James, K.F.D. v Australia & New Zealand Banking Group Ltd
[1985] FCA 599
•2 Dec 1985
| IN THE FEDERAL COURT | 1 |
| OF AUSTRALIA | 1 |
| WESTERN | AUSTRALIA | 1 | No. WA G106 of 1984 |
| DISTRICT | REGISTRY | ) |
| GENERAL | DIVISION | 1 |
| B E T W E E N : |
Applicants
and
AUSTRALIA AND NEW ZEALAND BANKING
| GROUP LIMITED | .-. |
| 1. |
| First Respondent | 1. |
and
| TAMAR "ENT | PTY. LTD. |
Second Respondent
| and | I. |
| JOHN WELLS |
Third Respondent
CORAM: TOOHEY J.
2 December 1985
| RULING ON "NO CASE" SUBMISSION | BY |
SECOND AND THIRD RESPONDENTS
| The applicants concluded their case in the third week | of |
| this hearing. | Mr. Owen-Conway, counsel for | the second and third |
| respondents | then | said | that | he | wished | to | make | a "no case" |
| submission on behalf of his clients. | He argued that his clients |
| should not be put to | an election whether to call evidence before |
| making the submission. | I reserved that question over night but, |
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| when th? Court resumed next | mornlnq. counsel sald that he dld not |
wlsh to pursue what was descrlbed as the prelimlnary submission. that the Court hear and deal wlth the no case submission.
| It seemed to | me, and | I said | so to counsel, that some |
difficulties might arise in the event of the second and third
| respondents, | but | not | the | first | respondent, | making | such | a |
submission. I suggested that evidence presented by the first
respondent might tend to falsify whatever decision was given on
the no case submission. The first respondent declined to join in
,.
| the submission; indeed its stance | has been that it wishes to give |
evidence to answer the allegations made against it. Counsel for
| the second and third respondents recognized that difficulties | L |
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| might arise but submitted that this | only strengthened his clients' |
argument for having their submission dealt with before the first
| respondent went into evidence. Counsel | for the applicants did not |
contest the entitlement of the second and third respondents to
| have their submission determined before the case | for | the first |
| respondent began; counsel expressly conceded their right | to such a |
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| course. But | Mr. Templeman, counsel for the applicants, contended |
that by making the submission the second and third respondents
| lost not only the right to call evidence but the right | to |
| participate any further in the hearing including the making of | a |
| final address. | Mr. | Owen-Conway challenged this contention. In |
his submission, his clients were entitled, in the event of their
no case submission being overruled, to cross-examine the first
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| respondent's witnesses and to make | fmal address. | _ . |
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| Oversimplifpmq what | was a thorouqh | and | considered |
| submission, the | argument of the second and third respondents was |
| that the evidence adduced by | the applicants was insufficient to |
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| establish a case in law against either of them. Alternatively, | . - |
| they sald. If there was sufficient evidence it was | so palpably |
inadequate and unsatisfactory that the case should be "withdrawn"
against them. They further argued that, on any view of the
evidence, the applicants' claim against the second and third
respondents was barred by reason of the time limit contained in
| sub-s.82(2) of the Trade Practices Act 1974. | As | a gloss on that |
| submission, counsel accepted that, in | so | far as the applicants |
| relied in the alternative upon | 5.87 of the Trade Practices Act, | no |
| I | limitation period was directly applicable. But he submitted that the Court ought, in the exercise of its discretion, apply the limitation period of 3 years in sUb-s.82(2) with the consequence |
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| that | he | applicants' | claim | against | he | second | and | third | , |
| ! " |
| respondents must fail in any event. Counsel for the applicants | I I |
| responded at length to these arguments. | .. |
| adjourned | hearing | was | The | overnight | to |
enable Mr. Owen-Conway to complete submissions begun in reply to
| those | the | applicants. | f | However, | when | the | hearing |
| resumed | Mr. | Templeman said that he wished to withdraw his |
submission that, in the event of their no case submission being
| overruled, | the | second | and | third | respondents | should | not | be |
permitted any further participation in the hearing. He said that
| he withdrew the submission in the light | of | certain authorities |
| that had been referred to him by Mr. | Ipp, counsel for the first |
| respondent, authorities to which | I shall refer later in these |
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| reasons. In essence the basls | of | the withdrawal | was that where |
| there 1 s | more than one respondent. it is not appropriate | for the | ! : |
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Court to entertain a no case submission unless made on behalf of
| all respondents. Counsel | f o r | the applicants maintained, as an |
| alternative approach, that | for reasons already advanced in his |
earlier argument, the no case submission should be rejected
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because there was evidence upon which the Court might find the
second and third respondents liable in damages to the applicants
and that there were no matters of law which should lead the Court
to conclude that in any event the applicants' claim against those
respondents must fail.
