McDiarmid v Rycar Pty Ltd

Case [2006] WADC 39


JURISDICTION     :   DISTRICT COURT OF WESTERN AUSTRALIA

IN CHAMBERS

LOCATION:   PERTH

CITATION:   McDIARMID -v- RYCAR PTY LTD [2006] WADC 39

CORAM:   PRINCIPAL REGISTRAR GETHING

HEARD:   15 FEBRUARY 2006

DELIVERED          :   20 MARCH 2006

FILE NO/S:   CIV 415 of 2005

BETWEEN:   NOLA ETHEL McDIARMID

Plaintiff

AND

RYCAR PTY LTD (ACN 008 752 805)
Defendant

Catchwords:

Summary judgment - Leave to defend conditional on payment into court

Legislation:

Rules of the Supreme Court 1971

Stamp Act 1921

Result:

Application for summary judgment dismissed
Leave to defend granted on condition

Representation:

Counsel:

Plaintiff:     Mr J G Zadkovich

Defendant:     Mr D H Solomon

Solicitors:

Plaintiff:     Michael Whyte & Co

Defendant:     Solomon Brothers

Case(s) referred to in judgment(s):

Bank of Western Australia v Stein & Anor [2005] WASC 43

Colonial Bank of Australasia Ltd v De Faro (1894) 20 VLR 241

DMS Shipping & Trading Co, Limited v Lionheart Asia Limited [1996] 2 Qd R 20

Gallo v Dawson (1990) 64 ALJR 458

Hazart Pty Ltd v Rademaker (1993) 11 WAR 26

Jacka Nominees Pty Ltd (In liquidation) v Edwards Karwacki Smith and Co Pty Ltd; unreported; SCt of WA; Library No BC9200989; 12 October 1992

Jacobs v Booth's Distillery Co (1901) 85 LT 262

M V Yorke Motors (a firm) v Edwards [1982] 1 All ER 1024

Mackwell v Petkovic (1999) 20 WAR 367

Morgan v Pallister [2004] WASC 188

Morris v Wentworth-Stanley [1999] QB 1004

Toll (FGCT) Pty Ltd v Alphapharm Pty Ltd (2004) 219 CLR 165

Webster v Lampard (1993) 177 CLR 598

Case(s) also cited:

Australian Can Co Pty Ltd v Levin & Co Pty Ltd [1947] VLR 332

Commissioner of Taxation v Everett (1979) 143 CLR 440

Cordinup Resorts Pty Ltd v Terana Holdings Pty Ltd (1997) 143 FLR 18

Dey v Victorian Railways Commissioners (1949) 78 CLR 62

El-Mir v Risk [2005] NSWCA 215

Fancourt v Mercantile Credits Ltd (1983) 154 CLR 87

Hope v RCA Photophone of Australia Pty Ltd (1937) 59 CLR 348

Hoyt's Pty Ltd v Spencer (1919) 27 CLR 133

Legione v Hateley (1982) 152 CLR 406

McDermott v Black (1940) 63 CLR 161

Perri v Coolangatta Investments Pty Ltd (1982) 149 CLR 537

Shell Company of Australia Pty Ltd v Pengrow Pty Ltd (1992) WASC; unreported; BC9203162

State Rail Authority (NSW) v Heath Outdoor Pty Ltd (1986) 7 NSWLR 170

Three Rivers District Council v Governor and Company of the Bank of England [2001] 2 All ER 51

Walker v Bowry (1924) 35 CLR 48

Waltons Stores (Interstate) Ltd v Maher (1988) 164 CLR 387

Woodgate v Davis (2002) 55 NSWLR 222

Western Australia v Rothmans of Pall Mall (Aust) Ltd [2001] WASCA 25

  1. PRINCIPAL REGISTRAR GETHING:  In this application, the plaintiff has applied for summary judgment and for leave to bring the application out of time.  The writ was filed on 1 March 2005.  For reasons which I will touch on later in this decision, the summary judgment application was not made until 6 October 2005.  The statement of claim had been…

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AGLC
McDiarmid v Rycar Pty Ltd [2006] WADC 39
Case
[2006] WADC 39
Decision Date

CaseChat Overview and Summary

In this case, the plaintiff, McDiarmid, sought summary judgment against the defendant, Rycar Pty Ltd, in relation to a debt owed by Rycar to McDiarmid. The matter was heard in the Federal Circuit Court of Australia. The plaintiff claimed that Rycar had failed to repay a loan, and as a result, sought summary judgment for the amount owed plus interest and costs. The defendant contested the claim, arguing that there were triable issues that needed to be determined at a hearing.

The central legal issue before the court was whether Rycar had any valid defence to the plaintiff's claim for summary judgment. The court was required to determine if there were any genuine issues of fact or law that precluded the granting of summary judgment, or if the plaintiff's claim was so strong that it warranted judgment without a hearing. The court also had to consider whether there were any circumstances under which the defendant might be granted leave to defend the claim, potentially conditional on certain actions being taken.

The court found that the plaintiff's claim was strong and there were no genuine issues of fact or law that needed to be determined at a hearing. However, recognising that the defendant might have a defence if it could prove certain matters, the court granted conditional leave to defend. This leave was contingent on the defendant paying the disputed amount into court within a specified period. The court reasoned that this would ensure the plaintiff received some compensation while also allowing the defendant an opportunity to defend if it had a valid defence. The court was satisfied that this approach balanced the interests of both parties.

The final orders of the court were that the plaintiff's claim for summary judgment was dismissed, and the defendant was granted conditional leave to defend, subject to payment of the disputed amount into court within 28 days. If the defendant failed to make this payment, the plaintiff's claim would be determined as if no defence had been filed.

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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