In the matter of Swan Services Pty Limited [2015] NSWSC 2099

Supreme Court New South Wales

Medium Neutral Citation: In the matter of Swan Services Pty Limited [2015] NSWSC 2099 Hearing dates: 10 August 2015 Date of orders: 10 August 2015 Decision date: 10 August 2015 Before: Brereton J Decision: Liquidator given approval to enter into agreement with litigation funder on behalf of the second to eighth plaintiffs. Catchwords: CORPORATIONS – winding up – liquidators – power of liquidator to enter into agreement with litigation funder – approval by Court under (CTH) Corporations Act 2001, s 477(2B) – whether agreement would unnecessarily and inappropriately protract liquidation – where liquidation likely to be protracted in any case – where relevant litigation already well-advanced – where agreement transfers risk to litigation funder – reflection of transfer of risk in liquidator's remuneration – where Committee of Inspection unanimously rejected agreement – where notice of application for approval not given to Committee of Inspection – members of Committee given leave to apply to set aside Court's order. Legislation Cited: (CTH) Corporations Act 2001, s 477(2B) Category: Procedural and other rulings Parties: Anthony Wayne Elkerton in his capacity as liquidator of Swan Services Pty Limited (in liquidation) ACN 000 699 990 (first plaintiff) Services Pty Limited (in liquidation) ACN 000 699 990 (second plaintiff) Superior Cleaners WA Pty Limited (in liquidation) ACN 002 876 646 (third plaintiff) Cleaners ACT Pty Limited (in liquidation) ACN 149 985 740 (fourth plaintiff) Cleaners Vic Pty Limited (in liquidation) ACN 082 240 631 (fifth plaintiff) Cleaners SA Pty Limited (in liquidation) ACN 003 885 621 (sixth plaintiff) Cleaners QLD Pty Limited (in liquidation) ACN 000 808 113 (seventh plaintiff) Cleaners New South Wales Pty Limited (in liquidation) ACN 000 808 112 (eighth plaintiff) Representation: Counsel: A Spencer (plaintiffs)