Maharaja's Palace Pty Ltd v Raj and Jai Construction Pty Ltd

Maharaja's Palace Pty Ltd (the appellant) sought interlocutory injunctive relief pending an appeal against a decision concerning a dispute with the respondent, Raj and Jai Construction Pty Ltd. The core of the dispute involved whether a partly performed oral agreement to lease certain shop premises had been established. The appellant sought to continue an injunction that restrained the respondent from re-entering and taking possession of the specified shops.

The primary legal issue before the court was whether to grant interlocutory injunctive relief pending the determination of the appeal. This required the court to consider the established principles for granting such relief, specifically the "serious question to be tried" limb and the balance of convenience. The court had to assess the strength of the appellant's appeal, even if considered weak, and weigh this against the potential prejudice to both parties if the injunction were granted or refused.

Leeming JA, applying the principles for interlocutory injunctive relief, found that while the appeal might be considered weak, it was nevertheless "seriously arguable." Crucially, the balance of convenience favoured the continuation of the injunctive relief. The court noted the usual undertaking as to damages offered by the appellant. Consequently, the court ordered that the existing injunction, restraining the respondent from re-entering and taking possession of the specified shops, be continued until further order.