Mackman, G.M. v Stengold P/L

Case [1989] FCA 256


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JUDGMENT No ........ ........ . as6 v 84
IN THE FEDERAL COURT OF AUSTRALIA 1
QUEENSLAND DISTRICT REGISTRY 1
GENERAL DIVISION )
BETWEEN:  GERALD MARK M A C K M

Applicant

AND: STENGOLD PTY LTD

First Respondent

AND: SEMSTAR PTY LTD

Second Respondent

AND: KABWIND PTY LIMITED

Third Respondent

AND: WILLIM ALAN STONE

Fourth Respondent

AND: JOHN FUL-WOOD

Fifth Respondent

AND: PAUL THOMAS WENHAM, RONALD WILLIAM ARNOLD,

s L
WHILEY, BRUCE KENNETH SIMMONS, GAVIN HOSKING

Sixth

MINUTES OF ORDER

NOTE  Settlement and entry of orders is dealt with in
Order 36 of the Federal Court Rules.
JUDGE MAKING ORDER:  PINCUS J .
DATE OF ORDER:  18 MAY 1989
WHERE W E :  BRISBANE
THE COURT ORDERS THAT: 

1.    the matter be adjourned until Friday, 2 June 1989 at 9.15 a.m.;

2.    the costs of today's hearing be taxed and paid by the applicant.

IN THE FEDERAL COURT OF AUSTRALIA 1
QUEENSLAND DISTRICT REGISTRY 1
~ENERAL DIVISION 1

BETWEEN: GERALD MARK MACKMAN

Applicant

AND: STENGOLD PTY LTD

First Respondent

AND: SEMSTAR PTY LTD

Second Respondent

AND: KABWIND PTY LIMITED

Third Respondent

AND: WILLIAM ALAN STONE

Fourth Respondent

AND: JOHN FUL-WOOD

Fifth Respondent

AND: PAUL THOMAS WENHAM, RONALD WILLIAM ARNOLD,

CHRISTOPHER DHU WHITE, NEVILLE JOHN DOUGLAS

WHILEY, BRUCE KENNETH SIMMONS, GAVIN HOSKING

Sixth Respondents

PINCUS J. 18 MAY 1989

EX TEMPORE REASONS FOR JUDGMENT

In this matter there is an opposed application for an adjournment, made by Mr Allen. The case is one concerning the sale of an interest in a business, and it is common ground that the transaction was preceded by the making of some representations. Mr Boulton points to the fact that his material contains information suggesting that the statements made were

misleading - or some of them were.

The difficulty is that the matter was begun on 9 September 1988, and Mr Boulton has informed me that the reason the application has been made is that the fourth respondent's house was put up for sale last year. The matter came before me on 5 Hay last and it was then adjourned for hearing to today. The circumstances in which it has come about that the bulk of the material in support of the application was produced only yesterday was unclear, but it seems to me that it would be unfair to make even an interim order against the respondents, or any of them, in those circumstances; that is, since the sitaution which is sought to be restrained has been in existence, now, for five months, it would seem to me unreasonable for the Court to act precipitately, even in an interim way, on material which the respondents have had for less than 24 hours.

It may be that this will enable the fourth respondent to sell his house and abscond with the proceeds, but as against that, there must be some sort of discouragement of the notion that you can gain an advantage by presenting the other side with the bulk of your material on the eve of the hearing. In saying this I do not, of course, assume anything in the way of conscious unfairness, but it does look rather unfair to me, in the result.

Therefore, I have agreed with Hr Allen's submission, he

having produced no material, that the matter should be adjourned.

It will be adjourned to Friday, 2 June at 9.15 a.m.

I will order that the costs of today's hearing be taxed

and paid by the applicant. rc-tify that this and the 2 preceding
:c; are a truz copy of f ! ie reasons for

Igwcnt hcrein of His Honour

ir. Justice Pincus /A]-:  Associate
jated  1 ? / @ / ~ t y
Details
AGLC
Mackman, G.M. v Stengold P/L [1989] FCA 256
Case
[1989] FCA 256
Decision Date

CaseChat Overview and Summary

In the Federal Court of Australia, Gerald Mark Mackman has applied for an adjournment in a case concerning the sale of an interest in a business. The application is opposed by Stengold Pty Ltd, Semstar Pty Ltd, Kabwind Pty Limited, William Alan Stone, John Ful-Wood, and Paul Thomas Wenham, Ronald William Arnold, Christopher Dhu White, Neville John Douglas Whiley, Bruce Kenneth Simmons, and Gavin Hosking. The case revolves around alleged misleading representations made prior to the transaction. The application for an adjournment was made due to the fourth respondent's house being put up for sale. Pincus J heard the matter on 18 May 1989 and found that it was unfair to make an interim order against the respondents given that the bulk of the material in support of the application was produced only the day before. The judge agreed with the applicant's submission that the matter should be adjourned to Friday, 2 June 1989 at 9.15 a.m. The costs of the hearing were ordered to be paid by the applicant.

Pincus J considered the circumstances in which the material was produced and found it unreasonable for the court to act precipitately on material that the respondents had had for less than 24 hours. The judge did not assume any conscious unfairness but found the situation to be rather unfair. The judge also noted that the applicant might gain an advantage by presenting the other side with the bulk of their material on the eve of the hearing. However, the judge discouraged the notion that one could gain an advantage in this way. Therefore, the matter was adjourned, and the costs of the hearing were ordered to be paid by the applicant.

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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