Medina Property Services Pty Ltd v Starin Ltd as trustee of the Macquarie Business Centre Unit Trust

Case

[2018] NSWSC 1979

14 December 2018


Details
AGLC Case Decision Date
Medina Property Services Pty Ltd v Starin Ltd as trustee of the Macquarie Business Centre Unit Trust [2018] NSWSC 1979 [2018] NSWSC 1979 14 December 2018

CaseChat Overview and Summary

In the Federal Court of Australia, Medina Property Services Pty Ltd, the plaintiff, brought an application against Starin Ltd as trustee of the Macquarie Business Centre Unit Trust, the defendant. The plaintiff sought to continue an injunction that had been granted ex parte, which was initially aimed at preventing the defendant from entering into certain contracts. The dispute centred around whether the injunction should remain in effect, given the defendant's failure to provide evidence to resist its continuation. Additionally, the plaintiff sought leave to proceed with a members' voluntary winding up of the defendant company under section 500(2) of the Corporations Act 2001 (NSW).

The court had to determine whether the injunction should be continued given the defendant's failure to adduce evidence to resist its continuation, and whether the plaintiff should be granted leave to proceed with the winding up of the defendant company. The latter was particularly complicated as the members' resolution to wind up the company came after the initial injunction was granted. The court considered whether the delay in presenting evidence and the timing of the winding up resolution affected the plaintiff's right to proceed.

The Federal Court held that the injunction should be continued as the defendant had failed to provide evidence to resist its continuation. The court found that the absence of evidence from the defendant, despite being granted an adjournment for this purpose, was sufficient grounds for the injunction to remain in place. Regarding the winding up application, the court found that the members' resolution to wind up the defendant company, which occurred after the injunction was granted, did not prejudice the plaintiff's right to proceed. Consequently, the plaintiff was granted leave to proceed with the winding up of the defendant under section 500(2) of the Corporations Act 2001 (NSW).
Details

Areas of Law

  • Civil Litigation & Procedure

  • Corporate Law & Governance

Legal Concepts

  • Interlocutory Orders

  • Winding Up & Liquidation

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