In the matter of Mission Providence Pty Ltd [2016] NSWSC 1112

In the matter of Mission Providence Pty Ltd [2016] NSWSC 1112

The statutory demand was set aside because the debt claimed was manifestly the subject of a genuine dispute, as there was no legal basis for recovery of costs for research and composition of pre-litigation correspondence.

Parties
Plaintiff: Mission Providence Pty Ltd; Defendant: Elena Grabovsky; Interested Party: Igor Grabovsky
Jurisdiction
Australia
Judgment Date
11 July 2016
Procedural Posture
Corporations Application to Set Aside Creditor's Statutory Demand / Hearing and Decision on Application to Set Aside
Outcome
Creditor's statutory demand set aside; defendant to pay plaintiff's costs.
Legal Topics
Winding Up, Insolvency, Creditors Statutory Demand, Genuine Dispute, Costs
Corporations Law Winding Up Insolvency Creditors Statutory Demand Genuine Dispute Costs

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Parties

Mission Providence Pty Ltd

Plaintiff

Elena Grabovsky

Defendant

Igor Grabovsky

Interested Party

Procedural Posture

Corporations Application to Set Aside Creditor's Statutory Demand / Hearing and Decision on Application to Set Aside

Legal Issues

  1. 1 Whether there is a genuine dispute in relation to the debt the subject of the statutory demand
  2. 2 Whether the defendant is entitled to recover costs of research and composition of pre-litigation correspondence
  3. 3 Whether the proceedings should be adjourned

Ratio Decidendi

The statutory demand was set aside because the debt claimed was manifestly the subject of a genuine dispute, as there was no legal basis for recovery of costs for research and composition of pre-litigation correspondence.

Court Disposition

Creditor's statutory demand set aside; defendant to pay plaintiff's costs.

Orders

  • The creditor's statutory demand issued by the defendant dated 30 May 2016 and served on the plaintiff be set aside.
  • The defendant pay the plaintiff's costs.