Australia and New Zealand Banking Group Ltd v Pola [2013] NSWSC 1801

Supreme Court New South Wales

Medium Neutral Citation: Australia and New Zealand Banking Group Ltd v Pola [2013] NSWSC 1801 Hearing dates: 30 September 2013 - 16 October 2013; final submissions 22 November 2013 Decision date: 06 December 2013 Jurisdiction: Equity Division - Commercial List Before: Stevenson J Decision: Bank in breach of its duty under s 85 of the Property Law Act 1974 (Qld); Cross-Claims otherwise dismissed; Bank otherwise entitled to relief it seeks Catchwords: BANKING - banker and customer - mortgagee in possession exercising power of sale - duty under s 85 of the Property Law Act 1974 (Qld) - whether Bank failed to take reasonable care to ensure that the mortgaged property was sold at the market value

TRADE PRACTICES - s 52 of the Trade Practices Act 1974 (Cth) - Fair Trading Act 1989 (Qld) - whether advertisements were misleading or deceptive or likely to mislead or deceive - whether any misleading or deceptive representations were made

TORTS - duty of care - whether agent acting on behalf of mortgagee in possession owes a duty of care to a mortgagor Legislation Cited: Civil Liability Act 2003 (Qld) Corporations Act 2001 (Cth) Fair Trading Act 1989 (Qld) Property Agents and Motor Dealers Act 2000 (Qld) Property Law Act 1974 (Qld) Trade Practices Act 1974 (Cth) Uniform Civil Procedure Rules 2005 Cases Cited: Arnot v Biscoe (1743) 27 ER 914 Australia and New Zealand Banking Group Ltd v Alirezai [2002] QSC 175 Australia and New Zealand Banking Group Ltd v Pola [2013] NSWSC 1502 Australian Competition and Consumer Commission v Telstra Corporation Ltd [2004] FCA 987; (2004) 208 ALR 459 Bennett v Bayes (1860) 157 ER 1233 Brodie v Singleton Shire Council [2001] HCA 29; (2001) 206 CLR 512 Butcher v Lachlan Elder Reality Pty Ltd (2004) 218 CLR 592 Caltex Refineries (Qld) Pty Ltd v Stavar [2009] NSWCA 258; (2009) 75 NSWLR 649 Cameron v Brisbane Fleet Sales Pty Ltd [2002] 1 Qd R 463 Commercial and General Acceptance Ltd v Nixon (1981) 152 CLR 491 Dalton v Lawson Hill Estate Pty Ltd [2005] FCAFC 169; (2005) 66 IPR 525 Emerson v Custom Credit Corporation Ltd [1992] QCA 154; [1994] 1 Qd R 516 Florgale Uniforms Pty Ltd v Orders [2004] VSC 65; (2004) 11 VR 54 Fortson Pty Ltd v Commonwealth Bank of Australia [2008] SASC 49; (2008) 100 SASR 162 Henry Roach (Petroleum) Pty Ltd v Credit House (Vic) Pty Ltd [1976] VR 309 Investec Bank (Aust) Ltd v Glodale Pty Ltd [2009] VSCA 97; (2009) 24 VR 617 Jeogla Pty Ltd v Australia and New Zealand Banking Group Ltd [1999] NSWSC 563; (1999) 150 FLR 359 Kyuss Express Pty Ltd v Sellers [2001] VSC 10; (2001) 37 ACSR 62 Lowe v Dorling & Son [1906] 2 KB 772 McKean v Maloney [1988] 1 Qd R 628 Mitchell v Valherie (2005) SASR 76 Modbury Triangle Shopping Centre Pty Ltd v Anzil [2000] HCA 61; (2000) 205 CLR 254 Munya Lake Pty Ltd v Chief Executive, Dept of Natural Resources and Water [2010] QSC 58 Nixon v Commercial and General Acceptance Ltd [1980] Qd R 153 Norris v Sibberas [1990] VR 161 Owners -Strata Plan No 61288 v Brookfield Australia Investments Ltd [2013] NSWCA 317 Pappas v Soulac Pty Ltd (1983) 50 ALR 231 Pendlebury v Colonial Mutual Life Assurance Society Ltd (1912) 13 CLR 676 Perre v Apand Pty Ltd (1999) 198 CLR 180 Raging Thunder Pty Ltd v Bank of Western Australia Ltd [2012] QSC 329 Re National Funds Assurance Company (1878) 10 Ch D 118 Roots v Oentory Pty Ltd [1982] 2 Qd R 745 Sablebrook Pty Ltd v Credit Union Australia Ltd [2008] QSC 242 Seirlis v Bengston [2013] QSC 240 Skinner v Jeogla Pty Ltd [2001] NSWCA 15; (2001) 37 ACSR 106 Stockl v Rigura Pty Ltd [2004] NSWCA 73 Stone v Farrow Mortgage Services (in liq) [1999] NSWCA 435 Trade Practices Commission v Optus Communications Pty Ltd (1996) 64 FCR 326 Category: Principal judgment Parties: Australia and New Zealand Banking Group Ltd (plaintiff/first cross-defendant) Laurence James Pola (defendant/first cross-claimant) Silvia Frances Pola (interested party/second cross-claimant) Elders Rural Services Limited (third cross-defendant) Richard Allpass (fourth cross-defendant) Brendan Devine (fifth cross-defendant) Agrimas Pty Ltd (seventh cross-defendant) Devbar Pty Limited (eighth cross-defendant) Representation: Counsel: G Lucarelli (plaintiff/first cross-defendant) R J Wright SC (until 16 October 2013) with S Blount (defendant/cross-claimants) P A Horvath (third cross-defendant) B Heath (solicitor) (fourth and seventh cross-defendants) L Wilson (solicitor) (fifth and eighth cross-defendants) Solicitors: Minter Ellison (plaintiff/first cross-defendant) Palmers Solicitors & Attorneys (defendant/cross-claimants) Curwoods Lawyers (third cross-defendant) Carter Newell Lawyers (fourth and seventh cross-defendants) Doyle Wilson Solicitors (fifth and eighth cross-defendants) File Number(s): SC 2010/425175 Publication restriction: Nil