Heckenberg v Fetterplace

Heckenberg v Fetterplace concerned an application for a stay of proceedings brought by the appellants, who included both personal and corporate entities, against the respondent. The application was heard by McColl JA in the Court of Appeal of New South Wales.

The central legal issue before the Court was whether to grant a stay of proceedings, considering the financial circumstances of the appellants. Specifically, the Court had to determine if the evidence presented, particularly regarding the impecuniosity of the corporate appellant and the sufficiency of assets held by its directors, warranted a stay. The Court also considered the absence of any offers from the personal appellants or the directors to preserve the status quo.

McColl JA refused the application for a stay. The reasoning appears to have been influenced by the fact that only the corporate appellant demonstrated impecuniosity, while the directors of that company possessed assets sufficient to secure any potential judgment. Furthermore, the Court noted that neither the personal appellants nor the directors had made any offers to preserve the status quo, which would have mitigated the risk to the respondent.

Consequently, Order 2 in the Amended Notice of Motion was refused.