Z Firm and C Pty Ltd

This matter concerned an application by C Pty Ltd in proceedings opposing the admission by the Liquidator of S Pty Limited (in liquidation) of the proof of debt of Z Firm, Solicitors. The court was required to determine whether to extend the time for C Pty Ltd to file and serve its points of claim, and to limit the scope of those points of claim. The court also had to consider the consequence of C Pty Ltd failing to comply with the amended orders.

Justice Cohen ordered that the time for compliance with a previous order for the filing of points of claim be extended by 21 days. The court further ordered that the points of claim be confined to two specific issues: firstly, whether Z Firm was validly engaged to act for S Pty Limited (in liquidation) alone or with other parties, and secondly, whether S Pty Limited (in liquidation) was liable, either alone or with others, for costs paid to Z Firm or subject to Z Firm's proof of debt to the liquidators.

The court stipulated that if C Pty Ltd failed to file and serve its points of claim within the extended timeframe and in accordance with the limited scope, its application opposing the admission of Z Firm's proof of debt would be dismissed. Costs in the proceeding were reserved.