Arturus Capital Limited v Nair

Arturus Capital Limited applied to McColl JA of the Court of Appeal of New South Wales for a stay of judgment and orders made by Harrison J on 10 June 2011, pending the outcome of an appeal. The dispute concerned the basis for granting such a stay, particularly where the appeal was to be founded on an argument not previously raised at trial.

The primary legal issue before McColl JA was whether the applicant had demonstrated a proper basis for a stay of the judgment that would be fair to both parties. This involved considering the principles governing the grant of a stay pending appeal, especially in circumstances where the appeal sought to introduce new arguments.

McColl JA reasoned that a stay should be granted, subject to certain conditions designed to protect the respondent's interests. The court ordered that the judgment and orders of Harrison J be stayed pending the appeal, provided that Arturus Capital Limited paid $500,000 to Dr Nair and lodged the balance of the judgment debt in an interest-bearing account in the name of the parties' solicitors within 10 business days. The court also ordered that the hearing of the appeal be expedited and granted leave for the parties to approach the Registrar to obtain the earliest possible hearing date.