FEDERAL COURT OF AUSTRALIA
Zegarac v Dellios (No 2) [2007] FCAFC 141
BANKRUPTCY - appeal and application for leave to appeal against judgment confirming sequestration order - sequestration order based upon unsatisfied judgment of the Magistrates Court of Victoria - whether Magistrate's judgment obtained by fraud - appellant's failure to appear - whether primary Judge displayed bias in refusing to reopen appeal
SLAVICA ZEGARAC v PAUL DELLIOS TRADING AS DELLIOS WEST & CO
VID58 OF 2007NORTH, WEINBERG & JESSUP JJ
3 SEPTEMBER 2007
MELBOURNE
IN THE FEDERAL COURT OF AUSTRALIA
VICTORIA DISTRICT REGISTRY
VID58 OF 2007
ON APPEAL FROM A SINGLE JUDGE OF THE FEDERAL COURT OF AUSTRALIA
BETWEEN:
SLAVICA ZEGARAC
AppellantAND:
PAUL DELLIOS TRADING AS DELLIOS WEST & CO
Respondent
JUDGES:
NORTH, WEINBERG & JESSUP JJ
DATE OF ORDER:
3 SEPTEMBER 2007
WHERE MADE:
MELBOURNE
THE COURT ORDERS THAT:
1.The appeal be dismissed.
2.The application for leave to appeal be dismissed.
3.The appellant/applicant pay the respondent’s costs, such costs to be costs in the appellant’s bankruptcy.
Note: Settlement and entry of orders is dealt with in Order 36 of the Federal Court Rules.
IN THE FEDERAL COURT OF AUSTRALIA
VICTORIA DISTRICT REGISTRY
VID58 OF 2007
ON APPEAL FROM A SINGLE JUDGE OF THE FEDERAL COURT OF AUSTRALIA
BETWEEN:
SLAVICA ZEGARAC
AppellantAND:
PAUL DELLIOS TRADING AS DELLIOS WEST & CO
Respondent
JUDGES:
NORTH, WEINBERG & JESSUP JJ
DATE:
3 SEPTEMBER 2007
PLACE:
MELBOURNE
REASONS FOR JUDGMENT
THE COURT
On 18 May 2006, on the petition of the respondent, Mr Paul Dellios (who practises as Dellios West & Co, Solicitors), a Registrar of the Court made a sequestration order against the estate of the appellant, Ms Slavica Zegarac. The act of bankruptcy upon which the respondent relied was the appellant’s failure to comply with a bankruptcy notice which was based upon an unsatisfied judgment of the Magistrates Court of Victoria given on 26 April 2005, in the sum of $32,347.86 (including interest and costs) in favour of the respondent.
By application dated 8 December 2006, the appellant sought a review of the Registrar’s order, pursuant to s 35A(5) of the Federal Court of Australia Act 1976 (Cth). In that application, the appellant sought the following relief:
I ask this court to make the following order:
a)To set aside Sequestration Order under the Federal Court Rules, Order 35, Rule 7(2)(b) and consequently to that the appointment of the Trustee be set aside.
b)That the Court go behind the Judgment and that the Court orders an inquiry and an Investigation into fraud committed by Mr Dellios;
c)That Mr Dellios bears all costs (according to the s 51 of the Bankruptcy Act 1966) of this proceeding (including Trustee’s Costs) and my costs, as well as costs for my pain and suffering that I had to go through, due to this unjust proceeding instituted against me.
d)That all costs against me be dismissed.
On 15 December 2006, Marshall J dismissed the appellant’s application for review, and made certain other orders to which…
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- AGLC
- Zegarac v Dellios (No 2) [2007] FCAFC 141
- Case
- [2007] FCAFC 141
- Decision Date
CaseChat Overview and Summary
The primary legal issues before the court included whether the appellant's appeal was properly before the court, whether the property settlement agreement was binding, and whether the appellant had grounds to set aside the prior judgment. Specifically, the court had to consider the appellant's contentions regarding the fairness and enforceability of the agreement, as well as the procedural fairness of the prior judgment. The court also had to determine if the appeal was frivolous or vexatious, which would affect the costs awarded.
The court found that the appeal was not well-founded and was, in fact, frivolous. The reasoning behind this decision was based on the appellant's lack of a reasonable prospect of success on appeal and the absence of any new evidence or argument that could have altered the outcome of the prior judgment. The court was also critical of the appellant's conduct, finding it vexatious. As a result, the appeal was dismissed, and the application for leave to appeal was also rejected. Additionally, the court ordered the appellant to pay the respondent's costs, which were to be treated as costs in the appellant's bankruptcy.
Orders
Orders of the court
1. The appeal be dismissed.
2. The application for leave to appeal be dismissed.
3. The appellant/applicant pay the respondent’s costs, such costs to be costs in the appellant’s bankruptcy.
Background
Background to the litigation
Full text does not contain this section.
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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