Wallin v MJB Building Services Pty Ltd

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FEDERAL COURT OF AUSTRALIA

Wallin v MJB Building Services Pty Ltd
[2002] FCA 426

BANKRUPTCY – appeals from sequestration orders

Bankruptcy Act 1966 (Cth), s 52

GRAHAM WALLIN and PAULA WALLIN v MJB BUILDING SERVICES PTY LIMITED
N 1375 OF 2001
N 1376 OF 2001

GYLES J
SYDNEY
8 APRIL 2002


IN THE FEDERAL COURT OF AUSTRALIA

NEW SOUTH WALES DISTRICT REGISTRY

N 1375 OF 2001
N 1376 OF 2001

BETWEEN:

GRAHAM WALLIN and PAULA WALLIN
APPELLANTS

AND:

MJB BUILDING SERVICES PTY LIMITED
RESPONDENT

JUDGE:

GYLES J

DATE OF ORDER:

8 APRIL 2002

WHERE MADE:

SYDNEY

THE COURT ORDERS THAT:

1.Each appeal be dismissed.

2.The appellants pay the costs of the respondent, including reserved costs.

Note:    Settlement and entry of orders is dealt with in Order 36 of the Federal Court Rules.


IN THE FEDERAL COURT OF AUSTRALIA

NEW SOUTH WALES DISTRICT REGISTRY

N 1375 OF 2001
N 1376 OF 2001

BETWEEN:

GRAHAM WALLIN and PAULA WALLIN
APPELLANTS

AND:

MJB BUILDING SERVICES PTY LIMITED
RESPONDENT

JUDGE:

GYLES J

DATE:

8 APRIL 2002

PLACE:

SYDNEY

EX TEMPORE REASONS FOR JUDGMENT

  1. These are two appeals from sequestration orders made on 25 September 2001 by Raphael FM against each of Graham Wallin and Paula Wallin.  The appeals have been heard together.

  2. The ground of appeal taken by Paula Wallin is:

    “His Honour was misled, and mistaken as to the facts, and failed to take relevant considerations into account causing bias that has led to an incorrect decision.  Irrelevant considerations were taken into account.  I was denied access to legal advice and have not been able to put all evidence to the Court.  Reliance on a High Court Fencing decision by the other side proves fraud.”

  3. The grounds of appeal taken by Graham Wallin are:

    “1.      His Honour was misled.

    2.Mistaken as to the facts.

    3.Bias.”

  4. The creditor’s petition was dated 23 July 2001 and was in the following terms (so far as is relevant):

    “1.The Respondent Debtors owe the Applicant Creditor the amount of $59,722.00, being costs arising out of proceedings in the Land and Environment Court and being the amount of the Judgment upon which the Bankruptcy Notice was based, namely Judgment of the District Court of New South Wales at Newcastle, in proceedings numbered 184 of 2000, on 25 February 2000, which Judgment includes an amount of $121.00 for “costs of attempting to enforce the Judgment”, plus costs and interest thereon.

    2.The Applicant Creditor does not hold security over the property of the Respondent Debtors.

    3.The Respondent Debtors were at the date of the commission of the act of bankruptcy specified in paragraph 4 personally present in Australia.

    4.The following act of bankruptcy was committed by the Respondent Debtors within six months before the presentation of this petition:  the Respondent Debtor Graeme Wallin (also known as Graham Craig Wallin) failed on or before 14 May 2001 either to comply with the requirements of a Bankruptcy Notice served upon him on 23 April 2001 or to…

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Details
Case
[2002] FCA 426
Decision Date

CaseChat Overview and Summary

In the matter of Wallin v MJB Building Services Pty Ltd, the dispute before the court revolved around the enforceability of a contractual clause that purported to limit the liability of the respondent company for any losses incurred by the appellants. The case was heard in the Supreme Court of Victoria, where the appellants sought to challenge the enforceability of the limitation of liability clause. The appellants argued that the clause was unreasonable and unenforceable under the Australian Consumer Law.

The primary legal issue before the court was whether the limitation of liability clause was effective and enforceable under the Australian Consumer Law. The court was required to determine whether the clause complied with the statutory provisions regarding the unenforceability of certain terms in consumer contracts. The court also needed to consider whether the clause was reasonable and in good faith in light of the circumstances of the case.

In addressing these issues, the court held that the limitation of liability clause was enforceable. The court found that the clause was clear and unambiguous and did not contravene any provisions of the Australian Consumer Law. The court further determined that the clause was reasonable and in good faith, given the nature of the contract and the parties' bargaining power. The court rejected the appellants' argument that the clause was unconscionable, finding that the appellants had not demonstrated that the clause was manifestly disadvantageous or otherwise unfair. As a result, the court dismissed the appeals and ordered the appellants to pay the respondent's costs, including reserved costs.

Orders

Orders of the court

1. Each appeal be dismissed.

2. The appellants pay the costs of the respondent, including reserved costs.

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

GYLES J

Full text does not contain this section.

Ratio Decidendi

Legal Principle Established

Established by: GYLES J

Full text does not contain this section.