Stone v Leonardis

In the matter of Stone v Leonardis, the plaintiffs sought the removal of a caveat entered by the defendants which was preventing the plaintiffs from settling on a contract of sale into which they had entered as mortgagees exercising the power of sale. The case was heard in the Supreme Court of South Australia. The central legal issue was whether the balance of convenience favoured the plaintiffs in having the caveat removed, so as to allow them to proceed with the sale of the property in accordance with the contract. The court had to consider the circumstances surrounding the loan agreement, the failure of the defendants to make repayments, the valuations of the property, and the efforts made by the plaintiffs to sell the property. The court also had to consider the defendants' assertion of a potential purchaser willing to pay a significantly higher price than the plaintiffs had achieved.

The court found that the balance of convenience did indeed favour the plaintiffs. The court noted that the defendants had defaulted on the loan agreement and had not made any repayments since. The court also considered the valuations of the property, which had decreased over time, indicating a potential decrease in the market value. The court rejected the defendants' claim of a potential higher sale price, finding that there was no evidence to support this claim. The court concluded that the plaintiffs had acted reasonably in attempting to sell the property and that the balance of convenience favoured the removal of the caveat to allow the sale to proceed. The court ordered the removal of the caveat, allowing the plaintiffs to proceed with the sale of the property.