Deruniec v McDonald [2018] FCA 843

Deruniec v McDonald [2018] FCA 843

The originating application and statement of claim did not identify the material facts, documents, circumstances or relief necessary to establish that the applicants held valid security interests under the Personal Property Securities Act 2009 (Cth). As framed, the proceeding disclosed no reasonable or arguable cause of action, had no prospect of success, and was likely to cause prejudice, embarrassment and delay, particularly in light of the existing administrative process under the Act. It was therefore required to be dismissed, with costs.

Jurisdiction
Australia
Judgment Date
25 May 2018
Procedural Posture
Application to Dismiss or Strike Out an Originating Application and Statement of Claim Concerning Claimed Security Interests Under the Personal Property Securities Act 2009 (cth) / Interlocutory Application by the Respondents Under R 16.21 of the Federal Court Rules 2011 (cth)
Outcome
The originating application and statement of claim filed 6 April 2018 were dismissed, and the applicants were ordered to pay the respondents' costs.
Legal Topics
['strike Out or Dismissal' 'pleadings' 'security Interests' 'personal Property Securities Register' 'abuse of Process' 'administrative Process Under the Personal Property Securities Act 2009 (cth)']
['practice and Procedure' 'personal Property Securities' 'commercial and Corporations'] ['strike Out or Dismissal' 'pleadings' 'security Interests' 'personal Property Securities Register' 'abuse of Process' 'administrative Process Under the Personal Property Securities Act 2009 (cth)']

Case Brief

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Procedural Posture

Application to Dismiss or Strike Out an Originating Application and Statement of Claim Concerning Claimed Security Interests Under the Personal Property Securities Act 2009 (cth) / Interlocutory Application by the Respondents Under R 16.21 of the Federal Court Rules 2011 (cth)

Legal Issues

  1. 1 ['Whether the originating application and statement of claim should be dismissed or struck out as frivolous and vexatious, ambiguous, likely to cause embarrassment and delay, failing to disclose reasonable grounds and a statutory basis for relief, or an abuse of process.' "Whether the applicants' pleading disclosed material facts capable of establishing valid security interests under the Personal Property Securities Act 2009 (Cth)." 'Whether the interlocutory application should be adjourned to allow the first applicant, who was incarcerated, to obtain legal advice.' 'Whether it was appropriate on a strike-out application to make an order effectively declaring that the security interests were not validly held.']

Ratio Decidendi

The originating application and statement of claim did not identify the material facts, documents, circumstances or relief necessary to establish that the applicants held valid security interests under the Personal Property Securities Act 2009 (Cth). As framed, the proceeding disclosed no reasonable or arguable cause of action, had no prospect of success, and was likely to cause prejudice, embarrassment and delay, particularly in light of the existing administrative process under the Act. It was therefore required to be dismissed, with costs.

Court Disposition

The originating application and statement of claim filed 6 April 2018 were dismissed, and the applicants were ordered to pay the respondents' costs.

Orders

  • ['The originating application and statement of claim filed 6 April 2018 are dismissed.' "The applicants pay the respondents' costs of and incidental to the application."]