In the matter of Yinsanity Pty Ltd [2019] NSWSC 1290

Supreme Court New South Wales

Medium Neutral Citation: In the matter of Yinsanity Pty Ltd [2019] NSWSC 1290 Hearing dates: 19 September 2019 Date of orders: 19 September 2019 Decision date: 19 September 2019 Jurisdiction: Equity - Corporations List Before: Black J Decision: Leave granted to the Second Plaintiff to bring proceedings on behalf of Yinsanity Pty Ltd under s 237 of the Corporations Act 2001 (Cth). Catchwords: CORPORATIONS – statutory derivative action – application to bring proceedings on behalf of company – where applicant is one of company's two statutory directors – where applicant undertakes to indemnify company in respect of costs of conducting the proceedings – where defendants do not oppose grant of leave – whether the proposed proceedings are in the company's best interests – whether leave should be granted to the applicant to commence proceedings in company's name. Legislation Cited: - Corporations Act 2001 (Cth) ss 9, 237, 237(2), 237(2)(a), 237(2)(c), 237(2)(d) Cases Cited: - Ancient Order of Foresters in Victoria Friendly Society v Lifeplan Australia Friendly Society Ltd [2018] HCA 43 - Cassegrain v Gerard Cassegrain and Co Pty Ltd [2008] NSWSC 1159 - Huang v Wang [2016] NSWCA 164 - Maher v Honeysett and Maher Electrical Contractors Pty Ltd [2005] NSWSC 859 - Power v Ekstein [2010] NSWSC 137; (2010) 77 ACSR 302 - Re Gladstone Pacific Nickel Pty Ltd [2011] NSWSC 1235; (2011) 86 ACSR 432 - Re Imperium Projects Pty Ltd [2015] NSWSC 123 - Re Legal Practice Management Group Pty Ltd [2018] NSWSC 527 - Swansson v RA Pratt Properties Pty Ltd [2002] NSWSC 583; (2002) 42 ACSR 313 - The App Shop Pty Ltd v Jalal Brothers Pty Ltd [2019] NSWSC 490 Category: Principal judgment Parties: Yinsanity Pty Ltd (First Plaintiff) Bon Bon Cheuk Kit Lee (Second Plaintiff) Ying Xue (First Defendant) Kar How Low (Second Defendant) Yingsanity Pty Ltd (Third Defendant) Representation: Counsel: S W W Sykes (Plaintiff)