Wright Prospecting Pty Ltd v Hancock Prospecting Pty Ltd [No 16]

Hancock Prospecting Pty Ltd (HPPL) and Hope Downs Iron Ore Pty Ltd (HDIO), the first and second defendants in the proceedings, sought that the trial of the proceedings scheduled to commence on 12 June 2023 be stayed to allow for the making of an award in a separate dispute involving HPPL, HDIO and Bianca Rinehart and John Hancock (Bianca and John) before Hon Wayne Martin AC KC, Hon Dr Kevin Lindgren AM KC and Dr Michael Hwang SC (the Martin Arbitration). The Martin Arbitration concerns, among other matters, the validity and effect of a deed known as the Hope Downs Deed entered into by a number of persons, including HPPL, Georgina Rinehart, and Gina's children, Bianca, Hope Welker and Ginia Rinehart, which deed was adopted by John (collectively Children). Wright Prospecting Pty Ltd (WPPL), the plaintiff in the proceedings, and DFD Rhodes Pty Ltd, the plaintiff in another proceeding, opposed the application for a discretionary stay or adjournment of the trial, and submitted that there was no proper reason to delay the trial of the proceedings pending the final determination of the Martin Arbitration, and when all relevant factors were weighed, the relevant factors did not favour either a stay or an adjournment of the trial. Smith J considered the relevant factors and concluded that the application for a stay or an adjournment of the trial should be dismissed. The Curial Proceedings had been on foot for many years, related to events that occurred a long time ago, and on the plaintiffs' cases, each of them acquired their interests in the Tenements well before the Hope Downs Deed was entered into. The plaintiffs and the public had an obvious and important interest in the claims being resolved as soon as possible. From the plaintiffs' perspective, there was no proper reason why their interests should be adversely affected by the arbitration agreement in the Martin Arbitration as they were strangers to the Hope Downs Deed. It was by no means certain that either WPPL or Rhodes, as a non-party to the Hope Downs Deed, would obtain the benefit of any extinguishment of any claim by Bianca and John that was effected by a release in the Hope Downs Deed. The plaintiffs would not be bound by any outcome of the Martin Arbitration, which meant there was a risk of duplication of resources and inconsistent decisions in any event, even if a stay or adjournment was ordered. The Martin Arbitration had commenced, but it would not be finally completed until the end of March 2023. WPPL, Rhodes and the HPPL parties agreed that an award in the Martin Arbitration may be delivered by the end of 2023 and the process of any unsuccessful party resisting enforcement may not be completed until March 2024. The family members that stood behind at least Rhodes had suffered stress and had been subjected to the strain that litigation imposed upon litigants when proceedings were delayed. A refusal of a stay or an adjournment advanced the goal in O 1 r 4A of the Rules of the Supreme Court by minimising delays in the resolution of disputes whilst ensuring the fair and just determination of issues between parties.