RAMS MORTGAGE CORPORATION LTD -v- SIDDONS [2004] WASC 254
| SUPREME COURT OF WESTERN AUSTRALIA | Citation No: | [2004] WASC 254 | |
| 25/11/2004 | |||
| Case No: | CIV:1989/2004 | 11 NOVEMBER 2004 | |
| Coram: | MASTER SANDERSON | 11/11/04 | |
| 4 | Judgment Part: | 1 of 1 | |
| Result: | Appeal allowed | ||
| A | |||
| PDF Version |
| Parties: | RAMS MORTGAGE CORPORATION LTD BRETT SIDDONS |
Catchwords: | Practice and procedure Application of O 59 r 9 to application under O 62 Whether obligation to confer |
Legislation: | Rules of the Supreme Court 1971, O 59 r 9, O 62A r 4 |
Case References: | BuyQuick.com Ltd v Foxgold Pty Ltd [2000] WASC 216 Capesail Nominees Pty Ltd (In Liq) & Anor v Ride & Ors [2002] WASC 29 Chua & Anor v Wang & Ors [2002] WASC 74 Nil |
JURISDICTION : SUPREME COURT OF WESTERN AUSTRALIA
- IN CHAMBERS
- Plaintiff
AND
BRETT SIDDONS
Defendant
Catchwords:
Practice and procedure - Application of O 59 r 9 to application under O 62 - Whether obligation to confer
Legislation:
Rules of the Supreme Court 1971, O 59 r 9, O 62A r 4
Result:
Appeal allowed
(Page 2)
Category: A
Representation:
Counsel:
Plaintiff : Mr D H Solomon
Defendant : In person
Solicitors:
Plaintiff : Solomon Brothers
Defendant : In person
Case(s) referred to in judgment(s):
BuyQuick.com Ltd v Foxgold Pty Ltd [2000] WASC 216
Capesail Nominees Pty Ltd (In Liq) & Anor v Ride & Ors [2002] WASC 29
Chua & Anor v Wang & Ors [2002] WASC 74
Case(s) also cited:
Nil
(Page 3)
1 MASTER SANDERSON: This is an appeal brought against a decision of Registrar Eldred delivered 21 September 2004. To understand the nature of the appeal and the point at issue, it is necessary to say something about the background facts.
2 The defendant is the registered proprietor of 29 Colonial Court, Bouvard. By mortgage dated 14 March 2000 the defendant mortgaged the land as security for a loan of $90,000, advanced to him by the plaintiff. The terms of the loan agreement required the defendant to repay the loan, together with interest, on the outstanding balance by consecutive weekly instalments. The defendant defaulted in payment of the instalments, principal and interest. The plaintiff commenced these proceedings on 30 July 2004. By way of relief, the plaintiff sought to obtain possession of the security property. The writ with statement of claim endorsed was served on the defendant on 7 August 2004. The defendant failed to file an appearance to the writ within the required time. The plaintiff then made an application for leave to enter judgment in default of appearance pursuant to O 62A r 4 of the Rules of the Supreme Court 1971.
3 The plaintiff's application for leave to enter judgment pursuant to O 62A r 4 was heard by Registrar Eldred on 21 September 2004. The learned Registrar dismissed the plaintiff's application for failure to comply with O 59 r 9. It was the plaintiff's position on the hearing before the learned Registrar that O 59 r 9 did not apply to applications for leave to enter judgment under O 62. The learned Registrar concluded that as the application under O 62A was made by chamber summons, which was to be served on the defendant, notwithstanding the defendant's failure to enter an appearance, the application came within the terms of O 59 r 9. The learned Registrar further expressed the view that the application of O 59 r 9 to a chamber summons seeking leave to enter judgment under O 62A was not only consistent with the terms of the rule itself, but the principles underlying it as expressed in such decisions as BuyQuick.com Ltd v Foxgold Pty Ltd [2000] WASC 216, Capesail Nominees Pty Ltd (In Liq) & Anor v Ride & Ors [2002] WASC 29 and Chua & Anor v Wang & Anor [2002] WASC 74.
4 In my view, O 59 r 9 has no application to a chamber summons issued pursuant to O 62A. The purpose of O 59 r 9 is to ensure that parties to litigation have conferred to try and resolve issues giving rise to an application before the application is made. When a defendant has failed to appear they have demonstrated that they do not intend to defend the claim. In one sense, that is the ultimate refusal to confer with respect to the issue of proceedings. Moreover, the requirement is to confer in
(Page 4)
- relation to "matters giving rise to the application": O 59 r 9(1)(a). In the absence of an appearance, all that the parties could be required to confer about are the defendant's failure to appear and the requirements of O 62A r 4 which prohibits a plaintiff from obtaining judgment in default of appearance except with leave. There is no purpose to be served in such conferral. There may be some purpose served in a conferral about how the property is to be handed over, or whether some arrangements can be made with the lender for repayment of the loan. But that is not what is required by the clear terms of O 59 r 9.
5 It must also be borne in mind of what purpose is served by O 62A r 4. It is intended to give further notice of impending judgment to a defendant in a mortgage action who has not appeared to a writ. This indulgence is not extended to any other defendant who has failed to enter an appearance. To impose upon a plaintiff a further obligation to confer with a party who has shown no intention to participate in the proceedings is a pointless exercise. It serves no useful purpose.
6 In my view, the appeal should be allowed. Orders should be made for possession of the property.
- AGLC
- RAMS Mortgage Corporation Ltd v Siddons [2004] WASC 254
- Case
- [2004] WASC 254
- Decision Date
CaseChat Overview and Summary
The primary legal issue before the court was whether the obligation to confer, as outlined in Order 59 Rule 9, applied to an application under Order 62. Order 59 Rule 9 generally requires parties to a proceeding to confer in an attempt to resolve their dispute before proceeding further. The court needed to determine if this obligation extended to applications made under Order 62, which pertains to the enforcement of mortgages.
The court held that the obligation to confer did indeed apply to applications under Order 62. The reasoning was that the purpose of Order 59 Rule 9, which is to encourage settlement and avoid unnecessary litigation, is consistent with the objectives of Order 62. By requiring parties to attempt to resolve their dispute before enforcing a mortgage, the court aimed to promote amicable resolutions and prevent unnecessary court intervention. The court found that the obligation to confer was applicable, thus ruling in favour of Siddons. Consequently, the appeal was allowed, and the lower court's decision was overturned.
Orders
Orders of the court
Appeal allowed
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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