NRMA v YATES [1999] NSWSC 701

NRMA v YATES [1999] NSWSC 701

The Master held that the amended defence was sufficiently deficient in form and particulars—containing irrelevant material, inadmissible defences, and confused incorporation of allegations—that the whole pleading ought to be struck out rather than amended piecemeal. The Master recognised that aspects such as a public interest defence and common understanding about membership could be pleaded, but the defence as filed was not sufficiently articulated. The defence was struck out with leave to replead; paragraphs containing confidential information were not to be published pending further order; and costs were awarded to the plaintiffs.

Parties
Plaintiff: NRMA Limited; Plaintiff: NRMA Insurance Limited; Defendant: Ian Yates
Jurisdiction
Australia
Judgment Date
13 July 1999
Procedural Posture
Motion (interlocutory Application) / Judgment on Application to Strike Out Amended Defence
Outcome
Application granted; defence struck out with leave to replead.
Legal Topics
Confidential Information, Strike Out of Pleadings, Directors' Duties, Oppression Remedy, Public Interest Defence
Equity Practice and Procedure Confidential Information Strike Out of Pleadings Directors' Duties Oppression Remedy Public Interest Defence

Case Brief

Summary, issues, holding and outcome

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Parties

NRMA Limited

Plaintiff

NRMA Insurance Limited

Plaintiff

Ian Yates

Defendant

Procedural Posture

Motion (interlocutory Application) / Judgment on Application to Strike Out Amended Defence

Legal Issues

  1. 1 Whether the entire amended defence or parts thereof should be struck out as disclosing no reasonable defence or for other deficiencies
  2. 2 Whether public interest defence as formulated in English law can be pleaded in Australia
  3. 3 Whether allegations of director misconduct or board conduct can amount to a public interest or 'unclean hands' defence to a claim for breach of confidence

Ratio Decidendi

The Master held that the amended defence was sufficiently deficient in form and particulars—containing irrelevant material, inadmissible defences, and confused incorporation of allegations—that the whole pleading ought to be struck out rather than amended piecemeal. The Master recognised that aspects such as a public interest defence and common understanding about membership could be pleaded, but the defence as filed was not sufficiently articulated. The defence was struck out with leave to replead; paragraphs containing confidential information were not to be published pending further order; and costs were awarded to the plaintiffs.

Court Disposition

Application granted; defence struck out with leave to replead.

Orders

  • The amended defence filed 17 June 1999 is struck out.
  • The defendant is to file and serve an amended defence within 21 days of judgment.