Reozone Pty Ltd v Rene Santoro & Ors [2018] NSWSC 650

Supreme Court New South Wales

Medium Neutral Citation: Reozone Pty Ltd v Rene Santoro & Ors [2018] NSWSC 650 Hearing dates: 5, 6 & 7 February & 15 March 2018 Date of orders: 01 May 2018 Decision date: 15 May 2018 Jurisdiction: Equity Before: Slattery J Decision: Orders made for payment out of Court. Orders stayed pending the making of final attempts to locate the mortgagor. Funds in Court paid out notably among the applicants. Catchwords: FUNDS - IN - COURT - surplus funds paid into Court after sale of real property by mortgagee - Trustee Act, 1925, s 95 - Uniform Civil Procedure Rules 2005, r 55.11 - mortgagor/registered proprietor cannot be found - orders for substituted service upon mortgagor/registered proprietor made - mortgagor/registered proprietor primarily entitled to fund in Court - orders made for additional notice to be given to mortgagor/registered proprietor - three groups of unsecured creditors apply for payment out of the funds in Court - one has a judgment against the mortgagor/proprietor and the others have unresolved claims - whether payment out of Court should be ordered and if so on what basis - what steps should be taken to determine he unresolved claims. Legislation Cited: Civil Procedure Act 2005, ss 98(4)(c), 106(1)(c) Conveyancing Act 1919, ss 23C and 54A Federal Court of Australia Act 1976, s 52 Home Building Act 1989 Uniform Civil Procedure Rules 2005, rr 39.34, 39.41, 43, 55.11 Cases Cited: Australian Customer Target Information Code Pty Limited v Cabool Holdings Pty Limited [2003] NSWSC 753 Beach Petroleum NL v Johnson (No. 2) (1995) 57 FCR 119 Commonwealth Bank of Australia v The Estate of the Late Mahmoud Slieman [2010] NSWSC 661 De La Rue v Hernu Peron & Stockwell Ltd (1936) 2 KB 164 Edgar & Walker v Mead (1916) 23 CLR 29 Harmer v Federal Commissioner of Taxation (1991) 173 CLR 264 Hadid v Lenfest Communications Inc [2000] FCA 628 Hamod v State of New South Wales & Anor [2011] NSWCA 375 Harrison v Schipp (2002) 54 NSWLR 738; [2002] NSWCA 213 Hixon v Wytham (1675) 1 Cas in Ch 248 IMB Limited v Nallathambi [2009] NSWSC1387 MG Charley Pty Ltd v FH Wells Pty Ltd [1963] NSWR 22 Patterson v Cohen [2006] NSWSC 424 Humphris, in the matter of Hazelton Air Charter Pty Limited v Mentha [2002] FCA 529 Reozone Pty Ltd v Rene Santoro [2016] NSWSC 1383 Silva v Czarnikow Limited [1960] 1 Lloyd's Rep 319 Simone Starr-Diamond v Talus Diamond (No. 4) [2013] NSWSC 811 Tudor Furnishers Limited v Montague and Finer Production Co Ltd [1950] Ch 113 Wentworth v Rogers [2003] NSWSC 472 Westpac Banking Corporation v Morris [1998] NSWSC 66 Willmott v Barber (1881) 17 Ch D 772 Wolestoncroft v Long (1663) 1 Cas in Ch 32; 22 ER 679 Zepinic v Chateau Constructions (Aust) Ltd (No. 2) [2014] NSWCA 99 Texts Cited: JD Heydon, MJ Leeming and PG Turner, Meagher, Gummow & Lehane's Equity: Doctrines and Remedies (5th ed, 2014, LexisNexis Butterworths) at [3-130] Category: Principal judgment Parties: Plaintiff: Reozone Pty Ltd First Defendant: Rene Santoro Second Defendant: Elite Civil Group Pty Ltd (in liquidation) Eighth Defendant: Sydney Trucks and Machinery Centre Pty Ltd Ninth Defendant: TCT Management Pty Ltd Tenth Defendant: DuffyKennedy Pty Ltd Eleventh Defendant: Dominic Calbretta, Liquidator of Bono Group Pty Ltd Twelfth Defendant: Carrington Electrical Pty Ltd Representation: Counsel: P: n/a D2: P. Newton D8-9: P. Barham D10: G. D. McDonald D11-12: M Klooster; E. Tringali