Michael Wilson & Partners Ltd v Nicholls (No 10)

The Supreme Court of the Australian Capital Territory heard an application by Michael Wilson & Partners Ltd (the applicant) seeking to set aside a previous order for security for costs. This was the applicant's second such application. The Court also considered an issue raised by the sixth respondent regarding the applicant's alleged non-compliance with an order to amend the form of a bank guarantee provided as security.

The legal issues before the Court were whether the applicant had established sufficient grounds to set aside the existing order for security for costs, and whether the applicant had complied with the court's previous order concerning the amendment of the bank guarantee. The Court was also required to determine whether a formal application in proceedings was necessary to raise the issue of compliance with a security for costs order.

The Court reasoned that many of the matters raised by the applicant in its application to set aside the security for costs order were identical or variations of previous submissions that had already been considered and rejected. The Court found no new circumstances warranting a departure from its earlier decision. Regarding the compliance issue, the Court accepted the sixth respondent's submission that the proceedings were automatically stayed due to the applicant's non-compliance with the order to amend the bank guarantee. The Court also determined that a formal application in proceedings was not required to raise a question of compliance with a security for costs order, viewing such a matter as a continuation of the original application.

The Court dismissed the applicant's application to set aside the order for security for costs. It also made a further order permitting the applicant to amend the bank guarantee to comply with the previous order. The Court ordered indemnity costs in favour of the sixth respondent. The Court also considered, but did not make, an order regarding the applicant's continued representation by Mr Michael Earl Wilson.