Pearce, A.W. v Hastings Deering (Queensland) Pty Ltd

Case [1990] FCA 433


IN THE FEDERAL COURT OF AUSTRALIA

GENERAL DIVISION

BANKRUPTCY DISTRICT OF THE

STATE OF OUEENSLAND

Albert and Da~hne Olive
PEARCE

MINUTES OF ORDER

JUDGE MAKING ORDER:  SPENDER J.
WHERE MADE;  BRISBANE
DATE OF ORDER:  3 AUGUST 1990
THE COURT ORDERS THAT: 

(1) The estate of William Albert Pearce be sequestrated.

(2) The estate of Daphne Olive Pearce be sequestrated.

(3) The costs of and incidental to the petition to be

taxed and paid in accordance with the Bankru~tcv Act
1966.
REQISTRY

NOTE :

- Settlement and entry of orders is dealt with in Rule
124 of the Bankruptcy Rules.

RECEIVED

22 AUG 1990

FEDERAL COURT OF
AUSTAAUA PRINCIPAL
1IN THE FEDERAL COURT OF AUSTRALIA 1
GENERAL DIVISION )
BANKRUPTCY DISTRICT OF THE
) NO. QP 418 of 1990
STATE OF OUEENSLAND )
RE:  Albert William PEARCE and Daphne Olive PEARCE
EX PARTE:  HASTINGS DEERING (OUEENSLAND) PTY LTD
SPENDER J .
BRISBANE

3 August 1990.

EX TEMPORE REASONS FOR JUDGMENT

This is a creditor's petition against Albert William Pearce and Daphne Olive Pearce. The petitioning creditor is Hastings Deering (Queensland) Pty Ltd. The petition is based on acts of bankruptcy which are referred to in paragraph 4 of the petition and, essentially, are failure to comply with a bankruptcy notice served on Mr. Pearce on 24 January 1990 and on Mrs. Pearce also on that day.

Mr. Pearce, who represented himself and his wife today firmly and with heartfelt eloquence, had filed an affidavit in an application to set aside the bankruptcy notice. The affidavit alleged a counter-claim, set-off or cross-demand. That matter was heard by his Honour Mr. Justice Pincus and he concluded that he was not satisfied there was such a cross- claim, set-off or cross-demand.

The judgment on which the bankruptcy notice was founded is a judgment of his Honour Judge Kimmins without a jury on 14, 15 and 16 July 1987, and both sides being represented by counsel, the order of his Honour was that the plaintiff recover $13,660.31, and interest, which totalled $10,797.27, making a total of $24,457.58, which is the amount in the bankruptcy notice.

On the hearing of the petition today, the requirements of the Bankruptcv Act 1966 have been proved by the petitioning creditor, but Mr. Pearce again, as he has from the first, maintained his claim that neither he nor his wife owes the money the subject of the petition. It is a matter for the Court to be satisfied that in truth and reality there is a debt, but having regard to the history to which I have referred and the whole of the file which I have read, I am compelled to make the sequestration orders sought by the petition.

I am satisfied that the acts of bankruptcy alleged in

paragraph 4 of the petition have been committed, and I am

satisfied with all the other matters of which the Bankru~tcv

1966 requires proof.

I make a sequestration order against the estate of
Albert William Pearce and I make a sequestration order against
the estate of Daphne Olive Pearce. I order that the costs of

and i n c i d e n t a l t o t h e p e t i t i o n b e t a x e d and paid i n accordance

w i t h t h e Bankruutcv Act 1 9 6 6 .
I c e r t i f y t h a t t h i s and t h e
two p r e c e d i n g pages a r e a t r u e
c o p y o f t h e r e a s o n s for judgment
h e r e i n o f h i s Honour M r . J u s t i c e
J . E . J . Spender .
h A s s o c i a t e
Date:  3 August 1990
Details
AGLC
Pearce, A.W. v Hastings Deering (Queensland) Pty Ltd [1990] FCA 433
Case
[1990] FCA 433
Decision Date

CaseChat Overview and Summary

This case involved a creditor's petition filed by Hastings Deering (Queensland) Pty Ltd against Albert William Pearce and Daphne Olive Pearce. The petition was based on the failure of the Pearces to comply with a bankruptcy notice served on them on 24 January 1990. The respondents, represented by Mr. Pearce, denied the debt and sought to set aside the bankruptcy notice. The court needed to determine whether the acts of bankruptcy were committed and whether the debt claimed by the creditor was valid.

The court examined the history of the case, including a prior judgment against Mr. Pearce for $24,457.58. Mr. Justice Pincus had previously dismissed the respondents' application to set aside the bankruptcy notice, finding no valid cross-claim or set-off. The Federal Court, after considering the evidence, was satisfied that the acts of bankruptcy had indeed occurred. Despite Mr. Pearce's continued denial of the debt, the court found that the requirements of the Bankruptcy Act 1966 were met, leading to the conclusion that the acts of bankruptcy were committed.

The court granted the petition and ordered the sequestration of the estates of both Albert William Pearce and Daphne Olive Pearce. The costs of the petition were to be taxed and paid in accordance with the Bankruptcy Act 1966. The decision was made on 3 August 1990, and the order was certified as a true copy of the reasons for judgment by Mr. Justice J.E.J. Spender.

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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