Farkas v Ping; Wang v Farkas

The proceedings involved Mr Farkas and Mr and Mrs Wang. Mr Farkas sought to execute a writ against the properties of Mr and Mrs Wang. Mr and Mrs Wang sought to stay the execution of this writ pending an appeal. The matter came before Leeming JA in the Court of Appeal of New South Wales.

The primary legal issue before the Court was the interpretation and effect of interlocutory orders concerning the stay of execution of a writ and the provision of security. Specifically, the Court had to determine the conditions under which a new form of security could be substituted for an existing bank guarantee and the continued effect of a stay of execution.

Leeming JA considered an undertaking offered by Mr Wang on behalf of himself and his wife. This undertaking was conditional on Mr Farkas removing the writ from all the applicants' properties and the Court of Appeal reserving judgment beyond February 2014. If these conditions were met, Mr and Mrs Wang would not oppose Mr Farkas' application to substitute a new security, such as a bank guarantee or cash term deposit, commencing on 1 April 2014, in the same amount as the existing guarantee. The Court noted that the original ANZ bank guarantee remained lodged with the Registrar of the Court of Appeal.

The Court ordered that the undertaking be noted, that the original bank guarantee remain lodged, and that the stay of execution of the writ, as reflected in a previous order, would continue. Furthermore, the Court stayed the execution by Mr Farkas of the District Court order being challenged until further order, and directed Mr Farkas to take steps to remove the registration of the writ from the properties within seven days. Both parties were granted liberty to apply on short notice, with specific directions for vacation sittings. The amended notice of motion of Mr and Mrs Wang and the notice of motion of Mr Farkas were otherwise dismissed, with no order as to costs.