SSABR Pty Ltd v AMA Group Ltd

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Court of Appeal


Supreme Court


New South Wales

  • Amendment notes
Medium Neutral Citation: SSABR Pty Ltd v AMA Group Ltd [2024] NSWCA 104
Hearing dates: 6 May 2024
Date of orders: 7 May 2024
Decision date: 07 May 2024
Before: Payne JA
Decision:

(1) By 4pm on 14 May 2024, the appellants provide security for the respondents' costs of these appeal proceedings pursuant to section 1335 of the Corporations Act 2001 (Cth), in the sum of $80,000, by payment of that sum into court or by provision of security in that amount in a form acceptable to the Registrar of the Court of Appeal.

(2)   The matter is listed for directions before Payne JA at 9.30 am on Thursday 16 May 2024.

(3)   If security for costs is lodged with the Court in accordance with order 1, the parties have leave to inform the associate of Payne JA of that matter, at which time the directions hearing in order 2 will be vacated.

Catchwords:

COSTS – Security for costs – appeal – under Corporations Act 2001 (Cth) s 1335 – where parties agreed order should be made – dispute solely on quantum – competing estimates of appropriate amount of security – where security sought in relation to notice of contention – where security sought in relation to past costs – whether professional costs assessor’s estimate to be preferred over solicitor’s security estimate

Legislation Cited:

Corporations Act 2001 (Cth) s 1335

Uniform Civil Procedure Rules 2005 (NSW) r 51.50

Cases Cited:

Allco Funds Management Ltd (in liq) v Trust Company (RE Services) Ltd [2013] NSWSC 1450

Broadway Plaza Investments Pty Ltd v Broadway Plaza Pty Ltd [2019] NSWSC 1082

HP Mercantile Pty Ltd v Dierickx [2013] NSWCA 87

KDL Building Pty Ltd v Mount [2006] NSWSC 474

LSKF Holdings Pty Ltd v Shield Lifestone Holdings Pty Ltd [2018] NSWCA 109

McMillan v Coolah Home Base Pty Ltd [2023] NSWCA 172

Mualim v Dzelme [2020] NSWCA 333

Palermo Seafoods Pty Ltd v Lunapas Pty Ltd [2015] NSWCA 149

Pioneer Park Pty Ltd (In liq) v Australia and New Zealand Banking Group Ltd [2007] NSWCA 344

Preston v Harbour Pacific Underwriting Management Pty Ltd [2007] NSWCA 247

Reddy v C&P Syndicate Pty Ltd [2013] NSWCA 425

Rickard Constructions Pty Ltd v Rickard Hails Moretti Pty Ltd [2008] NSWCA 283

SSABR Pty Ltd v AMA Group Ltd (No 2) [2024] NSWSC 24

Swift v McLeary [2013] NSWCA 173

Tyneside Property Management Pty Ltd v Hammersmith Management Pty Ltd [2014] NSWCA 417

Category:Procedural rulings
Parties: SSABR Pty Ltd (first appellant/first respondent on the motion)
HAAPRC Pty Ltd (second appellant/second respondent on the motion)
AMA Group Ltd (first respondent/first applicant on the motion)
AMA Group Solutions Pty Ltd (second respondent/second applicant on the motion)
Representation:

Counsel:

SK Hill (appellants/respondents on the motion)
S Fitzpatrick (respondents/applicants on the motion)

Solicitors:

CBD Law (appellants/respondents on the motion)
K&L Gates (respondents/applicants on the motion)
File Number(s): 2023/463461
Publication restriction: Nil
 Decision under appeal 
Court or tribunal:
Supreme Court…
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Details
Case
[2024] NSWCA 104
Decision Date

CaseChat Overview and Summary

In the appeal before Payne JA of the Court of Appeal of the Supreme Court of New South Wales, SSABR Pty Ltd (appellants) sought to challenge a decision concerning security for costs. The dispute between SSABR Pty Ltd and AMA Group Ltd (respondents) was not about whether security for costs should be ordered, but rather the quantum of that security. The parties had agreed that an order for security for costs should be made, but they held competing estimates for the appropriate amount.

The central legal issue before the court was to determine the quantum of security for costs to be provided by the appellants. This involved considering whether the security should encompass costs related to a notice of contention and past costs. A further question arose as to whether the estimate provided by a professional costs assessor should be preferred over the estimate provided by the solicitors for the respondents.

Payne JA determined that security for costs should be ordered in the sum of $80,000. The reasoning involved weighing the competing estimates and considering the scope of the security sought. The court ordered that the appellants provide this security by 4pm on 14 May 2024, either by payment into court or by providing security in a form acceptable to the Registrar of the Court of Appeal. A directions hearing was scheduled for 16 May 2024, which would be vacated if the security was lodged as ordered.

Orders

Orders of the court

(1) By 4pm on 14 May 2024, the appellants provide security for the respondents' costs of these appeal proceedings pursuant to section 1335 of the Corporations Act 2001 (Cth), in the sum of $80,000, by payment of that sum into court or by provision of security in that amount in a form acceptable to the Registrar of the Court of Appeal.

(2) The matter is listed for directions before Payne JA at 9.30 am on Thursday 16 May 2024.

(3) If security for costs is lodged with the Court in accordance with order 1, the parties have leave to inform the associate of Payne JA of that matter, at which time the directions hearing in order 2 will be vacated.

Background

Background to the litigation

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Evidence

Evidence Before The Court

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Decision

Reasons for decision

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Ratio Decidendi

Legal Principle Established

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