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| Mr. | Owen-Conway then proceeded with his submissions in |
| reply, in the course of which he | argued that in the particular | I | -> |
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| circumstances of this case the Court should deal with | h s no case | : | I. |
submission, notwithstanding the absence of any such submission by
| the first respondent. | _. |
| I then | permitted | Mr. | Ipp to | address as to | the |
appropriateness of the Court dealing with the second and third
| respondents' | no | case | submission | in | the | absence | of | such a |
submission by the first respondent. It will be necessary to deal later with the various authorities referred to by Mr. Ipp, but the
| crux of his argument was that | at this stage the Court should not |
be concerned with an analysis of the strength of the applicants'
case against the second and third respondents. He said that since
| there was no suggestion that | a no case submission by | the first |
respondent would succeed, the Court should not compartmentalize
| the hearing but should look at the evidence as | a whole. To this |
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| end, he said. | c o u n s e l for | the second | and | third respondents were | 4. |
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| entitled | to | cross-examine | any witnesses he called and were | b. |
| entitled to make a final | address; indeed, since they had not |
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| called evidence, they might | address last. | It was implicit in this | I.,' |
| submission | that | the | second | and | third | respondents | could | not |
| withdraw their election | to call no evidence. |
Counsel for the applicants then endorsed what had been
said by counsel for the first respondent, with this qualification.
| He | said that it was still open to the Court to find that "the |
applicants have proved affirmatively in their case that it is
| impossible to impute blame to the second | or | third respondents, |
then clearly the no case submission should succeed". That is a
| matter to which | I shall return later. |
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| Against this background of somewhat shifting stances, | I |
| propose | to | consider | first | whether | the | second | and | third |
| respondents' no case submission should be rejected in | any event as |
| inappropriate when there is | a respondent who has made no such |
| submission. | The very term no case submission was described | in |
| & | T | v. Johnson (1953) 70 W.N. (N.S.W.) 302 at p.304 as "an |
| unfortunate phrase to use in civil proceedings". Street | C.J., who |
| delivered the judgment | of the Full Court, referred to ambiguity in |
the expression for it may mean that there is no evidence of the
| elements necessary to be proved | or that there is some evidence of |
| those elements but that it is so weak or | unsatisfactory that it |
should not be accepted. Again it may mean that by reason of some
| question | of | law | the | case | cannot | succeed | in | any | event. | The |
criticism by the Court was made in the context of an argument
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whether, In proceedinss in a Court of Petty Sessions for recovery
| of | possession | of premises, the lessee was required to elect |
| whether or not | he would go into evldence before making a no case |
submission. And of course there is much authority on this matter,
both in the context of civll and criminal proceedings. But that
pomt does not arise here for the second and third respondents
expressly elected not to give evidence.
