Grandview Ausbuilder Pty Ltd v Budget Demolitions Pty Ltd [2018] NSWSC 1647

Supreme Court New South Wales

Medium Neutral Citation: Grandview Ausbuilder Pty Ltd v Budget Demolitions Pty Ltd [2018] NSWSC 1647 Hearing dates: 24, 25 October 2018; further written submissions ending 29 October 2018. Date of orders: 02 November 2018 Decision date: 02 November 2018 Jurisdiction: Equity - Corporations List Before: Parker J Decision: See [71] Catchwords: CORPORATIONS – winding up – winding up in insolvency – application to set aside creditor's statutory demand under Corporations Act 2001 (Cth), s 459H – debt arising under the Building and Construction Industry Security of Payments Act 1999 (NSW) – offsetting claims – offsetting claim for liquidated damages for failure to complete construction contract by individual milestone dates or overall completion date – where builder prevented sub-contractor from completing works by dates specified in the contract – entitlement to recover liquidated damages

CORPORATIONS – winding up – winding up in insolvency – application to set aside creditor's statutory demand under Corporations Act 2001 (Cth), s 459H – debt arising under the Building and Construction Industry Security of Payments Act 1999 (NSW) – offsetting claims – offsetting claim for cost of completing work – claim foreshadowed in supporting affidavit but not yet accrued at time of s 459H application – not an offsetting claim

CORPORATIONS – winding up – winding up in insolvency – application to set aside creditor's statutory demand under Corporations Act 2001 (Cth), s 459H – debt arising under the Building and Construction Industry Security of Payments Act 1999 (NSW) – whether conditions should be imposed under Corporations Act 2001 (Cth), s 459M on an order varying the demand – conditions imposed requiring proceedings to be brought and claim amount paid into court Legislation Cited: Building and Construction Industry Security for Payment Act 1999 (NSW), ss 14, 15 Corporations Act 2001 (Cth), ss 459G, 459H, 459M, 459S Cases Cited: 185L6 Pty Ltd v Strata Corporation 07176 Inc [2011] SASC 164 Aldoga Aluminium Pty Ltd v De Silva Starr Pty Ltd [2005] NSWSC 284 Biron Capital Ltd v Velowing Pty Ltd [2003] NSWSC 1181 Broke Hills Estate Pty Ltd v Oakvale Wines Pty Ltd (2005) 23 ACLC 1,266; [2005] NSWSC 638 Diploma Construction (WA) Pty Ltd v KPA Architects Pty Ltd [2014] WASCA 91 Equuscorp Pty Ltd v Perpetual Trustees WA Ltd (1997) (1997) 80 FCR 296; 25 ACSR 675; [1997] FCA 1366 Get'm Pty Ltd v Triulcio [2004] NSWSC 291 Graywinter Properties Pty Ltd v Gas & Fuel Corp Superannuation Fund (1996) 70 FCR 452; [1996] FCA 822 John Shearer Ltd & Arrowcrest Group Pty Ltd v Gehl Company (1995) 60 FCR 136; [1995] FCA 1034 Kerslake Superannuation Pty Ltd v C and L Building Pty Ltd (2010) 4 BFRA 668; [2010] NSWSC 424 Macleay Nominees v Belle Property East Pty Ltd [2001] NSWSC 743 M & D Demir Pty Ltd v Graf Plumbing Pty Ltd [2004] NSWSC 553 Ozone Manufacturing Pty Ltd v Deputy Commissioner of Taxation (2006) 94 SASR 269; [2006] SASC 91 Panel Tech Industries (Australia) Pty Ltd v Australian Skyreach (No 2) [2003] NSWSC 896 Plus 55 Village Management Pty Ltd v Parisi Homes Pty Ltd [2005] NSWSC 559 Pravenkav Group Pty Ltd v Diploma Construction (WA) Pty Ltd (No 3) (2014) 46 WAR 483; [2014] WASCA 132 Probuild Constructions (Aust) Pty Ltd v DDI Group Pty Ltd (2017) 95 NSWLR 82; [2017] NSWCA 151 Re Douglas Aerospace Pty Ltd (2015) 294 FLR 186; [2015] NSWSC 167 Re Infratel Networks Pty Ltd [2012] NSWSC 943 Re J Group Constructions Pty Ltd (2015) 303 FLR 139; [2015] NSWSC 1607 Re Wabbits Pty Ltd [2018] NSWSC 532 Category: Principal judgment Parties: Grandview Ausbuilder Pty Ltd (Plaintiff) Budget Demolitions Pty Ltd (Defendant) Representation: Counsel: D Elliott (Plaintiff) N Allan (Defendant)