St George Bank - A Division of Westpac Banking Corporation v Active Property Investment Pty Ltd

St George Bank, a division of Westpac Banking Corporation, brought an application against Active Property Investment Pty Ltd in the Supreme Court of New South Wales. The bank sought an order for substituted service of a statutory demand, arguing that despite numerous attempts to serve the demand personally on the company, it had not been served due to the company's non-compliance with the service requirements. The dispute centred on whether the court could grant an order for substituted service when the party seeking the order had not taken reasonable steps to ensure the demand was served.

The court considered the statutory provisions governing the service of a statutory demand and the principles of procedural fairness. It examined whether the bank had complied with the procedural requirements for seeking substituted service and whether the bank had taken reasonable steps to effect personal service before applying for substituted service. The key issue was whether the court had the discretion to order substituted service when the applicant had not fulfilled its procedural obligations.

The court held that it did not have the power to make an order for substituted service when the applicant had not taken reasonable steps to effect personal service. The court found that the bank had not demonstrated that it had taken all reasonable steps to serve the statutory demand personally on the company. Consequently, the application for substituted service was dismissed, reinforcing the importance of procedural fairness and the need for applicants to adhere to statutory requirements when seeking substituted service.