Hera Project Pty Ltd v Woolworths Ltd [2024] FCA 1339

Hera Project Pty Ltd v Woolworths Ltd [2024] FCA 1339

Given the long and unsatisfactory history of non-compliance with security orders and case management directions by the applicant, the failure to provide security within a generous time despite assurances, and the lack of satisfactory evidence that further indulgence would result in compliance, the Court is not satisfied any real prospect exists that security will be given even if further time is provided. Because the applicant is impecunious, alternative mechanisms are speculative, and granting further indulgence would significantly prejudice the respondent and the administration of justice, the proceeding should be dismissed under s 56(4) and r 19.01(c).

Parties
Applicant: Hera Project Pty Ltd; Respondent: Woolworths Ltd
Jurisdiction
Australia
Judgment Date
21 November 2024
Procedural Posture
Commercial Dispute—security for Costs (interlocutory) / Ruling on Competing Interlocutory Applications; Dismissal of Proceeding
Outcome
The applicant's interlocutory application is dismissed. The proceeding is dismissed for failure to provide security for costs as ordered.
Legal Topics
Security for Costs, Dismissal for Non Compliance, Adjournment Applications, Interlocutory Orders, Overarching Purpose (ss 37 M/n FCA Act), Corporations—winding Up and Insolvency
Practice and Procedure Commercial Law Corporate Law Security for Costs Dismissal for Non Compliance Adjournment Applications Interlocutory Orders Overarching Purpose (ss 37 M/n FCA Act) +1 more

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Parties

Hera Project Pty Ltd

Applicant

Woolworths Ltd

Respondent

Procedural Posture

Commercial Dispute—security for Costs (interlocutory) / Ruling on Competing Interlocutory Applications; Dismissal of Proceeding

Legal Issues

  1. 1 Whether to adjourn the interlocutory hearing at applicant's request
  2. 2 Whether to vacate (discharge) the security for costs order
  3. 3 Whether to extend the time for applicant to provide security for costs

Ratio Decidendi

Given the long and unsatisfactory history of non-compliance with security orders and case management directions by the applicant, the failure to provide security within a generous time despite assurances, and the lack of satisfactory evidence that further indulgence would result in compliance, the Court is not satisfied any real prospect exists that security will be given even if further time is provided. Because the applicant is impecunious, alternative mechanisms are speculative, and granting further indulgence would significantly prejudice the respondent and the administration of justice, the proceeding should be dismissed under s 56(4) and r 19.01(c).

Court Disposition

The applicant's interlocutory application is dismissed. The proceeding is dismissed for failure to provide security for costs as ordered.

Orders

  • The applicant's interlocutory application filed 13 November 2024 is dismissed.
  • The proceeding is dismissed pursuant to s 56(4) of the Federal Court of Australia Act 1976 (Cth) and r 19.01(c) of the Federal Court Rules 2011 (Cth).