BLAZAI PTY LTD v PALASTY [2011] NSWSC 225

BLAZAI PTY LTD v PALASTY [2011] NSWSC 225

It was not unreasonable for the defendant to persist with the statutory demand as the plaintiff did not put to the defendant's solicitor that stay of execution was 'some other reason' under s 459J(2)(b); thus, no order as to costs is appropriate.

Parties
Plaintiff: Blazai Pty Ltd; Defendant: Justin Palasty
Jurisdiction
Australia
Judgment Date
30 March 2011
Procedural Posture
Application to Set Aside Statutory Demand / Post Hearing Decision on Costs
Outcome
No order as to costs; each party to bear its own costs.
Legal Topics
Costs, Statutory Demand, Corporations Act
Procedure Costs Statutory Demand Corporations Act

Case Brief

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Parties

Blazai Pty Ltd

Plaintiff

Justin Palasty

Defendant

Procedural Posture

Application to Set Aside Statutory Demand / Post Hearing Decision on Costs

Legal Issues

  1. 1 Whether defendant should have withdrawn statutory demand before proceedings commenced
  2. 2 What costs order is appropriate where defendant does not oppose setting aside statutory demand

Ratio Decidendi

It was not unreasonable for the defendant to persist with the statutory demand as the plaintiff did not put to the defendant's solicitor that stay of execution was 'some other reason' under s 459J(2)(b); thus, no order as to costs is appropriate.

Court Disposition

No order as to costs; each party to bear its own costs.

Orders

  • No order as to costs to the intent that each party should bear its own costs