When a no case submission has an evidentiary foundation
| rather than | a | basis in some proposition of law, there is no |
logical inconsistency in the Court holding that there is a case to
answer but thereafter dismissing the claim. The question for the
Court on the no case submission is whether there is evidence upon
| which the | Court | could | enter | judgment | for | the | applicant. | A |
| L | .. |
| rejection of | a no case submission does not carry with it an |
| inevitable consequence that the claim must succeed. Where | a judge |
is sitting with a jury, the distinction between the arbiter of law
and the arbiter of fact is of course apparent. If the judge
| decides that there is | a case to | go to the jury, it is then | for the |
| jury to uphold | or dismiss the claim. While there is no logical |
inconsistency in rejecting a no case submission and thereafter
rejecting the claim, the distinction is a fine one when a judge
sits without a jury, given that the standard of proof is on the
balance of probabilities and that inferences may be drawn by
reason of the respondent's failure to adduce evidence. It is for
| these reasons, I think, that in Alexander | v. Ravson C19361 1 K.B. |
| l69 at 178 the Court of Appeal said: |
| "Where an action is | being heard by a jury it is, of |
| course, quite usual | and often very convenient at the |
| cnd oil | the case of the plaintiff | _ _ _ for the opposing |
party to ask for the ruling of the judge whether there
| is any case to | go to | the ?ury, who are the | only | judges |
| of fact. It also seems to be not unusual in the Kings | I | - |
| Bench Dlvlslon to ask for a similar ruling in actions |
| trled by | a judge alone. We think, however. that this |
1s highly Inconvenient. For the ludge in such cases is
| also the judge | of | fact and we cannot think | it right |
that the judge of fact should be asked to express any
| oplnion | upon | the | evidence | until | the | evidence | is |
completed. Certainly no one would ever dream of asking
| a jury | at the end of | a | plaintiff's case to say what |
verdict they would be prepared to give if the defendant
| called no evidence, and we fail to say why | a judge |
| should be asked such a question in cases where | he and |
| not | a jury is the judge that has to determine the |
| facts. | In | such cases we venture to think that the |
| responsibility | for | not | calling | rebutting | evidence |
should be upon the other partys' counsel and upon no
| one else". | .. . | . . l |
| I , |
These remarks seem to have sounded the death knell for
| any election by defendants in civil actions. If | a | defendant |
| elects not | to | call evidence, the judge | has | before him all the |
| evldence | upon | which | he is | called | to | make | a decision. | Any |
| distinction between the role | of the judge in ruling on a no case |
| submission and the role | of the judge as an arbiter of fact becomes |
| largely illusory. (This of course is in the context of a | no case |
| submission based on the evidence; such | a submission based | on a |
| proposition of | law may be in quite | a different position.) | The |
| inconvenience of | not putting the defendant to | an election is |
| apparent. If the judge's decision | on the no case submission is | I ! ' |
| upset on appeal, there must inevitably be | a r trial. |
Where there is more than one respondent, the arguments
| against allowing one respondent to make | a | no case submission are |
| , | .- |
| powerful and they have been endorsed by courts on a number | of | . | . | 3 |
| occasions. Hummerstone | v. Learv C19211 2 K.B. 664 concerned a |
clam for damages against the owners of two motor vehicles, in one
,
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| of | whl ch t h e | plalntiffs were passengers. At the close of the |
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| plaintlffs' | case, counsel for the owner of the lorry | submitted |
that there was no evidence against his client and the County Court
judge accepted this submission and dismissed that defendant from
| the action. The case then proceeded against the owners of the car | L . |
| whose witnesses threw all the blame on the driver of the lorry. The judge found that the driver of the car was not negligent and entered judgment for the owner of that vehicle also. In their |
| ~udgment | ordering that there be | a new trial, Bray and Lush JJ. |
| said at | pp.666-667: |
| "In our opinion the learned judge took | an entirely wrong |
course in allowing Leary to be dismissed from the
| action. Instead of trying the case as | one entire case, |
| which it | was, and hearing | all the evidence before |
| arriving at a conclusion, he | divided it into what we |
may call compartments and tried each separately, the
result of which was that it was never really tried at
| all. | He treated it as a claim against Leary alone and |
a claim against Foster alone, overlooking the fact that
the plaintiffs, as they were entitled to do under the
Rules, were alleging that either Leary or Foster or
| both were responsible for the accident. When once | a |
state of facts were proved, as it was, from which the reasonable inference to be drawn was that prima facie
| one | if | not | both drivers had been negligent, the |
plaintiffs were entitled to call on the defendants for
| an answer, and the proper time | at which to decide |
whether on the evidence one defendant or the other
| defendant or both the defendants were liable was | at the |
| close of the whole case". |
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| Hummerstone v. | Learv was followed by the Full Court | of |
| New South Wales | in | Menzies v. | Australian Iron and Steel Ltd. | t ' |
| (1952) 52 S.R. (N.S.W.) | 62. | That case concerned a claim for |
damages by a widow against the employer of her deceased husband and against the driver of a motor vehicle. The plaintiff claimed
| to | recover | against | he | defendants | everally | or, in | the |
| alternative, | jointly. | At | the | close | of | the | plaintiff's | case, |
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| counsel for r;he employer applled | f o r a verdict bv direction but | I , ' |
the trlal Judge sald that the application was premature. but that
| it might | be renewed later, and that counsel was free to call or |
| not call evldence | as he thought fit. That practice was approved |
by the Full Court which also gave its endorsement to Hummerstone
| v. Learv and to | a passage in Glanville Williams on Joint Torts and |
Contributorv Neqliqence p.59 in the following terms:
"In actions against concurrent tort feasors there is a
further rule that if the plaintiff shows that prima
| facie one if not both of | the defendants was negligent, |
the judge should not at the close of the plaintiff's
evidence non suit him against one defendant only, but
| should | hear | the | whole | case | before | coming | to a |
decision".
