Broadway Plaza Investments Pty Ltd v Broadway Plaza Pty Ltd [2017] NSWSC 1668

Supreme Court New South Wales

Medium Neutral Citation: Broadway Plaza Investments Pty Ltd v Broadway Plaza Pty Ltd [2017] NSWSC 1668 Hearing dates: 22 November 2017 Date of orders: 01 December 2017 Decision date: 01 December 2017 Jurisdiction: Equity Before: Robb J Decision: (1) Direct that Brett Stephen Lord, as Receiver of the Partnership (as those terms are defined in the orders made in these proceedings by Hallen J on 29 September 2016) is justified in applying the proceeds from the realisation of the assets of the Partnership in the amount of $500,000 in repayment of the Claimed Funds (as that term is defined in paragraph 21 of the affidavit affirmed by the Receiver on 1 September 2017) to Deicorp Pty Ltd and Combined Projects Holdings Pty Ltd.

(2) Order that the cost of this motion be a cost in the receivership and management of the Partnership. Catchwords: PARTNERSHIPS AND JOINT VENTURES — Receivership — Application for judicial advice by receiver of partnership — Where partner disputed validity of partnership debt to bank — Where related entities of one partner transferred money into partnership account to service debt to bank — Whether receiver justified in treating transfers as loans to partnership and repaying them. Legislation Cited: Partnership Act 1892 (NSW) ss 5, 44(b) Cases Cited: Glazier Holdings Pty Ltd v Australian Men's Health Pty Ltd [1998] NSWSC 144 Mariconte v Batiste (2000) 48 NSWLR 724; [2000] NSWSC 288 Category: Principal judgment Parties: Broadway Plaza Investments Pty Ltd (plaintiff/first respondent) Broadway Plaza Pty Ltd (defendant/second respondent) Brett Stephen Lord (court appointed receiver/applicant) Representation: Counsel: J Stoljar SC/B Michael (plaintiff/first respondent) DA Smallbone/J Gatland (defendant/second respondent) B Koch (receiver/applicant)