Re Lowes Park Pty Ltd

The case of Re Lowes Park Pty Ltd involved an oppression action brought by a shareholder against the company and its directors. The applicant, a shareholder in a family company, sought relief on the grounds of oppression, claiming that the actions of the company and its directors were unfairly prejudicial to the interests of the shareholders. The case was heard in the Federal Court of Australia. The central dispute revolved around the fairness of the company's actions in light of the family dynamics and the terms under which the shares were held. The applicant argued that the company's refusal to declare dividends and the method of valuation of shares, which were limited by special provisions in the company's articles, were oppressive.

The legal issues before the court included whether the applicant was "locked in" to the company in a manner that entitled them to demand dividends, and whether the valuation method used for the shares was fair. Additionally, the court had to consider the implications of breaches of the Corporations Law and the company's articles on the applicant's claim. The fairness of the company's actions was to be assessed in the context of the family structure and the advice given to the family regarding the company's establishment and operation.

The court found that the applicant, while not literally "locked in" to the company, was in a position where the company's actions could be considered oppressive due to the family context and the special provisions in the articles. The court held that the method of valuation of shares, which took into account the limited rights of the applicant, was fair in the circumstances. The court also noted that the applicant's claim against a deceased person did not preclude the action, as the court could still consider the fairness of the company's actions in relation to the living shareholders. The court ordered that the respondents prepare short minutes of orders within fourteen days, and the applicant to file any objections or proposed variations within a further fourteen days.