Gresham Property Investments Limited v Global Consulting Services Pty Limited; Global Consulting Services Pty Limited v Gresham Property Investments Limited [2018] NSWSC 141

Supreme Court New South Wales

Medium Neutral Citation: Gresham Property Investments Limited v Global Consulting Services Pty Limited; Global Consulting Services Pty Limited v Gresham Property Investments Limited [2018] NSWSC 141 Hearing dates: 5 & 6 February 2018 Decision date: 21 February 2018 Jurisdiction: Equity - Commercial List Before: Ball J Decision: See [63] to [64] of this judgment. Catchwords: GUARANTEE AND INDEMNITY – Guarantor – Rights against co-guarantors – General principle of equal contribution among co-guarantors – Exceptions – Express agreement to the contrary GUARANTEE AND INDEMNITY – Guarantor – Rights against co-guarantors – General principle of equal contribution among co-guarantors – Exceptions – Common intention to the contrary GUARANTEE AND INDEMNITY – Guarantor – Rights against co-guarantors – General principle of equal contribution among co-guarantors – Exceptions – Where one guarantor obtains the whole benefit of the guarantee GUARANTEE AND INDEMNITY – Guarantor – Right to contribution – Whether differences between interests of guarantors prevent liabilities from being co-ordinate GUARANTEE AND INDEMNITY – Contract of guarantee – Construction – Extent of co-guarantor's right to priority under inter-creditor deed Cases Cited: Albion Insurance Company Limited v Government Insurance Office of New South Wales (1969) 121 CLR 342; [1969] HCA 55 AMP Bank Limited v Brown and Kavanagh [2017] NSWSC 313 Israel v Foreshore Properties Pty Ltd (1980) 54 ALJR 421; 30 ALR 631 Mahoney v McManus (1981) 180 CLR 370 Muschinski v Dodds (1985) 160 CLR 583; [1985] HCA 78 Official Trustee in Bankruptcy v Citibank Savings Ltd (1995) 38 NSWLR 116 Parker v Alessi [2011] NSWSC 947 Texts Cited: J D Heydon, M J Leeming and P G Turner, Meagher, Gummow and Lehane's Equity Doctrines & Remedies (LexisNexis Butterworths, 5th ed, 2015) Category: Principal judgment Parties: Gresham Property Investments Limited (ACN 078 108 086) (Plaintiff | First Cross-Defendant) Global Consulting Services Pty Limited (ACN 053 280 489) (First Defendant | First Cross-Claimant) RGN Pty Limited (ACN 121 372 183) (Second Defendant | Second Cross-Claimant) Pierora Pty Limited (In Liq) (Receivers & Managers Appointed) (Controller Appointed) (ACN 081 095 409) (Third Defendant | Third Cross-Defendant) PVS5 Holding Co Pty Limited (Receivers & Managers Appointed) (Controller Appointed) (ACN 154 301 596) (Fourth Defendant | Fourth Cross-Defendant) Pentridge Village Pty Limited (Receivers And Managers Appointed) (In Liquidation) (ACN 087 151 068) (Second Cross Defendant) Representation: Counsel: IR Pike SC with J Anderson (Plaintiff | First Cross Defendant) PG Willis SC with R Scheelings (First & Second Defendants | First & Second Cross Claimants) Submitting Appearance (Third & Fourth Defendants | Third & Fourth Cross Defendants)