| In the present case the first respondent has not made | a | I |
| no case submission and | so the applicants have not been concerned | .. |
| to show a prima facie case against that respondent. But | I can see |
| no difference in principle to the procedure to | be followed where |
| one respondent impliedly acknowledges | a prima facie case against |
| him. |
| Hummerstone v. | was | applied | by | Wilson | J. in | the |
| Supreme Court of New Zealand in Mobil Oil | New Zealand Limited | v. |
| Matthew Park Limited C19653 | N.Z.L.R. 803. |
| It is true that in Menzies | v. Australian Iron and Steel |
| m. the court attached some importance to the language of | s .2 | of |
| the Law Reform (Miscellaneous Provisions) Act 1946 | (N.S.W.) and |
| that in Mobil Oil | New Zealand Limited | v. Matthew Park Limited the |
| court placed reliance | on r.45 | of the Maqistrates' Courts Rules |
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| what extent, map be determined as | between all parties" (emphasis |
added). But it is equally clear that in each case the court
rested its decision on a broader foundation of convenience and
justice to the parties. The same may be said of Hummerstone v.
| - | L | - see in particular Bray | J. at 667. |
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| In pesterczuk v. | Mortimore (1965) 115 C.L.R. | 140 at 147 | l |
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| Kitto J. referred with apparent approval to Hummerstone | v. Learv, |
| commenting: | _ . |
| 'I... | accordingly, where the evidence adduced for the |
| plaintiff raises | a prima facie inference that the |
| plaintiff's injuries resulted from negligence | on the |
| part of one or other or both of the defendants, it is | I. |
| an error to dismiss one defendant from the action at |
| the close of the plaintiff's case | on the ground that as | .. |
the evidence stands it is more probably the other
| defendant who was negligent. | The | proper course is to |
await the conclusion of the whole of the evidence then
consider whether the collision was due to negligence on
the part of one only or to negligence on the part of
each".
Trade Practices Commission v. Georqe Weston Foods Ltd.
