Solarus Projects Pty Ltd v Vero Insurance Ltd (No 2) [2013] NSWSC 329

Supreme Court New South Wales

Medium Neutral Citation: Solarus Projects Pty Ltd v Vero Insurance Ltd (No 2) [2013] NSWSC 329 Hearing dates: 9 October 2012 Decision date: 10 April 2013 Jurisdiction: Common Law Before: Button J Decision: (1) The second plaintiff give security within 14 days of the defendant's costs in the proceedings by way of bank guarantee in the amount of $250,000 (in a form acceptable to the defendant) or in such other form as may be acceptable to the defendant. (2) The proceedings comprising the second plaintiff's claim against the defendant be stayed in the event that security is not provided in accordance with order 1. (3) The defendant has liberty to make such further application to the Court for security for costs. (4) The second plaintiff pay 50 per cent of the defendant's costs as agreed or assessed in respect of its notice of motion filed 20 September 2011. (5) The second plaintiff pay the defendant's costs thrown away by reason of the adjournment of the notice of motion filed 20 September 2011 on 3 September 2012. Catchwords: PRACTICE AND PROCEDURE - application for security for costs - impecunious corporate plaintiff - no evidence of potential stultification - co plaintiff provided de facto security - overlapping issues - quantum of security reduced Legislation Cited: Corporations Act 2001 (Cth) Evidence Act 1995 Uniform Civil Procedure Rules 2005 Cases Cited: Hi-Tech Telecom Pty Ltd v NEC Australia Pty Ltd [2012] FCA 466 Idoport Pty Limited v National Australia Bank Limited [2001] NSWSC 744 Street v Luna Park Sydney Pty Ltd [2006] NSWSC 1317 Wollongong City Council v Legal Business Centre Pty Limited [2012] NSWCA 245 Yandil Holdings Pty Ltd v Insurance Co of North America (1985) 3 ACLC 542 Category: Interlocutory applications Parties: G.A.P. Constructions (QLD) Pty Ltd (second plaintiff) Vero Insurance Ltd (defendant) Representation: Counsel: A Kelly (first plaintiff) P Bard (second plaintiff) A S Martin SC, J Hynes (defendant) Solicitors: DLA Piper (first plaintiff) Paul Bard Lawyers (second plaintiff) Carter Newell (defendant) File Number(s): 2011/154276