In the matter of Blue Sennar Air Pty Ltd (in liq); In the matter of Eye Plantain Pty Ltd (in liq) [2016] NSWSC 772

Supreme Court New South Wales

Medium Neutral Citation: In the matter of Blue Sennar Air Pty Ltd (in liq); In the matter of Eye Plantain Pty Ltd (in liq) [2016] NSWSC 772 Hearing dates: Friday, 10 June 2016 Date of orders: 15 June 2016 Decision date: 15 June 2016 Jurisdiction: Common Law Before: Brereton J Decision: The Conference Facilities Agreement was not property of Blue Sennar amenable to disclaimer. The Conference Facilities Agreement and Licence were not unprofitable contracts of Eye Plantain, and could not be disclaimed without leave. All the purported disclaimers were nullities and of no effect. Catchwords: CORPORATIONS – external administration – liquidation – winding up generally – disclaimer of onerous property – disclaimer of contract without leave – whether contract "unprofitable contract" – where contract consistently delivers net revenue to company – held, not "unprofitable contract" and cannot be disclaimed without leave Legislation Cited: (CTH) Corporations Act 2001, s 568, s 568A, s 568B Cases Cited: Global Television Pty Ltd v Sportsvision Australia Pty Ltd (in liq) [2000] NSWSC 960; (2000) 35 ACSR 484 Old Style Confections Pty Ltd v Microbyte Investments Pty Ltd (in liq) [1995] 2 VR 457; (1994) 15 ACSR 191 Rothwells Ltd (in liq) v Spedley Securities Ltd (in liq) (1990) 20 NSWLR 417 Transmetro Corporation Ltd v Real Investments Pty Ltd [1999] QSC 089; (1999) 17 ACLC 1314 Willmott Growers Group Inc v Willmott Forests Limited [2013] HCA 51; (2013) 251 CLR 592 Category: Principal judgment Parties: AAPC Management Limited (plaintiff) Gideon Isaac Rathner as liquidator of Blue Sennar Air Pty Ltd (first defendant) Gideon Isaac Rathner as liquidator of Eye Plantain Pty Ltd (second defendant) Representation: Counsel: D R Sulan w J T Buncle (plaintiff) R A Harris (defendants)