Jingalong Pty Ltd v Todd (No 2)

Jingalong Pty Ltd applied to Gleeson JA of the Supreme Court of New South Wales for an urgent ex parte Mareva order. The application sought to restrain the respondent, Mr Todd, from dealing with the proceeds of a property sale pending the hearing and outcome of an appeal. The primary dispute concerned an unpaid costs order from a previous judgment.

The central legal issue before the Court was whether to grant an interim freezing order, pending the return of the motion, to prevent the dissipation of the net proceeds of the property sale. This required the Court to consider the likelihood of the respondent dissipating these funds and the applicant's prospects of success on appeal.

Gleeson JA considered the principles governing Mareva orders, particularly in the context of an appeal and an outstanding costs order. The Court noted that a Mareva order is a discretionary remedy and requires the applicant to demonstrate a strong prima facie case and a real risk of dissipation of assets. The Court also considered the applicant's obligation to provide full and frank disclosure on an ex parte application.

The Court made orders for an interim freezing order to be in place until the return date of the motion, with specific directions regarding service and the respondent's ability to seek a variation or setting aside of the order. The final orders are detailed in paragraph [16] and the Schedule of the judgment.