RHG Mortgage Corporation Ltd v Saunders

The applicant, RHG Mortgage Corporation Ltd, sought orders restraining the respondent, Saunders, from dealing with certain property and staying a default judgment in their favour pending an appeal to the Court of Appeal. The application was made in the Supreme Court of Victoria. The central legal issues before the court were whether the points to be raised on appeal were reasonably arguable and whether the balance of convenience favoured making the orders.

The court found that the points to be raised on appeal were indeed reasonably arguable. The applicant argued that the trial judge had misapplied the law in granting the default judgment. The court held that the issues raised were significant and could potentially affect the outcome of the appeal. Regarding the balance of convenience, the court found that it favoured making the orders. The applicant's property was at risk of being dealt with, which could prejudice the outcome of the appeal. Additionally, the respondent had not demonstrated any significant prejudice that would result from the orders being made.

Accordingly, the court granted the orders sought by the applicant, restraining the respondent from dealing with the property and staying the default judgment pending the outcome of the appeal. The applicant was required to provide security for any costs incurred by the respondent as a result of the orders. The court's decision was based on the reasonable arguability of the points to be raised on appeal and the balance of convenience favouring the applicant.