SIMS -v- SUDA LTD [2014] WASC 3
| SUPREME COURT OF WESTERN AUSTRALIA | Citation No: | [2014] WASC 3 | |
| Case No: | CIV:1535/2012 | 19 JULY 2013 | |
| Coram: | REGISTRAR C BOYLE | 10/01/14 | |
| 10 | Judgment Part: | 1 of 1 | |
| Result: | Statement of claim struck out with leave to bring in minute of proposed substituted statement of claim | ||
| C | |||
| PDF Version |
| Parties: | DOUGLAS ARTHUR SIMS SUDA LTD |
Catchwords: | Pleading Elements of contract Consideration Turns on own facts |
Legislation: | Corporations Act 2001 (Cth), s 208, s 209 |
Case References: | Fazio v Fazio [2012] WASCA 72 Guinness plc v Saunders [1990] 2 AC 63 [HL]; [1990] 1 All ER 652 Hall v Busst (1960) 104 CLR 206 Kimberley Downs Pty Ltd v Western Australia (Unreported, WASC, Library No 6414, 25 August 1986) Marist Brothers Community Inc v The Shire of Harvey (1994) 14 WAR 69 Neilson v City of Swan [2006] WASCA 94 Pao On v Lau Yiu Long [1980] AC 614 Pavey & Matthews Pty Ltd v Paul (1987) 162 CLR 221; 69 ALR 577 |
JURISDICTION : SUPREME COURT OF WESTERN AUSTRALIA
- IN CHAMBERS
- Plaintiff
AND
SUDA LTD
Defendant
Catchwords:
Pleading - Elements of contract - Consideration - Turns on own facts
Legislation:
Corporations Act 2001 (Cth), s 208, s 209
Result:
Statement of claim struck out with leave to bring in minute of proposed substituted statement of claim
Category: C
Representation:
Counsel:
Plaintiff : Mr T J Hammond
Defendant : Mr J R Ludlow
Solicitors:
Plaintiff : Patti Chong Lawyer
Defendant : Downings Legal
Case(s) referred to in judgment(s):
Fazio v Fazio [2012] WASCA 72
Guinness plc v Saunders [1990] 2 AC 63 [HL]; [1990] 1 All ER 652
Hall v Busst (1960) 104 CLR 206
Kimberley Downs Pty Ltd v Western Australia (Unreported, WASC, Library No 6414, 25 August 1986)
Marist Brothers Community Inc v The Shire of Harvey (1994) 14 WAR 69
Neilson v City of Swan [2006] WASCA 94
Pao On v Lau Yiu Long [1980] AC 614
Pavey & Matthews Pty Ltd v Paul (1987) 162 CLR 221; 69 ALR 577
1 REGISTRAR C BOYLE: At all material times (as the best stories begin) the plaintiff Mr Douglas Sims was a director of the defendant, an unlisted public company. He also had executive roles at times.
2 The plaintiff claims that he and the company entered into a binding agreement under which the company was to pay him money and issue him with shares. It has done neither, and Mr Sims sues. The defendant applies to strike out the statement of claim and for an order dismissing the action and requiring the plaintiff to pay the costs.
When a pleading may be struck out
3 The principles applicable were not in dispute at the hearing. Both…
Continue reading Sims v Suda Ltd
Sign in free to access the full text
- AGLC
- SIMS -v- SUDA LTD [2014] WASC 3
- Case
- [2014] WASC 3
- Decision Date
CaseChat Overview and Summary
The primary legal issue before the court was whether the contract between the parties contained valid consideration. The court had to determine if there was a binding agreement supported by consideration, which is an essential element of a valid contract under Australian contract law. Additionally, the court needed to assess whether the plaintiff's statement of claim adequately disclosed a cause of action.
In its reasoning, the court found that the statement of claim did not sufficiently plead a cause of action. The court determined that the contract relied upon by the plaintiff was not supported by consideration. The court held that the promise to purchase the shares was made in return for the plaintiff's promise to sell, but this did not constitute valid consideration because it amounted to an exchange of promises rather than a mutual exchange of something of value. As a result, the court struck out the statement of claim but granted leave to the plaintiff to amend the pleadings and bring in a minute of the proposed substituted statement of claim.
The court ordered that the statement of claim be struck out with leave to bring in a minute of the proposed substituted statement of claim. This allowed the plaintiff to revise the pleadings to better reflect the legal position and potentially address the issues of consideration and the validity of the contract.
Orders
Orders of the court
Statement of claim struck out with leave to bring in minute of proposed substituted statement of claim
Background
Background to the litigation
Full text does not contain this section.
Evidence
Evidence Before The Court
Full text does not contain this section.
Decision
Reasons for decision
Full text does not contain this section.
Ratio Decidendi
Legal Principle Established
Full text does not contain this section.