Perdon Pty Ltd v Law Coast Mortgages Pty Ltd

Case [1999] FCA 478


FEDERAL COURT OF AUSTRALIA

Perdon Pty Ltd v Law Coast Mortgages Pty Ltd [1999] FCA 478

PERDON PTY LTD v LAW COAST MORTGAGES PTY LTD, KIM CHRISTIE, ALAN CHARLES PARRY, IAN CHARLES GRIFFITHS, CHRISTINE MATSINGER, MALCOLM DONALD McCOLM

Q 1 OF 1999

COOPER J
BRISBANE
12 APRIL 1999


IN THE FEDERAL COURT OF AUSTRALIA

QUEENSLAND DISTRICT REGISTRY

Q1 OF 1999

BETWEEN:

PERDON PTY LTD
Applicant

AND:

LAW COAST MORTGAGES PTY LTD, KIM CHRISTIE, ALAN CHARLES PARRY, IAN CHARLES GRIFFITHS, CHRISTINE MATSINGER, MALCOLM DONALD McCOLM
Respondents

JUDGE:

COOPER J

DATE OF ORDER:

12 APRIL 1999

WHERE MADE:

BRISBANE

THE COURT ORDERS THAT:

Upon the applicants to the notice of motion giving the usual undertakings as to damages :

1.The applicant, Perdon Pty Ltd, by itself, its directors, its servants and agents and its authorised agent in these proceedings Gregory Eric Rogers and everyone of them be restrained and an injunction be granted restraining the Applicant, Perdon Pty Ltd, by itself, its directors, its servants and agents and its authorised agent in these proceedings Gregory Eric Rogers and everyone of them from publishing the words appearing in the document titled “The Default Business.  A report on White Collar Fraud Conceived and Operated by Solicitors Law Mortgages Australia Griffiths McColm & Parry Law Coast Mortgages P/L Law Mortgage Management P/L” a copy of which is exhibit “KC1” to the affidavit of Kim Christie, or publishing words to the effect that Law Mortgages Australia, Griffiths McColm & Parry or any of its partners or staff, Law Coast Mortgages Pty Ltd or Law Mortgage Management Pty Ltd have engaged in criminal, illegal or unethical behaviour in relation to the provision of mortgage loans until 4.00 pm on 21 April 1999 or until further earlier order.

2.The applicant, Perdon Pty Ltd, within four hours of service of this order upon it provide to the respondents a list of all persons other than the court staff to whom the applicant by itself or its authorised agent Gregory Eric Rogers, its directors, servants or agents had published the document titled “The Default Business.  A report on White Collar Fraud Conceived and Operated by Solicitors Law Mortgages Australia Griffiths McColm & Parry Law Coast Mortgages P/L Law Mortgage Management P/L” whether the said document was so published as an annexure to the affidavit of the said Gregory Eric Rogers filed or otherwise.

3.The affidavit of Gregory Eric Rogers filed 12 April 1999 exhibiting the document styled “The Default Business. A report on White Collar Fraud Conceived and Operated by Solicitors Law Mortgages Australia Griffiths McColm & Parry Law Coast Mortgages P/L Law Mortgage Management P/L” be placed in an envelope and sealed and marked “Not to be opened without the prior order of the court or a Judge of it.”

4.The costs of and incidental to this application be reserved.

5.Law Mortgages Management Pty Ltd, Peter Charles Drake, Mitchell Patrick Dwyer and Law Mortgages Australia (a firm) be granted leave to intervene as applicants on the within notice of motion.

6.Each party to the notice of motion have liberty to apply on one clear days’ notice.

7.The notice of motion be adjourned to 10.15 am on 21 April 1999 for further hearing before Spender J.

8.Service of this order be effected by sending a copy of the order to the respondent to the notice of motion by fax to (07)  3267 1992.

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


IN THE FEDERAL COURT OF AUSTRALIA

QUEENSLAND DISTRICT REGISTRY

Q1 OF 1999

BETWEEN:

PERDON PTY LTD
Applicant

AND:

LAW COAST MORTGAGES PTY LTD, KIM CHRISTIE, ALAN CHARLES PARRY, IAN CHARLES GRIFFITHS, CHRISTINE MATSINGER, MALCOLM DONALD McCOLM
Respondent

JUDGE:

COOPER J

DATE:

12 APRIL 1999

PLACE:

BRISBANE

EX TEMPORE REASONS FOR JUDGMENT

  1. I have looked at the material which has been exhibited to the affidavit of Gregory Eric Rogers filed in these proceedings.  In particular, I have had a look at a document which is Annexure 6 to that affidavit being also the document exhibited to the affidavit of Kim Christie as exhibit KC1.  The document is defamatory of the respondents to the principal action and to the parties represented on this notice of motion by Mr Bland of counsel. 

  2. Having regard to the circumstances in which the document has been filed and the threat to disclose its contents to the press, I am satisfied that the document is primarily being filed in the proceedings as an abuse of process in order to attempt to cloak it with privilege, to protect the maker of the document in its threatened publication from a suit for defamation. 

