In the matter of Eden Resort Hotel Limited [2013] NSWSC 1820

Supreme Court New South Wales

Medium Neutral Citation: In the matter of Eden Resort Hotel Limited [2013] NSWSC 1820 Hearing dates: 11 December 2013 Decision date: 11 December 2013 Jurisdiction: Equity Division Before: Brereton J Decision: 1. Declare that the first plaintiff is entitled to inspect the documents comprised in MFI07. 2. Grant leave to the plaintiffs to discontinue the proceedings against the third and fourth defendants. 3. Order that the first plaintiff pay the third defendant's costs of the proceedings assessed in the sum of $30,000. 4. Order that the fourth defendant pay the plaintiffs' costs of the proceedings against the fourth defendant up to 2 May 2013 and the plaintiffs' costs of the fourth defendant's motion filed 26 August 2013, including one half of the plaintiffs' costs of the hearing before Brereton J on 4, 9 and 11 December 2013. Catchwords: CORPORATIONS - management and administration - access to documents of company - by director - where documents held by solicitors - inspection of documents produced to Court - documents comprise email correspondence between third and fourth defendants pertaining to arrangements between them in their capacity as "consultants" on the one hand and the first defendant company on the other - documents brought into existence primarily, if not exclusively, for purpose of the fourth defendant solicitor and on that basis they are the property of the solicitor - although the documents in question are the property of the fourth defendant, they are documents which the first defendant was entitled to have disclosed to it and to inspect - plaintiff has authority of the first defendant to inspect documents on its behalf - held, plaintiff is entitled to inspect documents. PROCEDURE - Costs - departing from the general rule - on discontinuance by plaintiff - whether to "otherwise order" - where plaintiff had obtained substantive relief sought - where proceedings commenced without prior notice and third defendant promptly submitted - where instituting of proceedings against fourth defendant reasonable. Cases Cited: Tyrrell v Bank of London (1862) 10 HL Cas 26 Wentworth v De Montfort (1988) 15 NSWLR 348 Category: Costs Parties: Heinrich Karl Michael Ruiz De Roxas (first plaintiff) HDR Hospitality Consulting International Pty Ltd (second plaintiff) Eden Resort Hotel Pty Ltd (first defendant) Lu Min Yong (second defendant) Dennis Low (third defendant) Stephen Velik (fourth defendant) Representation: Counsel: N Newton (first plaintiff) G Jones (third defendant) S Velik (solicitor) (fourth defendant) Solicitors: Thomsons Lawyers (first plaintiff) SV Law (fourth defendant) File Number(s): 2013/68943 Publication restriction: No