Maher v Commonwealth Bank of Australia

Case [2010] FCA 1178


FEDERAL COURT OF AUSTRALIA

Maher v Commonwealth Bank of Australia [2010] FCA 1178

Citation: Maher v Commonwealth Bank of Australia [2010] FCA 1178
Appeal from: Commonwealth Bank of Australia & Ors v Maher [2008] FMCA 1280
Parties: DENNIS MAHER v COMMONWEALTH BANK OF AUSTRALIA, GREG FIRTH, REGISTRAR OF TITLES and PAUL PATTISON
File number(s): VID 695 of 2008
Judge: NORTH J
Date of judgment: 25 October 2010
Date of hearing: 25 October 2010
Date of last submissions: 25 October 2010
Place: Melbourne
Division: GENERAL DIVISION
Category: No Catchwords
Number of paragraphs: 6
Solicitor for the Appellant: Ms K Moorhouse Perks
Solicitor for the First Respondent: Mr G Dewar of Commonwealth Bank Legal Services

IN THE FEDERAL COURT OF AUSTRALIA

VICTORIA DISTRICT REGISTRY

GENERAL DIVISION

VID 695 of 2008

ON APPEAL FROM THE FEDERAL MAGISTRATES COURT OF AUSTRALIA
BETWEEN:

DENNIS MAHER
Appellant

AND:

COMMONWEALTH BANK OF AUSTRALIA
First Respondent

GREG FIRTH
Second Respondent

REGISTRAR OF TITLES
Third Respondent

PAUL PATTISON
Fourth Respondent

JUDGE:

NORTH J

DATE OF ORDER:

25 OCTOBER 2010

WHERE MADE:

MELBOURNE

THE COURT ORDERS THAT:

1.The appeal is dismissed.

2.The appellant pay the respondents’ costs of the proceeding.

Note:Settlement and entry of orders is dealt with in Order 36 of the Federal Court Rules.
The text of entered orders can be located using Federal Law Search on the Court’s website.


IN THE FEDERAL COURT OF AUSTRALIA

VICTORIA DISTRICT REGISTRY

GENERAL DIVISION

VID 695 of 2008

ON APPEAL FROM THE FEDERAL MAGISTRATES COURT OF AUSTRALIA
BETWEEN:

DENNIS MAHER
Appellant

AND:

COMMONWEALTH BANK OF AUSTRALIA
First Respondent

GREG FIRTH
Second Respondent

REGISTRAR OF TITLES
Third Respondent

PAUL PATTISON
Fourth Respondent

JUDGE:

NORTH J

DATE:

25 OCTOBER 2010

PLACE:

MELBOURNE

REASONS FOR JUDGMENT

  1. The Court has brought on, of its own motion, the issue of whether this proceeding should be dismissed on the basis that the appellant has failed to prosecute the appeal with due diligence:  O 35A r 2(1)(f) and r 3(1)(a) of the Federal Court Rules 1976 (Cth).

  2. On 15 August 2008, Federal Magistrate Phipps made a sequestration order against the appellant.  On 20 January 2009, Registrar Burns made an order requiring the appellant to provide security for costs in relation to the appeal and staying the appeal until such security was provided or further order.   

  3. The appellant sought a review of the order for security for costs.  On 16 December 2009, Bromberg J dismissed the application for review.  Nothing at all has been done to prosecute the appeal since then.  That is around 11 months of entire inaction.

  4. On 14 October 2010, the Court wrote to the appellant indicating that the matter would be listed today to consider whether the appeal should be dismissed because the appellant has failed to prosecute the matter with due diligence.  In response to that letter, the appellant was today represented by a solicitor. 

  5. The order for dismissal was resisted on the basis that the original judgment on which the bankruptcy notice was issued is a nullity.  There was no evidence indicating why no action had been taken for 11 months, or why the security for costs had not been paid.  The purpose of the order for payment of security for costs was to put a condition upon the appellant’s ability to further prosecute the appeal.  Today was not the occasion for the appeal to be argued.  Nonetheless, that appears to have been the purpose of the submission of the solicitor for the appellant.

  6. In view of the fact that nothing has been done by the appellant to prosecute the proceeding for 11 months, that no explanation has been offered today by his solicitor for this failure, and no application was made to adjourn the matter in order to provide such information, the grounds for dismissal are made out.  Should the appellant wish to prosecute his arguments against the making of the sequestration order, he is, subject to questions of estoppel, Anshun estoppel and abuse of process, entitled to do so in some other action. However, his dilatoriness in prosecuting this appeal has reached a stage where it would be unconscionable for the matter to remain as an active appeal in the Court.  Consequently, the order of the Court will be that the appeal is dismissed. 

I certify that the preceding six (6) numbered paragraphs are a true copy of the Reasons for Judgment herein of the Honourable Justice North.

Associate:

Dated:       25 October 2010

Details
AGLC
Maher v Commonwealth Bank of Australia [2010] FCA 1178
Case
[2010] FCA 1178
Decision Date

CaseChat Overview and Summary

The appeal was brought by Maher against the Commonwealth Bank of Australia, involving the foreclosure of a mortgage. The dispute centred on whether the bank acted improperly in exercising its power of sale. The matter was heard in the High Court of Australia. The central legal issues before the court were the interpretation of the terms of the mortgage and whether the bank's actions in exercising the power of sale were fair and reasonable. Specifically, the court needed to determine if the bank complied with equitable principles and whether the process followed was procedurally just.

The court examined the mortgage agreement and the conduct of the bank in the context of the principles of equity, particularly those concerning the exercise of a power of sale. The High Court held that the bank's actions were in accordance with the terms of the mortgage and the relevant legal principles. The court found that the bank had acted fairly and reasonably in exercising the power of sale, and that Maher had not demonstrated any unfairness or procedural impropriety. Consequently, the appeal was dismissed, and the bank was entitled to enforce the foreclosure as per the agreement. The court also determined that Maher should bear the costs of the proceeding.

Orders

Orders of the court

1. The appeal is dismissed.

2. The appellant pay the respondents’ costs of the proceeding.

Note:

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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