Shorey v One Key Workforce Pty Ltd (in liq)

In the case of Shorey v One Key Workforce Pty Ltd (in liq), the applicant, Mr Shorey, sought preliminary discovery of insurance policies from the prospective respondent, One Key Workforce Pty Ltd, which is in liquidation. The applicant intended to use the discovery to inform a potential application under section 471B of the Corporations Act 2001 (Cth) for leave to bring a proceeding against One Key Workforce Pty Ltd. A related company, One Key Resources Pty Ltd (OK Resources), filed an interlocutory application seeking either to be joined as a respondent or to be granted leave to intervene in the preliminary discovery application. OK Resources opposed the discovery application on several grounds.

The court had to decide whether to grant OK Resources leave to intervene in the proceedings and whether to dismiss Mr Shorey's application for preliminary discovery. The court considered the evidence provided by Mr Shorey's solicitor and OK Resources' solicitor, along with extracts from ASIC searches and heavily redacted copies of the insurance policies in question. Due to the level of redaction, the court requested un-redacted copies of the policies to make an informed decision. After reviewing the un-redacted policies, the court concluded that it was appropriate to grant OK Resources leave to intervene and to dismiss Mr Shorey’s application for preliminary discovery.

The court's reasoning was based on the need to protect OK Resources' interests, which would be directly affected by the outcome of the discovery application. The court noted that OK Resources' interests aligned with those of the prospective respondent, One Key Workforce Pty Ltd, and that allowing intervention would not unreasonably interfere with the existing parties' ability to conduct the proceeding. Additionally, the court considered the overarching purpose of civil proceedings under sections 37M and 37N of the Federal Court of Australia Act 1976 (Cth) in making its decision. The court found that granting leave to intervene and dismissing the discovery application was the appropriate course of action.

In conclusion, the court granted One Key Resources Pty Ltd leave to intervene in the proceeding and dismissed Mr Shorey's originating application dated 19 August 2020. No order was made as to costs.