583; (2002) 42 ACSR 313 Warman International Ltd v Dwyer [1995] HCA 18; (1995) 182 CLR 544 Woolworths Ltd v Kelly (1991) 22 NSWLR 189 Texts Cited: RP Austin and IM Ramsay, Ford's Principles of Corporations Law, LexisNexis Category: Principal judgment Parties: Robash Pty Limited ACN 008 975 773 (Plaintiff) Gladstone Pacific Nickel Pty Ltd (Defendant) Representation: Mr J W J Stevenson SC (Plaintiff) Mr N Kabilafkas (Plaintiff) Mr J C Sheahan SC (Defendant) Mr J A N Hogan-Doran (Defendant) Norton Rose (Plaintiff) Blake Dawson (Defendant) File Number(s): 2011/245544