MRI Pty Ltd v Soar Development Group Pty Ltd [2021] NSWSC 309

MRI Pty Ltd v Soar Development Group Pty Ltd [2021] NSWSC 309

The cross-defendants William Le Messurier and Bruce Jackson remain liable as guarantors for the outstanding arrears of rent and outgoings under the lease, notwithstanding their resignation as directors, as there is no provision in the lease terminating their guarantee upon cessation as directors. The evidence established the outstanding debt. Injunctive relief is warranted due to uncontested breaches concerning hazardous goods and debris.

Parties
Plaintiff: MRI PSO Pty Ltd; Defendant: Soar Development Group Pty Limited; Cross Claimant: Soar Development Group Pty Ltd; First Cross Defendant: MRI PSO Pty Ltd; Second Cross Defendant: William Le Messurier; Third Cross Defendant: Bruce Jackson
Jurisdiction
Australia
Judgment Date
19 March 2021
Procedural Posture
Cross Claim / Judgment
Outcome
Judgment for cross-claimant against first, second, and third cross-defendants for outstanding rent and outgoings; injunctive relief as claimed granted; costs awarded.
Legal Topics
Recovery of Rent, Liability of Guarantors, Injunctive Relief, Removal of Property and Debris
Equity Leases and Tenancies Guarantee and Indemnity Recovery of Rent Liability of Guarantors Injunctive Relief Removal of Property and Debris

Case Brief

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Parties

MRI PSO Pty Ltd

Plaintiff

Soar Development Group Pty Limited

Defendant

Soar Development Group Pty Ltd

Cross Claimant

MRI PSO Pty Ltd

First Cross Defendant

William Le Messurier

Second Cross Defendant

Bruce Jackson

Third Cross Defendant

Procedural Posture

Cross Claim / Judgment

Legal Issues

  1. 1 Whether cross-defendants are liable for outstanding rent and outgoings as guarantors under the lease
  2. 2 Whether injunctive relief should be granted to restrain or require removal of property, rubbish, and debris from common areas

Ratio Decidendi

The cross-defendants William Le Messurier and Bruce Jackson remain liable as guarantors for the outstanding arrears of rent and outgoings under the lease, notwithstanding their resignation as directors, as there is no provision in the lease terminating their guarantee upon cessation as directors. The evidence established the outstanding debt. Injunctive relief is warranted due to uncontested breaches concerning hazardous goods and debris.

Court Disposition

Judgment for cross-claimant against first, second, and third cross-defendants for outstanding rent and outgoings; injunctive relief as claimed granted; costs awarded.

Orders

  • Judgment entered against MRI PSO Pty Ltd, William Le Messurier, and Bruce Jackson for $90,915 outstanding rent and outgoings.
  • Injunctive relief restraining the first cross-defendant from storing hazardous goods and requiring removal of property, rubbish, and debris from common areas.