| (No. 2 ) (1980) 43 F.L.R. | 55 concerned proceedings | by | the Trade |
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Practices Commission against several defendants. alleging conduct
| in breach of | s.45 of the Trade Practices Act. At the conclusion |
| of the plaintiff's case the defendant sought | o move for judgment |
| l | on | the ground that there was no case to answer. Davies | J. |
| requlred them to elect whether | or not to adduce evidence. saying |
| at p.61: | '" |
"Tn my vxew. !ustice would best be done by calling upon
the defendants to elect whether o not to call evidence
| so that the submlssion of no case to answer. if it is | ,,-. |
| made. proceeds upon the whole of the evidence which is | ,- |
| I . | |
| to be taken into account in this action" (again, emphasls added). |
| I reaard that decision | as an endorsement by a judge of the Federal |
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Court of the general principles to which I have referred. The
| present | clam does not assert that the three respondents acted |
| ~ointly. | The first and second respondents are sued by reason of |
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| alleued | misleadinu or deceptive | conduct, | the | misleading | or |
| I | deceptive conduct not being precisely the same in each case. The | |||||||||
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| facts, though there may be evidence common to both. Nevertheless the principles enunciated in the decisions mentioned above are in my view equally applicable to the present case. The second and | ||||||||||
| I | third respondents submit that there is no case to answer against | |||||||||
| l | them. The first respondent makes no such submission and must be | |||||||||
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| acknowledge that it has a case to answer. The second and third | ||||||||||
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| i | so and it will be for the Court to determine at the end of the | |||||||||
| l | l | first respondent's case, and in the light of the final addresses, | ||||||||
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| I | whether the applicants have made good any cause of action against any of the respondents. It is implicit in this view that the | |||||||||
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| second ana tnlra respondents must | be | cermltted to make a final |
| address. They can hardly be precluded from doinu | so | since all |
| they have souaht | to do' is to aruue that they have no case to |
| answer. Equally | I am | of the opinion that the second and | third |
respondents are entitled to cross-examine any witnesses called by
| the | first | respondent. | As a | general | proposition, | that |
cross-examination would not constitute the calling of evidence
| though it is conceivable that an issue may arise | as to whether an |
| answer to a particular question or the production of | a document to |
a witness may constitute adducing evidence. These are matters on
| which | I | express no view until they arise, if they | do, | for |
decision.
| The question of a non-suit did not arise, | no doubt |
| because it was accepted by counsel (and rightly so, | in my view) |
that such a procedure is not available in the Federal Court. The
| history | of non-suits was expounded by Windeyer J. in Jones | v. |
| Dunkel (1958-1959) | 101 C.L.R. 298, at | pp.323-331. |
| It is a | consequence of the view I have taken that I do |
| not propose to follow either | Mr. Owen-Conway or Mr. Templeman in |
| his analysis of the evidence adduced | to date. | In my view that is |
| precisely the exercise that | I should not embark upon, having |
regard to the admonitlons in the authorities which have been
| mentioned. | The time to consider the evidence is at the end | of the |
| hearing. Equally | I am not prepared to accede to | Mr. Templeman's |
| suggestion that | I might consider whether the evidence proves |
affirmatively that it is impossible to impute blame to the second
| or third respondent. | The reasons that have led me to reject an |
| t , | 4 |
| I | 13. |
| analysls of | the evldence to date for the purpose of the no case |
| submission persuade me that | I should re~ect | the invitatlon. |
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It is not, I think, a necessary consequence of thls vlew
| that I should not entertain the no case submission in | so far as | it |
| involves questions of law though in | so | far as those questions |
| cannot be divorced | from findings of fact, the principles just |
enunciated principles would apply.
For reasons that were developed in some detail during
| the course | of Mr. Owen-Conway's submission, the second and third |
respondents argued that any cause of action against them under
| s.82 of the Trade Practices Act accrued | at the commencement | of any |
!
| loss or damage suffered by the applicants | as a result of any |
| conduct by the second respondent in breach of | s.52 of the Act and |
| that, | in | the | light | of | the | applicants' | case | as pleaded | and |
| conducted, that loss or damage began at the latest | in February |
1981. Because the application was not lodged in the Federal Court
| until 13 November | 1984, the second and third respondents contended |
that any claim against them is statute barred. Mr. Owen-Conway
made further submissions as to the consequence of the Court
| holding, as he said it should, that it had no jurisdiction | to |
| entertain the claim under | s.82 | against the second or third |
| respondents. The consequence, | he said, was that there was no |
jurisdiction in the Court to deal with the applicants' claim in
| negligence against the second respondent. | In | so | far as the |
| applicants sought relief under s.87 | of the Trade Practices Act, |
| counsel | argued | that | the | limitatlon | period | under | sub-s.82(2) |
| should, as a matter | of discretion, be applied with the same |
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consequences far che applicants. Mr. Owen-Conwav dld not submit that, sa long as there 1 s a claim against the second respondent under 5.82 for breach of s.52 and a clalm against the third
| respondent: under | s.75B. the Court could not entertain the claim in |
negligence against the second respondent.
