Wallace v Rural Bank Limited

SUPREME COURT OF QUEENSLAND

CITATION:

Wallace v Rural Bank Limited [2014] QSC 186

PARTIES:

CHARLIE WALLACE
(applicant/defendant)
v
RURAL BANK LIMITED ACN 083 938 416
(respondent/plaintiff)

FILE NO:

7928 of 2012

DIVISION:

Trial Division

PROCEEDING:

Application

ORIGINATING COURT:

Supreme Court of Queensland

DELIVERED ON:

18 August 2014 (ex tempore)

DELIVERED AT:

Brisbane

HEARING DATE:

21 May 2014

JUDGE:

Daubney J

ORDER:

The application is dismissed with costs.

CATCHWORDS:

PROCEDURE – SUPREME COURT PROCEDURE – QUEENSLAND – PRACTICE UNDER RULES OF COURT – STAYING PROCEEDINGS – where the applicant seeks a stay of proceedings pending appeal – where the applicant seeks to stay the default judgment and enforcement warrants issued in reliance of the default judgment – whether the applicant can demonstrate a good arguable case on appeal – whether the applicant will be disadvantaged if a stay is not ordered – whether the competing disadvantage to the respondent if the stay is granted does not outweigh the disadvantage suffered to the applicant if the stay is not granted


Elphick v MMI General Insurance Limited & Anor [2002] QCA 347, followed

Rashchilla & Anor v Westpac Banking Corporation [2010] QCA 255

Rural Bank v Wallace [2014] QSC 87, cited

COUNSEL:

P King for the applicant

M Gynther for the respondent

SOLICITORS:

John Walker Lawyers for the applicant

Corrs Chambers Westgarth for the respondent

1. HIS HONOUR:   The applicant/defendant, Mr Charlie Wallace (“Mr Wallace”), is the registered owner of two properties in North Queensland known as “Newburgh” Station and “Coronation” Station. 

2. This proceeding arises out of the default in repayment by Mr Wallace of moneys owed to the respondent/plaintiff (“the Bank”) pursuant to a number of trading and loan facilities he held with the Bank.  As security for those loans, Mr Wallace granted the Bank a livestock mortgage and registered mortgages over the land.  On 31 August 2012, the Bank commenced the present proceeding against Mr Wallace, claiming payment of moneys owing and for recovery of possession of Newburgh Station and Coronation Station.  Initially, Mr Wallace filed a conditional notice of intention to defend, but later abandoned that position.  The matter went to the Financial Ombudsman Service from about October 2012 until about November 2013, but no resolution was achieved.

3. On 6 January 2014, the Bank appointed receivers and managers of the real property.  It is uncontentious that those receivers were appointed in the capacity as agents for Mr Wallace.  On 9 January 2014, those same receivers were appointed over the balance of the mortgaged property under the livestock mortgage. 

4. On 10 January 2014, the Bank obtained default judgment in this proceeding against Mr Wallace.  Mr Wallace had, in early January 2014, engaged a solicitor, Mr Brown. 

5. On 17 February 2014, the receivers entered the two properties, as agent for Mr Wallace, taking over management of the livestock on the properties under the livestock mortgage. 

6. On 20 February 2014, Mr Wallace executed a deed of agreement and occupation licence.  The occupation licence was in respect of the homestead…