McKensey & Ors v Hewitt & Ors [1999] NSWSC 685

McKensey & Ors v Hewitt & Ors [1999] NSWSC 685

The contempt motion was misconceived because the defendants were not required to accept the plaintiffs' unilaterally prepared accounts; any disagreement over the Forsythes (Old) accounts had to be resolved by arbitration under the settlement agreement. However, given the delay and the parties' inability to resolve the issue, it was proper for the plaintiffs to bring the matter before the Court to progress implementation of the earlier order, so the accounts were ordered to arbitration, the contempt motion was dismissed, and each party was ordered to bear their own costs.

Jurisdiction
Australia
Judgment Date
17 June 1999
Procedural Posture
Motion for Contempt / Judgment on Motion
Outcome
Accounts to go to arbitration; motion for contempt dismissed; each party to pay their own costs.
Legal Topics
['specific Performance of Settlement Agreement' 'preparation and Acceptance of Partnership Accounts' 'arbitration Clause' 'costs of Motion']
['equity' 'civil Procedure' 'contempt' 'arbitration' 'partnership Accounts'] ['specific Performance of Settlement Agreement' 'preparation and Acceptance of Partnership Accounts' 'arbitration Clause' 'costs of Motion']

Case Brief

Summary, issues, holding and outcome

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Procedural Posture

Motion for Contempt / Judgment on Motion

Legal Issues

  1. 1 ['Whether the first and second defendants were obliged to accept the financial accounts prepared by the plaintiffs.' 'Whether a dispute about the accounts of Forsythes (Old) should be determined by arbitration under the settlement agreement.' 'Whether the motion for contempt should be dismissed.' 'What costs order should be made on the motion.']

Ratio Decidendi

The contempt motion was misconceived because the defendants were not required to accept the plaintiffs' unilaterally prepared accounts; any disagreement over the Forsythes (Old) accounts had to be resolved by arbitration under the settlement agreement. However, given the delay and the parties' inability to resolve the issue, it was proper for the plaintiffs to bring the matter before the Court to progress implementation of the earlier order, so the accounts were ordered to arbitration, the contempt motion was dismissed, and each party was ordered to bear their own costs.

Court Disposition

Accounts to go to arbitration; motion for contempt dismissed; each party to pay their own costs.

Orders

  • ['Matter of accounts to go to an arbitrator.' 'Orders as in Short Minutes.' 'Motion for contempt dismissed.' 'Each party to pay their own costs of the motion.']