Charan v Commonwealth Bank of Australia

The applicants, Mr. and Mrs. Charan, sought leave to appeal from a summary dismissal of their proceedings against the Commonwealth Bank of Australia. The proceedings had been dismissed by the primary judge on two grounds: firstly, that the applicants' rights to sue had vested in their trustees in bankruptcy, and secondly, due to the doctrine of *res judicata* arising from earlier litigation between the parties.

The central legal issues before the Court of Appeal were whether there was a sufficient basis to grant leave to appeal the summary dismissal and, in the alternative, whether any appeal would lie to the Federal Court of Australia. This latter question was informed by section 7(5) of the *Jurisdiction of Courts (Cross-vesting) Act 1987* (Cth).

The Court of Appeal found no basis for granting leave to appeal. It reasoned that the primary judge's decision was sound, particularly given the bankruptcy of the applicants and the prior final determination of the issues in earlier proceedings. Furthermore, the Court held that, by operation of section 7(5) of the *Jurisdiction of Courts (Cross-vesting) Act 1987* (Cth), any appeal from the Supreme Court of New South Wales in this matter would lie to the Federal Court of Australia, not the Court of Appeal.

Consequently, the summons seeking leave to appeal was dismissed, and the second applicant was ordered to pay the respondents' costs.