Bar-Mordecai v Rotman; Bar-Mordecai v Hillston

The Supreme Court of Victoria, Court of Appeal, heard appeals by Bar-Mordecai against Rotman and Hillston. The dispute concerned the enforceability of certain loan agreements and associated security interests, as well as allegations of misleading and deceptive conduct. Bar-Mordecai sought to recover substantial sums allegedly owed under these agreements.

The Court of Appeal was required to determine whether the loan agreements were void for illegality, specifically in relation to alleged breaches of the *Financial Services Reform Act 2001* (Cth) and the *Australian Securities and Investments Commission Act 2001* (Cth). Further issues included whether the respondents had engaged in misleading or deceptive conduct in contravention of these Acts, and the proper construction and enforceability of the security interests granted by Bar-Mordecai.

The Court analysed the nature of the loan agreements and the conduct of the parties in light of the relevant legislative provisions. It considered whether the agreements constituted financial products or services requiring licensing, and whether the conduct amounted to misleading representations. The Court applied principles of contract law and statutory interpretation to assess the validity of the agreements and the claims of misleading conduct. The Court found that the loan agreements were not void for illegality and that the respondents had not engaged in misleading or deceptive conduct.

Ultimately, the Court of Appeal refused leave to reopen the appeals, upholding the primary judge's decision.