MCDS Group Nominees Pty Ltd v Angas Securities Limited & Ors [2016] NSWSC 1714

Supreme Court New South Wales

Medium Neutral Citation: MCDS Group Nominees Pty Ltd v Angas Securities Limited & Ors [2016] NSWSC 1714 Hearing dates: 28 October 2016 & 11 November 2016 Date of orders: 25 November 2016 Decision date: 25 November 2016 Jurisdiction: Equity Before: Rein J Decision: See [46] Catchwords: PROCEDURE - costs - security for costs- plaintiff is corporate trustee and impecunious but asserts that impecuniosity caused by defendants and that proceedings will be stultified if security ordered. HELD: That plaintiff failed to establish by "straightforward and unambiguous evidence" that its impecuniosity or that of the previous corporate trustee was caused by defendants. Insufficient evidence of the financial position of identified potential beneficiaries (one of whom is the sole director and shareholder of the plaintiff) to support stultification; lack of satisfaction that claims brought are bona fide claims with a reasonable prospect of success. Cases Cited: Aged Care Services Pty Ltd v Kanning Services Pty Ltd (2013) 86 NSWLR 174; [2013] NSWCA 393 Ghana Commercial Bank v Chandiram [1960] AC 732 Kelly v Mina [2014] NSWCA 9 MCDS Group Nominees Pty Limited v Angas Securities Limited [2016] NSWSC 1456 Narradine Pty Ltd & Anor v Mascot Steel and Tools Pty Ltd & Ors [2012] NSWSC 385 Octavo Investments Pty Ltd v Knight (1979) 144 CLR 360 Power Infrastructure Pty Ltd v Downer EDI Engineering Power Pty Ltd [2010] FCA 1222 Reinsurance Australia Corp Ltd v HIH Casualty and General Insurance Ltd (in liq) [2003] FCA 803 Second Lenbourne Pty Ltd v Beagle Management Pty Ltd [1999] FCA 486 Transocean Capital Pty Ltd v AFSIG Pty Ltd [2006] NSWSC 806 Vacuum Oil Co Pty Ltd v Wiltshire (1945) 72 CLR 319 Westralian Gold Mines Ltd v Westralian Minerals & Drilling Pty Ltd (1986) 4 ACLC 167 Texts Cited: Dal Pont's Law of Costs (3rd edition, 2013, LexisNexis) Category: Principal judgment Parties: MCDS Group Nominees Pty Ltd (First Plaintiff) Warren Perry Anderson (Second Plaintiff) Angas Securities Limited (First Defendant) Stephen James Duncan and Christopher Robert Powell trading as Korda Mentha through Korda Mentha (SA & NT) Pty Limited (Second Defendants) Matthew James Donnelly and Anthony Hayes trading as Grant Thornton through Grant Thornton (WA) Pty Limited (Third Defendants) Representation: Counsel: A. Ogborne (Plaintiffs) B.C Roberts SC (Defendants)