In the matter of Novo Tank Pty Limited (in liquidation) ACN 050 210 823 [2013] NSWSC 1118

Supreme Court New South Wales

Medium Neutral Citation: In the matter of Novo Tank Pty Limited (in liquidation) ACN 050 210 823 [2013] NSWSC 1118 Hearing dates: Wednesday 17 July 2013 Decision date: 17 July 2013 Jurisdiction: Equity Division - Corporations List Before: Brereton J Decision: Order pursuant to Corporations Act, s 588FF(3) extending the time during which an application under s 588FF(1) may be made. Approve pursuant to Corporations Act s 477(2B) the liquidator entering into, on behalf of the company, a funding agreement, notwithstanding that the term of the agreement may end or an obligation of a party to the agreement could be discharged by performance more than three months after the agreement is entered into. Catchwords: CORPORATIONS - winding up - application for approval of entry into litigation funding agreement under Corporations Act s 477(2B) - where evidence discloses a strongly arguable case in proposed litigation - where proposed litigation funding agreement provides for funder to receive 50% of any recovery - where Commonwealth is priority creditor - whether agreement in interests of creditors

CORPORATIONS - winding up - voidable transactions - application for extension of time during which orders may be sought in relation to voidable transactions - where orders seek short extension of time and identify specific defendants - where proposed defendants do not appear to oppose application. Legislation Cited: (Cth) Corporations Act 2001, s 477, s 588FF Cases Cited: BP Australia Ltd v Brown and Others [2003] NSWCA 216 Octaviar Administration Pty Ltd (In Liquidation) [2013] NSWSC 786 Category: Principal judgment Parties: Richard Albarran & Steven Gladman as joint and several liquidators of Novo Tank Pty Ltd (in liquidation) ACN 050 210 823 (first plaintiff) Nova Tank Pty Limited (in liquidation) ACN 050 210 823 (second plaintiff) United Industries (WA) Pty Ltd (first defendant) Normist Pty Ltd (second defendant) Stainless Pipe & fittings Australia Pty Ltd (third defendant) Coventry Group Ltd (fourth defendant) Atlas Specialty Metals Pty Ltd (fifth defendant) Sterling Pumps Pty Ltd (sixth defendant) Formaction Concrete Civils Pty Ltd (seventh defendant) Representation: Counsel: Mr CD Freeman (plaintiffs) (ex parte) Solicitors: Nelson McKinnon Lawyers (plaintiffs) File Number(s): 13/ 90876