IIB Australia Pty Ltd v Owners Strata Plan 76024 [2014] NSWSC 1835

IIB Australia Pty Ltd v Owners Strata Plan 76024 [2014] NSWSC 1835

The applications to strike out the proceedings or impose security for costs failed because the Owners Corporation did not meet the strict onus to show the IIB claims were hopeless, and exceptional circumstances for security were not demonstrated. However, IIB’s summons required amendment, including to clarify all causes of action, with usual orders as to costs thrown away. The re-joinder of the Local Court and leave to amend were appropriate. The Owners Corporation’s motion was dismissed and costs ordered accordingly.

Parties
Plaintiff: IIB Australia Pty Ltd; First Defendant: The Owners - Strata Plan No 76024; Second Defendant: The Attorney-General for the State of New South Wales; Joined as Second Defendant (formerly Not Party): The Local Court
Jurisdiction
Australia
Judgment Date
19 December 2014
Procedural Posture
Interlocutory Applications in Supreme Court Appeal Seeking Judicial Review of Local Court Costs Orders / Ruling on Procedural Motions, Orders on Amendment, Joinder, Security for Costs, and Dismissal Motion
Outcome
Procedural orders: Joinder and amendment allowed; dismissal and security for costs refused; costs directions made.
Legal Topics
Joinder of Parties, Security for Costs, Dismissal of Summons, Appellate Procedure, Supervisory Jurisdiction, Procedural Fairness
Civil Procedure Administrative Law Joinder of Parties Security for Costs Dismissal of Summons Appellate Procedure Supervisory Jurisdiction Procedural Fairness

Case Brief

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Parties

IIB Australia Pty Ltd

Plaintiff

The Owners - Strata Plan No 76024

First Defendant

The Attorney-General for the State of New South Wales

Second Defendant

The Local Court

Joined as Second Defendant (formerly Not Party)

Procedural Posture

Interlocutory Applications in Supreme Court Appeal Seeking Judicial Review of Local Court Costs Orders / Ruling on Procedural Motions, Orders on Amendment, Joinder, Security for Costs, and Dismissal Motion

Legal Issues

  1. 1 Whether the Local Court should be re-joined as a defendant and summons amended
  2. 2 Whether the summons should be dismissed as incompetent or grounds struck out
  3. 3 Whether security for costs should be ordered against an impecunious corporate plaintiff in judicial review proceedings

Ratio Decidendi

The applications to strike out the proceedings or impose security for costs failed because the Owners Corporation did not meet the strict onus to show the IIB claims were hopeless, and exceptional circumstances for security were not demonstrated. However, IIB’s summons required amendment, including to clarify all causes of action, with usual orders as to costs thrown away. The re-joinder of the Local Court and leave to amend were appropriate. The Owners Corporation’s motion was dismissed and costs ordered accordingly.

Court Disposition

Procedural orders: Joinder and amendment allowed; dismissal and security for costs refused; costs directions made.

Orders

  • The Local Court is joined as the second defendant to the proceedings, with the result that the Attorney General becomes the third defendant.
  • IIB has leave to file a further amended summons on or before 31 January 2015.