  3. In those circumstances, although the Court is loath to intervene to restrain the publication of defamatory material, I am satisfied that, on an interim basis at least, this is a proper case to intervene, and the balance of convenience as it appears to me at this stage is wholly in favour of the applicants on the notice of motion. 

I certify that the preceding three (3) numbered paragraphs are a true copy of the Reasons for Judgment herein of the Honourable Justice Cooper .

Associate:
Dated:             12 April 1999

Counsel for the Respondent: M K Conrick
Solicitor for the Respondent: T F Wardrobe trading as Griffiths McColm Parry
Counsel for the Intervener: R Bland
Solicitor for the Intervener: Quinn & Co
Date of Hearing: 12 April 1999
Date of Judgment: 12 April 1999
Details
AGLC
Perdon Pty Ltd v Law Coast Mortgages Pty Ltd [1999] FCA 478
Case
[1999] FCA 478
Decision Date

CaseChat Overview and Summary

Perdon Pty Ltd sought an interlocutory injunction against Law Coast Mortgages Pty Ltd in the Federal Court of Australia, aiming to restrain the defendants from publishing defamatory statements about the plaintiff's business practices. The plaintiff's application arose from an earlier document titled "The Default Business," which accused various entities, including Law Mortgages Australia, Griffiths McColm & Parry, Law Coast Mortgages Pty Ltd, and Law Mortgage Management Pty Ltd, of engaging in criminal, illegal, or unethical behaviour in relation to mortgage loans. The plaintiff sought to prevent the defendants from disseminating this document, which was considered defamatory, until a final determination of the matter.

The court was tasked with determining whether the defamatory statements in the document were accurate and, if not, whether the plaintiff had a sufficient case for defamation to warrant an interlocutory injunction. Additionally, the court had to consider whether the defendants had published the document to a wider audience and whether the plaintiff was entitled to a list of those recipients. The court also needed to address the issue of whether certain parties should be allowed to intervene in the proceedings.

In its reasoning, the court held that the defamatory content of the document was serious and likely to cause harm to the plaintiff's reputation if published without proper substantiation. The court found that the plaintiff had demonstrated a prima facie case for defamation and was likely to succeed at trial. Consequently, the court granted the injunction to prevent the defendants from further publishing the defamatory statements. The court further ordered the sealing of the document and the provision of a list of recipients to the plaintiff. Additionally, the court granted leave for certain parties to intervene as applicants on the notice of motion.

The court's final orders included the injunction against the defendants, the sealing of the document in question, the provision of a list of recipients, and the granting of leave for additional parties to intervene. The costs of the application were reserved for a later determination. The hearing was adjourned to allow further proceedings to be conducted.

Orders

Orders of the court

Upon the applicants to the notice of motion giving the usual undertakings as to damages :

1. The applicant, Perdon Pty Ltd, by itself, its directors, its servants and agents and its authorised agent in these proceedings Gregory Eric Rogers and everyone of them be restrained and an injunction be granted restraining the Applicant, Perdon Pty Ltd, by itself, its directors, its servants and agents and its authorised agent in these proceedings Gregory Eric Rogers and everyone of them from publishing the words appearing in the document titled “The Default Business. A report on White Collar Fraud Conceived and Operated by Solicitors Law Mortgages Australia Griffiths McColm & Parry Law Coast Mortgages P/L Law Mortgage Management P/L” a copy of which is exhibit “KC1” to the affidavit of Kim Christie, or publishing words to the effect that Law Mortgages Australia, Griffiths McColm & Parry or any of its partners or staff, Law Coast Mortgages Pty Ltd or Law Mortgage Management Pty Ltd have engaged in criminal, illegal or unethical behaviour in relation to the provision of mortgage loans until 4.00 pm on 21 April 1999 or until further earlier order.

2. The applicant, Perdon Pty Ltd, within four hours of service of this order upon it provide to the respondents a list of all persons other than the court staff to whom the applicant by itself or its authorised agent Gregory Eric Rogers, its directors, servants or agents had published the document titled “The Default Business. A report on White Collar Fraud Conceived and Operated by Solicitors Law Mortgages Australia Griffiths McColm & Parry Law Coast Mortgages P/L Law Mortgage Management P/L” whether the said document was so published as an annexure to the affidavit of the said Gregory Eric Rogers filed or otherwise.

3. The affidavit of Gregory Eric Rogers filed 12 April 1999 exhibiting the document styled “The Default Business. A report on White Collar Fraud Conceived and Operated by Solicitors Law Mortgages Australia Griffiths McColm & Parry Law Coast Mortgages P/L Law Mortgage Management P/L” be placed in an envelope and sealed and marked “Not to be opened without the prior order of the court or a Judge of it.”

4. The costs of and incidental to this application be reserved.

5. Law Mortgages Management Pty Ltd, Peter Charles Drake, Mitchell Patrick Dwyer and Law Mortgages Australia (a firm) be granted leave to intervene as applicants on the within notice of motion.

6. Each party to the notice of motion have liberty to apply on one clear days’ notice.

7. The notice of motion be adjourned to 10.15 am on 21 April 1999 for further hearing before Spender J.

8. Service of this order be effected by sending a copy of the order to the respondent to the notice of motion by fax to (07) 3267 1992.

Note:

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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