In the matter of Accord Pacific Land Pty Limited (in liquidation)

Accord Pacific Land Pty Limited, in liquidation, was the subject of a winding-up application. The liquidator sought the court's directions to approve entry into a funding agreement and a costs agreement. The legal issues before the court were whether the liquidator's proposed entry into the agreements was a proper exercise of power, whether it was in the interests of creditors, and whether there was a risk of duplication with other proceedings, given the proposed funder had initiated litigation against the proposed defendant.

The court held that the liquidator's proposed entry into the funding agreement was a proper exercise of power. It was in the interests of creditors, as it provided a means to fund the proceedings and potentially recover assets for the benefit of the creditors. The court was satisfied that the funding agreement was structured to ensure the liquidator's independence and that the proposed funder's litigation against the proposed defendant did not present a risk of duplication. The court found that the liquidator's decision was prudent and aligned with the objectives of maximising asset recovery for the benefit of creditors.

The court granted the liquidator's application, approving the entry into the funding agreement and the costs agreement. The liquidator was authorised to proceed with the litigation, ensuring that the interests of the creditors were prioritised and that the proceedings were conducted efficiently and effectively. The court's decision provided clarity and direction for the liquidator, enabling the continuation of the winding-up process and the potential recovery of assets for the creditors of Accord Pacific Land Pty Limited.