| IN THE FEDERAL COURT OF AUSTRALIA | ) | ||
| QUEENSLAND DISTRICT REGISTRY |
|
| DIVISION | GENERAL | ) |
| : | - | B | =TIP PTY. LTD. |
First Applicant
| AND: | ANTHONY MICHAEL GEANEY |
Second Applicant
| AND: | CAPALABA PARK SHOPPING CENTRE | PTY. LTD. |
Respondent
| MINUTES | OF | O R D E R |
| JUDGE MAKING ORDER: | PINCUS J. |
| DATE OF ORDER: | 16 FEBRUARY 1987 |
| WHERE MADE: | BRISBANE |
| THE COURT ORDERS THAT: |
1. Subject to the condition that the first applicant
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| ||
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| of 1987; |
| 2. Costs | of the application be costs in the |
proceedings.
| Settlement and entry | of |
Order 36 of the Federal
| T N THE FFDFRAL COIJRT O F AITSTRALIA | ) | |||
| DUEENSLAND DTSTRICT REGISTRY |
|
BETWEEN: WALTTP PTY. LTD.
First Applicant
| AND: | ANTHONY MTCHAEL GEANEY |
Second Applicant
| AND: | CAPALABA PARK SHOPPING CENTRE PTY. LTD. |
Respondent
| PTNCIJS J. | 16 February 1987 |
E X TEMPORE REASONS FOR JIJDGMENT
| Thls is an | application | for | lnterlm | rellef. | The |
| -_ | applicants are a tenant and guarantor in respect of | a lease of | a |
shop in a shopping centre. When the matter first came before the has been filed. However, the case is much the same as it was, In
| that the clam 1s that the shop in question has | a klosk very close |
to it which obstructs the view of the applicants' shop.
The material discloses that the first applicant had
| presented to it a | plan whlch did not show any kiosk. The first |
appllcant has also put material before the Court suggesting that,
at the time when negotiations took place between the first
| applicant and the respondent, the proposal | to put the kiosk there |
existed, and one would have expected that the landlord would have
made that clear.
In my view, as a commercial matter, the presence of the
kiosk is likely to make a difference to the average tenant, and it
is a matter he would expect to be told about.
However, it is not necessary to speculate about that,
| because, on the face of | it, it seems clear that the plan which was |
| presented | to | the | first | applicant | showed | no | kiosk. | The only |
| doubtful | point | is | whether, | at | the | time | when | the | plan | was |
presented, the kiosk was a firm proposal, and that is a matter, no
| doubt, to be gone into at the trial. | I am of the view that the |
| applicants have shown a prlma facie case, | or | a case requlring |
| investigation, and I | am influenced in the direction of granting |
| the applicants relief of | an interim kind by the circumstance that |
| the respondent, although it has had | an opportunity to do | so, has |
| placed no information before the Court with respect | to the kiosk. |
On the other hand, the proceedings in respect of which
| relief is sought related to | a cheque drawn on | 12 November 1986 and |
| dishonoured on 20 | November. In the view | I | take, it is only in |
| very unusual circumstances that a court should encourage | or |
| sanction the dishonouring of | a cheque. I think that busmess |
people rely upon a cheque being substantially as good as cash,
subject to the possibility that funds may, through no fault of the
| drawer, not be available. Here there is no suggestion | of | that; |
the drawer simply changed his mind and withdrew the bank's
mandate. Although there is great force in much of what has been
. . .
| J | 3. |
| said by Mr. Fraser on behalf of the applicants, | I do not think the |
| Court should grant relief in respect | of that cheque. |
I think the cheque should be paid and that the relief should be confined to restraining the proceedings if the cheque is
| paid. | The other point | which was raised in the course of argument |
by Mr. Perry, on behalf of the respondents, is what is to happen
| with the subsequent liability to pay rental. | Mr. Perry said that |
a condition should be imposed that the applicant pay the rental
pending the disposition of the Federal Court proceedings.
I decline to accede to that submission for two reasons:
| firstly, the application relates only to the cheque for | $7,938. |
| No | application has been made in respect to any future rental. |
| Secondly, It would seem odd, while requiring the amount of | $7,938 |
| to be paid, to grant the | relatively | inconsequential relief | of |
| restraining the District Court proceedings on condltion | that some |
| other sums which may, in the | end, be much larger, be also paid. |
| On | the | whole, although there is some inconvenience |
attached to doing so, I will, as regards the subsequent rental - that is, rental subsequent to the periods covered by the $7,938 - accede to the suggestion of Mr. Fraser and leave that to the
| agreement | of | he | parties | or, | failing | agreement, | further |
application. It may be that the disposition of that question will
depend upon subsequent events.
| The order which | I propose to make is | as follows: |
subject to the condition that the first applicant pay to the
| respondent the sum of | $7.938, | being the amount of the cheque |
| mentioned in the proceedings, on | or | before the 23rd day | of |
February 1987, I order that the respondent be restrained and an injunction is hereby granted restraining it from pursuing until further order the proceedings in the District Court, number 16 of
| 1987, the initiatmg process in which is exhibit | A to the |
| affidavit of Mr. R.M. Lockhart. |
| I further | propose | to | order | that | the | costs | of | the |
appllcation for Injunction be costs in the proceedlngs in thls
Court.
,
- AGLC
- Waltip Pty Ltd v Capalaba Park Shopping Centre Pty Ltd [1987] FCA 78
- Case
- [1987] FCA 78
- Decision Date
CaseChat Overview and Summary
The primary legal issues before the Court were whether the applicants had established a prima facie case for the existence of the kiosk and its potential impact on their business, and if the Court should grant interim relief in the form of an injunction against the District Court proceedings, contingent on the payment of the cheque. Additionally, the Court had to determine whether the applicants should be required to pay future rental amounts pending the resolution of the Federal Court proceedings.
Justice Pincus concluded that the applicants had demonstrated a prima facie case for the presence of the kiosk, as the lease plans did not show its existence, and it was a matter the landlord should have disclosed. However, the Court found that the dishonoured cheque should be paid as cheques are generally relied upon as good as cash. The Court granted the injunction to halt the District Court proceedings, but only if the cheque was paid by a specified date. The Court also declined to impose a condition requiring the applicants to pay future rental amounts, reasoning that such a condition was not appropriate given the specific nature of the application.
The Court ordered that the respondent be restrained from pursuing the District Court proceedings, provided the applicants paid the $7,938 cheque by the specified date. The Court further directed that the costs of the application be costs in the proceedings.
Orders
Orders of the court
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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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