Lui, In the matter of an application for leave to issue a proceeding

This matter concerned an application by Mr Lui for leave to issue a proceeding against the respondent, the Commissioner of Taxation. The dispute arose from the Commissioner's objection to Mr Lui's proposed proceeding, which sought to challenge the validity of certain notices issued by the Commissioner under s 264 of the *Income Tax Assessment Act 1936* (Cth). The application for leave was heard by Hayne J of the High Court of Australia.

The central legal issue before the Court was whether Mr Lui had established a sufficient likelihood of success in his proposed proceeding to warrant granting leave to issue it. This required the Court to consider the substantive merits of Mr Lui's challenge to the s 264 notices, specifically whether those notices were vitiated by a failure to comply with the requirements of the *Administrative Decisions (Judicial Review) Act 1977* (Cth) and the principles of administrative law.

Hayne J reasoned that the onus was on Mr Lui to demonstrate that his proposed proceeding had a real prospect of success. His Honour examined the nature of the s 264 notices and the grounds upon which Mr Lui sought to challenge them. Ultimately, Hayne J concluded that Mr Lui had not established a sufficient likelihood of success to justify granting leave to issue the proceeding. The application was therefore dismissed.