ACN 002 306 283 Pty Ltd (formerly known as Moraitis Fresh Packaging (NSW) Pty Ltd (ACN 002 306 283) v Fresh Express Australia Pty Ltd (ACN 065 867 218)

ACN 002 306 283 Pty Ltd (formerly known as Moraitis Fresh Packaging (NSW) Pty Ltd) (Moraitis) sought a stay of a judgment and orders made by McLaughlin AsJ on 2 July 2010, pending the determination of its appeal to the Court of Appeal. The dispute concerned the enforcement of a judgment and a statutory demand served by Fresh Express Australia Pty Ltd (Fresh Express) on Moraitis.

The primary legal issue before the Court of Appeal was whether to grant a stay of the judgment and orders, and consequently, the enforcement of the statutory demand. This involved considering whether there was a sufficient question of principle raised by the appeal to warrant such a stay, and what conditions, if any, should be imposed.

McColl JA granted the stay of the judgment and orders, subject to Moraitis paying $450,000 plus interest into court. The stay was also ordered to prohibit Fresh Express from petitioning for the winding up of Moraitis based on the statutory demand, to the extent that the demand included the judgment amount and interest. Furthermore, Moraitis was ordered to provide security for Fresh Express's costs of the appeal in the sum of $40,000, with proceedings in the Court of Appeal stayed until this security was furnished. The costs of the respective notices of motion were to be costs in the appeal.