Highvic Pty Ltd v Quarterback Group Pty Ltd

Highvic Pty Ltd sought an interlocutory injunction against Quarterback Group Pty Ltd in the Supreme Court of New South Wales. The Applicant sought to restrain the Respondents from exercising a power of sale over a property located at 3-5 King Street, Newtown, and to prevent the appointment of receivers and managers over the property. The case hinged on the validity of securities and the control of the sale and proceeds of the property. The Applicant argued that if the property were sold, the potential damages would be difficult to quantify, and that the right to exercise the power of sale, the amount of the debt, and the interest payable were all in issue.

The legal issues before the court were whether an interlocutory injunction should be granted and what considerations should be taken into account in determining whether to grant such an injunction. The court considered the balance of convenience and whether there was a serious question to be tried. The court also considered the adequacy of protection for the Applicant if the injunction were not granted.

The court found that the Applicant had made out a strong case on the merits, and that there was a serious question to be tried regarding the validity of the securities. The court also found that the balance of convenience favoured the grant of an interlocutory injunction, as the potential damages to the Applicant if the property were sold were difficult to quantify, and the potential prejudice to the Applicant outweighed any prejudice to the Respondents. The court also found that adequate protection was in place, as the Applicant had provided a guarantee of the Respondents' costs and damages if the injunction were ultimately found to be unjustified.

The court granted the interlocutory injunction, restraining the Respondents from exercising the power of sale over the property and from appointing receivers and managers over the property. The Applicant was ordered to bring in a minute of the order reflecting these reasons.