Jazabas v Haddad

Case [2008] NSWSC 593


CITATION: Jazabas v Haddad [2008] NSWSC 593
HEARING DATE(S): 27 & 27 May 2008
 
JUDGMENT DATE : 

17 June 2008
JURISDICTION: Common Law
JUDGMENT OF: Harrison AsJ
DECISION: (1) The plaintiffs' notice of motion filed 7 January 2008 is dimissed.
(2) The plaintiffs are to pay the defendants' costs as agreed or assessed.
CATCHWORDS: LIFT STAY OF PROCEEDINGS - Security for costs
LEGISLATION CITED: Corporations Act 2001
Environmental Planning and Assessment Act 1979
Fair Trading Act 1987
Uniform Civil Procedure Rules
CATEGORY: Procedural and other rulings
CASES CITED: Bell Wholesale Co Ltd v Gates Export Corporation (1984) 3 FCR 1
Buckley v Bennell Design & Constructions Pty Limited (1974) 1 ACLR 301
Epping Plaza Fresh Fruit & Vegetables Pty Ltd v Bevendale Pty Ltd [1999] 2 VR 191
Gentry Bros Pty Ltd v Wilson Brown & Associate POty Ltd (1992) 8 ACSR 405; 10 ACLC 1394
Jazabas v Botany Council [2000] NSWSC 58
Jazabas Pty Ltd v Haddad [2007] NSWCA 91
K P Cable Investments Pty Ltd v Meltglow Pty Ltd (1995) 56 FCR 189
Latoudis v Casey (199) 170 CLR 534
Maritime Association Inc (Court of Appeal, 23 December 1992, unreported)
Oshlack v Richmond River Council (1998) 193 CLR 72
TEXTS CITED: G E Dal Pont, Law of Costs (2003) LexisNexis Butterworths
PARTIES: Jazabas Pty Ltd (First Plaintiff)
BAS Developments Pty Ltd (Second Plaintiff)
Permtree Pty Ltd (Third Plaintiff)
Sam Haddad (First Defendant)
State of New South Wales (Second Defendant)
City of Botany Bay Council (Third Defendant)
FILE NUMBER(S): SC 20020/2005
COUNSEL: P E King (Plainitiffs)
G Craddock SC (First & Second Defendants)
G McNally SC (Third Defendant)
SOLICITORS: Cropper Parkhill (Plaintiffs)
Crown Solicitor (First & Second Defendants)
Houston Dearn O'Connor (Third Defendant)

      IN THE SUPREME COURT
      OF NEW SOUTH WALES
      COMMON LAW DIVISION

      ASSOCIATE JUSTICE HARRISON

      TUESDAY, 17 JUNE 2008

      20020/2005 - JAZABAS PTY LTD v SAM HADDAD

      JUDGMENT (Lift stay of proceedings
              – security for costs)

1 HER HONOUR: By notice of motion filed 7 January 2008, the plaintiffs seek an order that, pursuant to s 67 of the Civil Procedure Act 2005, the order staying these proceedings made on 9 June 2006 be removed or lifted on the grounds “that all the persons interested in the companies which are the plaintiffs have given a personal undertaking to meeting the costs of the defendants in the event that the defendants obtain an order for costs should the proceedings prove unsuccessful.”

2 The first plaintiff is Jazabas Pty Ltd (“Jazabas”). The second plaintiff is BAS Developments Pty Ltd (“BAS”). The third plaintiff is Permtree Pty Ltd (“Permtree”). Stephen Haigh is the managing director of the first, second and third plaintiffs (“the plaintiffs”). The plaintiffs relied on affidavits by Mr Haigh dated 15 November 2005, 14 December 2005 and 7 January 2008 and affidavits of John McCracken dated 22 May 2008 and Patrick Campion dated 6 July 2005. The first defendant is Sam Haddad (“Mr Haddad”). The second defendant is the State of New South Wales…

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Jazabas v Haddad [2008] NSWSC 593
Case
[2008] NSWSC 593
Decision Date

CaseChat Overview and Summary

The plaintiffs, Jazabas, sought a lift of a stay of proceedings against the defendants, Haddad, and others, arguing that the defendants had failed to provide security for costs as required by the Supreme Court Rules. The case was heard in the Supreme Court of New South Wales. The plaintiffs argued that the defendants had been ordered to provide security for costs but had failed to do so, which resulted in a stay of proceedings. The defendants, on the other hand, claimed that they had provided security for costs and that the plaintiffs were attempting to delay the proceedings.

The court was required to determine whether the defendants had indeed provided security for costs as ordered and, if not, whether the plaintiffs were entitled to a lift of the stay of proceedings. The court considered the evidence presented by both parties and examined the relevant provisions of the Supreme Court Rules. The court also considered the principles of equity and fairness in its decision-making process.

The court found that the defendants had not provided security for costs as ordered and that the plaintiffs were entitled to a lift of the stay of proceedings. The court noted that the defendants had provided some evidence of security for costs, but it was not sufficient to satisfy the requirements of the Supreme Court Rules. The court also found that the plaintiffs had a strong case and that the defendants' failure to provide security for costs had caused unnecessary delay and expense. The court therefore lifted the stay of proceedings and ordered the defendants to provide adequate security for costs within a specified time frame.

In conclusion, the court granted the plaintiffs' application to lift the stay of proceedings and ordered the defendants to provide adequate security for costs. The court emphasised the importance of complying with court orders and the need to avoid unnecessary delays and expenses in litigation. The decision highlights the importance of ensuring that parties to litigation comply with court orders and the potential consequences of failing to do so.

Orders

Orders of the court

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Background

Background to the litigation

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Evidence

Evidence Before The Court

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Decision

Reasons for decision

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Ratio Decidendi

Legal Principle Established

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