Zheng v Sui

The case of Zheng v Sui involved a dispute regarding the repayment of money under share agreements. The plaintiff sought repayment of his money under the agreements, but the defendants claimed that the agreements were harsh and unconscionable, and that the plaintiff had a lack of clean hands. The defendants also argued that the plaintiff had repudiated the agreements. The case was heard in the Supreme Court of New South Wales. The court had to determine whether the share agreements were harsh and unconscionable and whether the plaintiff had repudiated them. The court also had to decide whether the defendants had a valid defence of lack of clean hands and whether the guarantee by one of the defendants was enforceable.
The court held that the share agreements were not harsh and unconscionable and that the plaintiff had not repudiated them. The court found that the defendants had a valid defence of lack of clean hands, as the plaintiff had been involved in fraudulent activities. However, the court held that the guarantee by one of the defendants was still enforceable, as it was separate from the share agreements and was not affected by the plaintiff's lack of clean hands. The court ordered the first defendant to repay the plaintiff's money under the guarantee, but dismissed the plaintiff's claim for repayment under the share agreements.