| The arguments of | Mr. | Owen-Conway and Mr. Templeman on |
these matters touched basic questions relating to the jurisdiction
| of the | Federal Court, at | any | rate | its | accrued | or pendent |
jurisdiction. But none of these questions arise unless it be held
| that | he | applicants’ | claim | against | he | second | and | third |
| respondents under the Trade Practices Act is statute barred: | so it |
| I | is to that matter that | I must turn. |
| Counsel | for the second and third respondents accepted |
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| that any cause of action the applicants had by reason of | a | 1. |
| contravention of | 5.52 of the Trade Practices Act did not accrue |
| until they had suffered | loss | or damage, for their cause of action |
| arose under | s.82. | Loss or damage may occur some time after |
contravention. See Arcadi v. Colonial Mutual Assurance Societv
| Limited C19841 A.T.P.R. | 40-473. However, they contended that any |
loss or damage claimed to have been suffered by the applicants
| must have commenced | on one or other | of the following dates: |
1. On 15 July 1980, when the applicants executed a contract for
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2 . Fourteen days after 18 July 1980, beina the period withln
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| I | which | the | third | respondent, | actmu on | behalf of the | second | .- |
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| respondent, said that | he could procure | a. loan. |
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3 . On 11 August 1980, when the applicants paid a further deposit of $25,000.
4. On 31 August 1980, when the applicants paid a further $71,775
| I | I | I | and lost the right to withdraw | f om the contract. |
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| 5. By February | 1981, when the applicants effected settlement of |
the purchase of "Bibiking" and at the same time borrowed
| I | $1,250,000 from the first respondent | to make the final |
payment to the vendor of "Bibikinq" and executed various
securities in order to obtain that loan.
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| On 26 April 1985 I gave judgment refusing | an application |
by the second and third respondents to strike out those paragraphs
of the statement of claim relating to them. The second and third
| respondents | appealed | against | that | decision. | The | appeal | was |
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| I | dismissed and in the course of its reasons (Tamar Manasement Ptv. | |||
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| I | the Full Court said that the proper construction of sub-s.82(2) | |||
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| was at present "very much an open question". At p.9 the Court | ||||
| ! | said: |
| If | it were necessary, it could be added that, in |
addition to the question of the proper interpretation of s.82(21 already mentioned, it would seem that a further question will arise as to its application to
the facts of the present case having regard to the
| circumstance that the security given to | the bank | was |
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| based | upon a | b l l l line facilitv which provided for |
roll-overs at varlable rates of Interest. This raises
| the point, one | of construction. whether in February |
1981. the respondents and the bank entered into one
| entlre contract in that connection | or whether they |
| embarked upon a | fresh transaction on each occasion the |
| bill was kolled (see | K.D. | Morris & Sons Proprietary |
| Limited (In Liquidation) v. Bank of Oueensland | (1980) |
| 146 C.L.R. 165)". |
The Full Court was at pains to point out that the
| question of limitations under sub-s.82(2) | is not some abstract |
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| question of law but a matter to be determined on the evidence. | I |
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| am not to be taken | as | suggesting that the submissions of the |
second and third respondents in this regard ignored questions of
fact. Clearly they did not. But the point is that, until the
| relevant facts have been found, it is not possible | to | reach a |
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| conclusion concerning the operation of | sub-s.82(2). For instance, |
counsel for the applicants submitted that although his clients
| incurred a | substantial liability when they executed the security |
documents, they also acquired a substantial asset. There was no
| immediate | loss; | it was as time went by that the applicants' |
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indebtedness to the first respondent rose through the rollover of
commercial bills. Had the value of the mortgaged properties
| remained | the | same, | said | counsel, | the | applicants' | equity | of |
redemption in those properties would have diminished. However
| there was evidence, in particular from Robert James Ferguson | a |
| licensed valuer, that property values rose between | 1980 and 1982. |
It followed, in counsel's submission, that no loss may have been
| sustained | by | the applicants until some time after | 1982 when |
property values fell.
