ZAGHLOUL v JEWELLERY and Gift Buying Services Pty Ltd and Anor (No.2)

This matter concerned an application by the plaintiff, Mr Zaghloul, for an order that the defendants, Jewellery and Gift Buying Services Pty Ltd and Mr Jewell, pay to the plaintiff the sum of $10,000. The plaintiff sought this sum pursuant to section 109 of the *Uniform Civil Procedure Rules 1999* (Qld) (UCPR), which allows a court to order a party to pay a sum of money into court or to the other party. The application arose from a dispute concerning alleged breaches of contract and misleading and deceptive conduct. The proceedings were heard in the District Court of Queensland.

The primary legal issue before the court was whether the plaintiff had established a sufficient basis to warrant an order for payment of $10,000 into court or to the plaintiff under section 109 of the UCPR. This required the court to consider the nature of the plaintiff's claim, the strength of the evidence presented, and whether there was a real risk that the defendants would be unable to satisfy any judgment that might be awarded to the plaintiff at trial. The court also had to assess whether the sum sought was a reasonable and proportionate measure in the circumstances.

Judge Vasta found that the plaintiff had not discharged the onus of demonstrating that an order under section 109 of the UCPR was justified. While acknowledging the plaintiff's allegations, the court determined that the evidence presented did not establish a sufficiently strong case to warrant such an order at this stage of the proceedings. Specifically, the court was not satisfied that there was a real risk of the defendants being unable to meet a future judgment, nor that the sum of $10,000 was demonstrably linked to the potential outcome of the case. The court applied the principles that such orders are exceptional and require clear evidence of need and a strong prima facie case.

Consequently, the application for an order under section 109 of the UCPR was dismissed.