Charter Pacific Corporation Ltd v Securicom (NSW) Pty Ltd [2018] NSWSC 1246

Supreme Court New South Wales

Medium Neutral Citation: Charter Pacific Corporation Ltd v Securicom (NSW) Pty Ltd [2018] NSWSC 1246 Hearing dates: 16-18 July 2018; further submissions 27 and 31 July 2018 Decision date: 10 August 2018 Jurisdiction: Equity - Commercial List Before: Stevenson J Decision: Defendant not entitled to terminate share purchase agreement; plaintiff entitled to specific performance Catchwords: CONTRACTS – formation – conditional promises – whether cut-off date under contract extended – whether agreement to extend cut-off date conditional on payments under an agreed budget being paid by a particular time - whether seller entitled to terminate on basis that payments not so paid

EQUITY – equitable remedies – specific performance – share purchase agreement – where shares not freely or readily available on the open market – whether damages an adequate remedy – where parties have fallen out – where ongoing curial supervision likely – whether specific performance should be ordered Legislation Cited: Chancery Amendment Act (1858) (UK) (Lord Cairns' Act) Companies Act 2006 (UK) Supreme Court Act 1970 (NSW) Cases Cited: ANZ Executors and Trustees Ltd v Humes Ltd [1990] VR 615 Butt v McDonald (1896) 7 QLJ 68 Co-operative Insurance Society Ltd v Argyll Stores (Holdings) Ltd [1998] AC 1 Duncuft v Albrecht (1841) 59 ER 1104 Fothergill v Rowland (1873) LR 17 Eq 132 Huang v Chen [2017] NSWSC 1699 JC Williamson Ltd v Lukey [1931] HCA 15; (1931) 45 CLR 282 Lionsgate Australia Pty Ltd v Macquarie Private Portfolio Management Ltd [2007] NSWSC 371; (2007) 62 ACSR 522 Mal Owen Consulting Pty Ltd v Ashcroft [2018] NSWCA 135 OzEcom Ltd (in liq) v Hudson Investment Group [2007] NSWSC 719 Patrick Stevedores Operations No 2 Pty Ltd v Maritime Union of Australia (No 3) [1998] HCA 30; (1998) 195 CLR 1 Sellars v Adelaide Petroleum NL [1994] HCA 4; (1994) 179 CLR 332 Suttor v Gundowda Pty Ltd [1950] HCA 35; (1950) 81 CLR 418 Transfield Pty Ltd v Arlo International Ltd [1980] HCA 15; (1980) 144 CLR 83 Texts Cited: I C F Spry, Equitable Remedies (9th ed, 2014, Thomson Reuters) J D Heydon, M J Leeming and P G Turner, Meagher, Gummow & Lehane's Equity: Doctrines & Remedies (5th ed, 2015, LexisNexis Butterworths) N C Seddon and R A Bigwood, Cheshire & Fifoot Law of Contract (11th ed, 2017, LexisNexis Butterworths) Category: Principal judgment Parties: Charter Pacific Corporation Limited (Plaintiff) Securicom (NSW) Pty Limited (First Defendant) Christopher John Burke (Second Defendant) Microlatch Pty Ltd (Third Defendant) Microlatch Limited (Company Number 08625097) (Fourth Defendant) CJ Burke Nominees Pty Ltd (Fifth Defendant) Representation: Counsel: M Ashhurst SC with P Afshar (Plaintiff) A Macauley (Defendants)