Rizky Management Pty Ltd v Billabong Hotel (St Marys) Pty Ltd

Rizky Management Pty Ltd sought to set aside a caveat entered against a property by Billabong Hotel (St Marys) Pty Ltd. The dispute came before the Supreme Court of New South Wales, which was required to decide on the criteria for extending the period within which a caveator must lodge a proceeding to protect their interest. The court was also required to consider the balance of convenience in deciding whether to grant an extension. The court found that the caveator had acted reasonably in entering the caveat and that the balance of convenience favoured granting the extension. The caveator's concern was to protect their interest in the property, while the caveatee's interest was to complete the sale of the property. The court found that damages were not an adequate remedy in this case, as the caveator's interest in the property could be irreparably harmed if the sale proceeded without their involvement. The court granted the extension, allowing the caveator to lodge a proceeding to protect their interest within the extended period. The court emphasised the importance of considering the balance of convenience in such cases, as the interests of both parties must be taken into account. The court also noted that the criteria for extending the period within which a caveator must lodge a proceeding should be applied flexibly, taking into account the circumstances of each case. The court's decision in this case provides guidance for parties involved in similar disputes and highlights the importance of protecting legitimate interests in property.