Lawson & Crawford and Ors

In Lawson & Crawford and Ors, the Full Court considered an application for an injunction brought by the wife. The husband and third and fourth respondents argued that the Court should not exercise its discretion to grant the injunction. The husband had previously given an undertaking to the Court not to deal with certain company, partnership, business, or trust interests without the wife's consent, beyond the ordinary course of business. A dispute arose concerning the husband's resignation as secretary of Crawford Developments and the appointment of the third respondent as director and secretary, which the husband contended was in the normal course of business.

The central legal issue before the Court was whether to exercise its discretion under s 114(3) of the Act to grant the injunction sought by the wife. This required the Court to assess whether it was "just or convenient" to do so, considering the circumstances of the case. A related issue was how to evaluate the evidence concerning the husband's intention or any scheme to dispose of assets, in relation to the objective risk of such disposal.

The Court clarified that the power to grant an injunction under s 114(3) involves an overall assessment of various factors to determine the just and convenient outcome, with no single factor necessarily determining the result. It distinguished between establishing a risk of disposal to defeat an order and proving an independent scheme to do so. While evidence of intention or a scheme can be a factor in establishing the objective risk of disposal, it is not the sole determinant. The Court cautioned against a rigid focus on proving specific factors at a particular standard of proof, emphasizing that these are subsidiary to the ultimate question of whether an injunction is just and convenient. The Court noted that the husband's resignation and the appointment of the third respondent were presented as occurring in the normal course of business, a submission that was part of the overall assessment of whether to grant the injunction.