In the matters of Datalec Services Pty Ltd (in liq) and Ichor Constructions Pty Ltd (in liq)

The case involves Datalec Services Pty Ltd and Ichor Constructions Pty Ltd, both of which were in liquidation at the time of the proceedings. The plaintiff, seeking compensation for personal injury, filed the suit just before the expiration of the limitation period. The suit was initially against both companies, but one was already in liquidation, and the other followed suit shortly after the proceedings began. Both companies were insured, and the plaintiff's claim is directed solely at the insurance policies held by the companies. The plaintiff sought leave to proceed with the action against the companies in liquidation, invoking section 471B of the Corporations Act.

The court needed to determine whether it should grant leave to the plaintiff to proceed with the action against the companies in liquidation. This involved assessing the principles outlined in previous cases, particularly those referenced at paragraphs [3]-[7]. The court considered the balance between the plaintiff's right to pursue a remedy and the potential prejudice to the liquidators and creditors. The timing of the application and the plaintiff's intention to recover solely from the insurance policies were also pivotal factors.

After considering the principles and the circumstances, the court granted the plaintiff leave to proceed with the action against the companies in liquidation. The decision was based on the fact that the plaintiff only sought to recover from the insurance policies and not from the companies themselves. The court found that the application was made in good faith and that the plaintiff's rights would be prejudiced if the leave was not granted. Additionally, the court concluded that the liquidators and creditors would not be prejudiced by the plaintiff's action against the insurance policies.