Kea Investments Ltd v Wikeley (No 2)

Kea Investments Ltd, a company incorporated in the British Virgin Islands, filed an application in the Supreme Court of Queensland seeking interim injunctive relief against Kenneth David Wikeley, an Australian resident, and orders restraining him from enforcing a default judgment obtained in the United States against Kea. The application followed a default judgment issued by a Kentucky court against Kea in respect of an agreement Kea contends is a forgery. Kea had commenced proceedings in a New Zealand court against Wikeley seeking relief with respect to the default judgment and damages for tortious conspiracy. The New Zealand court had issued interlocutory injunctive relief restraining Wikeley from enforcing the default judgment. Wikeley had taken steps to contravene and avoid the effect of the New Zealand orders. The Queensland court was asked to grant Kea the relief sought in the New Zealand proceedings. The court had to decide whether the Queensland court was a clearly inappropriate forum for the proceeding, whether the proceeding was oppressive or vexatious, and whether the orders were obtained by non-disclosure of relevant facts. The court also had to decide whether there was a serious question to be tried and whether the balance of convenience favoured the grant of an interlocutory injunction or the continuation of the anti-enforcement injunctive relief. The Queensland Supreme Court found that the proceeding was not oppressive or vexatious, and the orders were not obtained by non-disclosure of relevant facts. The court found that there was a serious question to be tried and that the balance of convenience favoured the grant of an interlocutory injunction or the continuation of the anti-enforcement injunctive relief. The court set aside paragraphs 2 to 4 of the orders made on 26 April 2023 and ordered that the security of $10,000 paid into court in accordance with paragraphs 3 and 4 of the orders made on 26 April 2023 be paid out to Wikeley. The court dismissed the amended application and reserved costs for later determination.