Burrell Solicitors Pty Limited (In Liquidation) v Reavill Farm Pty Limited (No.2) [2019] NSWSC 67

Burrell Solicitors Pty Limited (In Liquidation) v Reavill Farm Pty Limited (No.2) [2019] NSWSC 67

The Court found that the agreement between Burrells and BS Legal, as recorded in corporate resolutions, constituted a valid assignment of present property (the judgments entered 22 August 2013) and any existing costs orders. The assignment was supported by sufficient consideration in the provision of legal services and indemnities, and was not merely of future property. The assignment was absolute despite arrangements as to how proceeds would be handled. Even if the statutory notice was imperfect or failed to include all subject matter, the assignment remained enforceable in equity. Leave to proceed against Burrells in liquidation was properly granted, and BS Legal was entitled to be...

Jurisdiction
Australia
Judgment Date
14 February 2019
Procedural Posture
Notice of Motion in Ongoing Supreme Court Proceedings (enforcement of Costs Judgments and Assignment) / Judgment on Motion/orders Regarding Assignment of Judgments, Joinder, Substitution, and Costs
Outcome
Orders granted as sought by BS Legal Pty Ltd; assignment upheld; BS Legal Pty Ltd substituted as plaintiff and judgment creditor; costs awarded as set out in judgment.
Legal Topics
['assignment of Judgments' 'company in Liquidation' 'enforcement of Costs Judgments' 'joinder and Substitution of Parties']
['commercial Law' 'insolvency' 'civil Procedure'] ['assignment of Judgments' 'company in Liquidation' 'enforcement of Costs Judgments' 'joinder and Substitution of Parties']

Case Brief

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Procedural Posture

Notice of Motion in Ongoing Supreme Court Proceedings (enforcement of Costs Judgments and Assignment) / Judgment on Motion/orders Regarding Assignment of Judgments, Joinder, Substitution, and Costs

Legal Issues

  1. 1 ['Was there a valid legal or equitable assignment by Burrell Solicitors Pty Ltd to BS Legal Pty Ltd of the right, title, and interest in the judgments and monies due?' 'Was the assignment supported by valuable consideration?' 'Is the assignment affected by being of future property or by being conditional?' 'Did the notice of assignment comply with statutory requirements?' 'Should the Court grant leave to commence/continue proceedings against a company in liquidation?']

Ratio Decidendi

The Court found that the agreement between Burrells and BS Legal, as recorded in corporate resolutions, constituted a valid assignment of present property (the judgments entered 22 August 2013) and any existing costs orders. The assignment was supported by sufficient consideration in the provision of legal services and indemnities, and was not merely of future property. The assignment was absolute despite arrangements as to how proceeds would be handled. Even if the statutory notice was imperfect or failed to include all subject matter, the assignment remained enforceable in equity. Leave to proceed against Burrells in liquidation was properly granted, and BS Legal was entitled to be...

Court Disposition

Orders granted as sought by BS Legal Pty Ltd; assignment upheld; BS Legal Pty Ltd substituted as plaintiff and judgment creditor; costs awarded as set out in judgment.

Orders

  • ['Pursuant to s 471B of Corporations Act 2001 (Cth), leave granted nunc pro tunc to BS Legal Pty Ltd to commence and continue proceedings as per Notice of Motion filed 8 November 2017 in 2013/255030 and 2013/255045.' 'Declare Burrell Solicitors Pty Ltd assigned and transferred to BS Legal Pty Ltd all right, title...