Bartter Enterprises Pty Limited v PFJV Pty Limited

Bartter Enterprises Pty Limited, as trustee of the Bartter Family Trust, was a plaintiff in a legal dispute against PFJV Pty Limited. The central issue was whether Bartter Enterprises, which was acting as a trustee, could be required to provide additional security for costs. PFJV argued that Bartter Enterprises' status as a trustee meant that the value of its assets was irrelevant for the purpose of securing costs. The court was required to consider whether an undertaking by Bartter Enterprises that it would make recourse to the trust's property if necessary would suffice to avoid the need for further security.

The court examined the factors relevant to the exercise of its discretion in granting further security for costs. This included the plaintiff's impecuniosity and the delay in making the application. The court found that Bartter Enterprises, if not acting as a trustee, had the capacity to meet an adverse costs order, but its status as a trustee meant that its assets were effectively not available for this purpose. Despite PFJV's argument that delays in the proceedings were due to the slow and inefficient manner in which the litigation was being conducted, the court decided that the delay in making the application for additional security did not disentitle PFJV from obtaining security.

Ultimately, the court dismissed the application for further security for costs. The reasoning was based on the understanding that Bartter Enterprises' trustee status made its assets irrelevant for the purpose of securing costs, and the court was not satisfied that an undertaking to make recourse to trust property would be sufficient. The court's decision was final, and no further security for costs was ordered.