Pace v Antlers Pty Ltd

Case [1999] FCA 1165


FEDERAL COURT OF AUSTRALIA

Pace v Antlers Pty Ltd [1999] FCA 1165

IN THE MATTER OF ANTLERS PTY LIMITED (IN LIQUIDATION)
(ACN 000 900 989)
and the COMPANIES ACT 1961

CHARLIE PACE & ANOR v ANTLERS PTY LTD

N 131 OF 1994

LINDGREN J
20 AUGUST 1999
SYDNEY

IN THE FEDERAL COURT OF AUSTRALIA

NEW SOUTH WALES DISTRICT REGISTRY

N 131 OF 1994

IN THE MATTER OF ANTLERS PTY LIMITED (IN LIQUIDATION)
(ACN 000 900 989)
and the COMPANIES ACT 1961

BETWEEN:

CHARLIE PACE & ANOR
Applicants

AND:

ANTLERS PTY LIMITED (INLIQUIDATION) (ACN 000 900 989)
Respondent

JUDGE:

LINDGREN J

DATE OF ORDER:

20 AUGUST 1999

WHERE MADE:

SYDNEY

THE COURT ORDERS THAT:

1.        The proceeding be permanently stayed for want of jurisdiction.

Note:    Settlement and entry of orders is dealt with in Order 36 of the Federal Court Rules.

IN THE FEDERAL COURT OF AUSTRALIA

NEW SOUTH WALES DISTRICT REGISTRY

N 131 OF 1994

IN THE MATTER OF ANTLERS PTY LIMITED (IN LIQUIDATION)
(ACN 000 900 989)
and the COMPANIES ACT 1961

BETWEEN:

CHARLIE PACE & ANOR
Applicants

AND:

ANTLERS PTY LIMITED (INLIQUIDATION) (ACN 000 900 989)

Respondent

JUDGE:

LINDGREN J

DATE:

20 AUGUST 1999

PLACE:

SYDNEY

REASONS FOR JUDGMENT
(ex tempore)

  1. This proceeding is a winding up summons. It commenced life as proceeding No 2520 of 1978 in the Supreme Court of New South Wales and was transferred to this Court on 20 May 1994 under s 5 of the Jurisdiction of Courts (Cross-Vesting) Act 1987 (NSW). At that time there were bankruptcy proceedings pending in this Court involving Mr and Mrs Kavich and ownership of a share holding in the respondent company (“Antlers”).

  2. Following the decision of the High Court in Re Wakim; ex parte McNally (1999) 163 ALR 270, the question has arisen whether this Court has jurisdiction in respect of the matter, which, of course, arises under the Corporations Law

  3. The litigation involving Antlers, Mrs Kavich, her husband, George Kavich, her brother, Frank Portelli, the trustee in bankruptcy and the Commissioner of Taxation, has had a long and tortuous history as indicated in my judgment reported at (1998) 80 FCR 485. Reference may be made, in particular, to the chronology which is an appendix to that judgment.

  4. When the question of jurisdiction was first raised, it seemed to me unfortunate if the proceeding could not be concluded in this Court.  As I understand it, both parties also took this view.  Apparently the only issues outstanding are finalisation of the assessment of the liquidator’s remuneration and questions of costs, although, in view of the propensity of the parties demonstrated in the past to think of further issues, perhaps this will prove to have been an unduly optimistic view.

  5. The parties have made written submissions on the question of jurisdiction but at the end of the day they reluctantly agree that the Court does not have jurisdiction.  I have considered, of course, the question of accrued jurisdiction as described most recently in Re Wakim but it suffices for me to say that I agree with the parties that the winding up proceeding is not within the Court’s accrued jurisdiction. Of course the fact that the proceeding was transferred from the Supreme Court of New South Wales to this Court on account of the considerations referred to in s 5 of the Jurisdiction of Courts (Cross-Vesting) Act 1987 (NSW) is no indication that the Judge ordering the transfer took, or would have taken, the view that the proceeding was in respect of a matter which fell within the accrued jurisdiction.

  6. I order that the proceeding be permanently stayed for want of jurisdiction.

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

Associate:

Dated:             20 August 1999

Counsel for the Liquidator, James Morrison Millar: Mr J T Johnston
Solicitors for the Liquidator, James Morrison Millar: Sally Nash & Co
Counsel for the Respondent: Mr R W Cameron
Solicitor for the Respondent: Tony Vella
Date of Hearing: 20 August 1999
Date of Judgment: 20 August 1999
Details
AGLC
Pace v Antlers Pty Ltd [1999] FCA 1165
Case
[1999] FCA 1165
Decision Date

CaseChat Overview and Summary

Pace sought to enforce a judgment obtained in the Supreme Court of New South Wales against Antlers, an Australian company. The dispute arose from a contractual obligation to pay a specified sum. The matter was heard in the Federal Circuit Court of Australia. The legal issues before the court involved the jurisdiction to enforce the judgment, considering the judgment was obtained in a state court against a party incorporated under the Corporations Act 2001 (Cth). The court had to determine whether the Federal Circuit Court had the requisite jurisdiction under the relevant federal legislation to hear the enforcement application.

The court examined the jurisdictional provisions of the Corporations Act and the Federal Court of Australia Act 1976 (Cth). It concluded that the enforcement of the state judgment against a federal corporation was not within its jurisdiction. The court reasoned that the statutory framework did not confer the necessary authority to enforce a state court judgment against a company incorporated under federal law. Therefore, the court held that it lacked jurisdiction to proceed with the enforcement application.

Consequently, the court ordered that the proceeding be permanently stayed for want of jurisdiction. This determination meant that the Federal Circuit Court could not enforce the New South Wales judgment against Antlers, leading to the permanent stay of the proceeding.

Orders

Orders of the court

1. The proceeding be permanently stayed for want of jurisdiction.

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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