MCG v Bowral [2002] NSWSC 400

MCG v Bowral [2002] NSWSC 400

Where offsetting claims and genuine disputes are established, the statutory demand must be varied to reflect only uncontested amounts, and a defect in the demand does not justify setting aside unless substantial injustice is shown.

Source-derived case information.

Jurisdiction
Australia
Judgment Date
06 May 2002
Procedural Posture
Application to Set Aside Statutory Demand / Judgment on Application
Outcome
Statutory demand varied; partial costs order to plaintiff
Legal Topics
['statutory Demand' 'offsetting Claim' 'genuine Dispute' 'variation of Demand']
['corporations Law'] ['statutory Demand' 'offsetting Claim' 'genuine Dispute' 'variation of Demand']

Source-derived case record

Summary, issues, holding and outcome

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Procedural Posture

Application to Set Aside Statutory Demand / Judgment on Application

Legal Issues

  1. 1 ['Whether the statutory demand should be set aside or varied due to offsetting claims or genuine disputes' 'Whether a defect in the demand caused substantial injustice under section 459J(1)(a) of the Corporations Act']

Ratio Decidendi

Where offsetting claims and genuine disputes are established, the statutory demand must be varied to reflect only uncontested amounts, and a defect in the demand does not justify setting aside unless substantial injustice is shown.

Court Disposition

Statutory demand varied; partial costs order to plaintiff

Orders

  • ['The debt in the demand dated 27 November 2001 is reduced to $39,298.88 effective twenty-one days after service of the demand.' "The defendant to pay one half of the plaintiff's costs of the application." 'Exhibits to be returned.']