MCDS Group Nominees Pty Limited v Angas Securities Limited

The plaintiffs, MCDS Group Nominees Pty Limited, sought an interlocutory injunction to prevent the defendant, Angas Securities Limited, from completing contracts for the sale of properties. The dispute arose from the defendant's actions as a mortgagee in possession, who had entered into contracts for sale of the properties subject to caveats lodged by the plaintiffs. The case was heard in the Supreme Court of South Australia.

The primary legal issues revolved around whether there was a serious question to be tried concerning the existence of the power of sale and whether the balance of convenience favoured the grant of an interlocutory injunction. The plaintiffs argued that the mortgagee did not have the power of sale, and the defendant's contracts for sale were void. The defendant contended that the power of sale was valid, and the plaintiffs' caveats were without merit.

The court considered the principles governing interlocutory injunctions, particularly the need to balance the strength of the case against the prejudice that would be suffered by the parties if the injunction were granted or denied. The court found that there was a serious question to be tried regarding the validity of the power of sale, and the balance of convenience did not favour the grant of an interlocutory injunction. Consequently, the application for an interlocutory injunction was dismissed, and the application to remove the caveats was also dismissed.

No specific final orders were made in the interlocutory proceedings, as the matter was to proceed to a full hearing to determine the substantive issues.