Armstrong Strategic Management and Marketing Pty Ltd v Expense Reduction Analysts Group Pty Ltd [2013] NSWSC 457

Supreme Court New South Wales

Medium Neutral Citation: Armstrong Strategic Management and Marketing Pty Ltd v Expense Reduction Analysts Group Pty Ltd [2013] NSWSC 457 Hearing dates: 4, 5 and 22 April 2013 Decision date: 01 May 2013 Jurisdiction: Equity Division - Commercial List Before: Stevenson J Decision: Plaintiffs to provide security for costs in the sum of $100,000 Catchwords: CONTRACT - specific performance of alleged agreement to provide security for costs - whether there is an agreement between the parties - whether parties intended agreement have a legally binding effect - whether there is an inferred or implied term that conventional application for security for costs would not be brought - impossibility of performance PRACTICE AND PROCEDURE - security for costs - specific performance of alleged agreement to provide security for costs - impecunious corporate plaintiffs - whether security for costs should be ordered against individual plaintiff - stultification Legislation Cited: Civil Procedure Act 2005 Corporations Act 2001 (Cth) Trade Practices Act 1974 (Cth) Uniform Civil Procedure Rules 2005 Cases Cited: Air Great Lakes Pty Ltd v KS Easter (Holdings) Pty Ltd (1985) 2 NSWLR 309 Anderson Formrite Pty Ltd v Baulderstone Hornibrook Pty Ltd (No 3) [2009] FCA 273 Anderson Formrite Pty Ltd v Baulderstone Hornibrook Pty Ltd (No 4) [2009] FCA 365 Armstrong Strategic Management and Marketing Pty Ltd v Expense Reduction Analysts Group Pty Ltd [2011] NSWSC 704 Armstrong Strategic Management and Marketing Pty Ltd v Expense Reduction Analysts Group Pty Ltd [2012] NSWSC 393 Armstrong Strategic Management and Marketing Pty Ltd v Expense Reduction Analysts Group Pty Ltd; Expense Reduction Analysts Group Pty Ltd v Armstrong Strategic Management and Marketing Pty Ltd [2012] NSWCA 430 Bagnato v Bagnato [2011] NSWSC 1035 Epping Plaza Fresh Fruit & Vegetables Pty Ltd v Bevendale Pty Ltd [1999] 2 VR 191 Hoxton Park Residents Action Group Inc v Liverpool City Council [2012] NSWSC1026 Jazabas Pty Ltd v Haddad [2007] NSWCA 291 Jeffery & Katauskas Pty Ltd v SST Consulting Pty Ltd (2009) 239 CLR KP Cable Investments Pty Ltd v Meltglow Pty Ltd (1995) 56 FCR 189 Prynew Pty Ltd v Nemeth [2010] NSWCA 94 Yandil Holdings Pty Ltd v Insurance Co of North America (1985) 3 ACLC 542 Texts Cited: Sneddon, Bigwood and Ellinghaus, Cheshire and Fifoot Law of Contract, 10th Aust ed (2012) Spry, The Principles of Equitable Remedies, 8th ed (2009) Young, Croft and Smith, On Equity, (2009) Category: Interlocutory applications Parties: Armstrong Strategic Management and Marketing Pty Ltd (first plaintiff) Armstrong Consulting Pty Ltd (second plaintiff) Ken Armstrong (third plaintiff) Expense Reduction Analysts Group Pty Ltd (first defendant) ERA Insurance Services Pty Ltd (second defendant) Expense Reduction Analysts Australasia Pty Ltd (third defendant) Stuart Roy Michael (fourth defendant) Ronald Clucas (fifth defendant) Charles Frederick Marfleet (sixth defendant) Eragics Limited (seventh defendant) Expense Reduction Analysts International Limited (eighth defendant) Keith John Chapman (ninth defendant) Anthony Frederick Dormer (tenth defendant) Representation: Counsel: J P Durack SC with H Pintos-Lopez (plaintiffs) D J Fagan SC with E A J Hyde 4 & 5 April and Mr Hyde alone on 22 April (fourth, fifth, sixth, ninth and tenth defendants) Solicitors: Marque Lawyers (plaintiffs) Norton Rose Australia (fourth, fifth, sixth, ninth and tenth defendants) File Number(s): SC 2011/76919 Publication restriction: Nil