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| i t | 17. |
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| i | On this matter the applicants and the first respondent |
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| I | are | of | a common mind, for counsel for the first respondent |
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| ! | foreshadowed a submission that the applicants did not sustain | ||||||||||
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| under the securities exceeded the value of the secured assets. He made it clear that the first respondent was not abandoning its plea of limitations under sub-s.82(2). But its primary submission | |||||||||||
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| I | whenever it occurred, fell within a period of 3 years preceding the commencement of these proceedings. While that may seem a | ||||||||||
| i | somewhat curious submission for the first respondent to make, the | ||||||||||
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| about it except that it points up the danaers of seeklna to | |||||||||||
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| I | by that respondent. | ||||||||||
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| ! | Mr. Owen-Conwap also made an attack | upon | those |
paragraphs of the statement of claim relating to his clients, on
the qround that a pleading that the second respondent represented
that it "was able to obtain" or "was able to procure" a loan for
| I | the first applicants was a representation as to the future and was | ||
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the evidence. In a Judicature Act system of pleading the question
| whether a statement of claim discloses | a reasonable cause of |
action was put this way by the Privy Council in Mutual Life and
| Citizens Assurance Co. Ltd. | v. Evatt (1970) 122 C.L.R. 628 at |
| 1 | I | p.631: |
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"The question is thus different from that which arises under the modern system of pleading in England upon an
| application to strlke out | a statement of claim as |
| I | disclosing no reasonable cause of action. There the | |||
| I | question is whether it would be open to the plaintiffs | |||
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| Recently, | in | v. Australasian | Recvclers (W.A.) Pty. |
m. (unreported decision, delivered 31 October 1985) I discussed
the concept of misleading and deceptive conduct in the context of
representations made by a respondent which have some future
| element about them and the relevance of the respondent's state | of |
| mind at the time the representations were made. | I do not propose, |
| at this stage of the proceedings, to add to what | I said there. It |
| I | 1 s enough, for present purposes, to say that within the framework | ||
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| i | conduct on the part of the second respondent and of establishing | ||
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| I | facts from which conduct on the part of the third respondent within s.75B of the Trade Practices Act may be inferred. Whether | ||
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| I | totality of the evidence. | ||
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| I | As to the operation of s.87 of the Trade Practices Act, |
| the question whether the time limit | in | sub-s.82(2) should be |
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19.
| applied is very much a question of discretion, | as the Full Court |
| emphasised in Fenech v. Sterlina (1984) 57 A.L.R. 98. | See also |
the subsequent course of those proceedings as reported in Fenech
| v. Sterlinq C19857 A.T.P.R. | 40-629. | Furthermore this is a matter |
| that touches the first respondent | as much as it concerns the |
second and third respondents and it would be inapproprlate to seek
| to determine the operation of | s.87 in these proceedings without |
| having | heard | either | evidence | or | submissions | from | the | first |
respondent.
| I sum up the conclusions | I have reached in this way: |
,
| 1. | I reject the no case submission made on behalf | of the second |
| and third respondents. |
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| 2 . | I do | so on the ground that, in so far as the submission is |
| based on lack of | evidence or the unsatisfactory state | of the |
| evidence, it | is inappropriate to entertain the submission |
| when no similar submission | has been | made concerning the | first |
| respondent. |
| 3 . | In | so | far as | the second and third respondents' no case |
| submission | 1 s | based | upon | propositions | of | law, | those |
propositions cannot be divorced from the evidence in the case and from relevant findings of fact which can only be made at
| the close | of the proceedings. |
4. The hearing will proceed. The first and second respondents have elected not to call evidence but they may cross-examine
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| i | i | witnesses called on behalf of the first respondent and their counsel may participate in final addresses. |
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| 5. Whether | any | cross-examination | of | the | first | respondent's |
witnesses by counsel for the second and third respondents
| amounts to adducinq evidence by them is | a | matter to be |
| considered If and when it arises. |
| I | I certify that this and the preceding | |
| nineteen pages are a true copy of the | ||
| Ruling on "NO Case" Submission by | ||
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| his Honour M r . Justice Toohey | ||
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| @ | Associate |
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