Reozone Pty Ltd v Rene Santoro [2016] NSWSC 1383

Reozone Pty Ltd v Rene Santoro [2016] NSWSC 1383

Mrs Santoro did not sign the agreement in her personal capacity or in the space associated with the guarantor wording; her only signature was expressly an acceptance for and on behalf of Elite Plant Hire. Objectively, that conduct did not indicate to a reasonable person that she personally granted a charge over her present and future real estate/property to secure Elite Plant Hire's debts. The 8th and 9th defendants therefore did not establish any enforceable charge against her property.

Jurisdiction
Australia
Judgment Date
30 September 2016
Procedural Posture
Equity Proceedings Concerning Claimed Charges Over Real Property and Applications for Payment Out of Moneys Paid Into Court / Determination of Notices of Motion Filed by the 8th and 9th Defendants on 31 August 2016
Outcome
The 8th and 9th defendants' notices of motion filed on 31 August 2016 were dismissed with no order as to costs.
Legal Topics
['guarantee' 'charge Over Real Property' 'construction of Contracts' 'company Director Signing on Behalf of Company' 'payment Out of Moneys Paid Into Court']
['contract' 'equity'] ['guarantee' 'charge Over Real Property' 'construction of Contracts' 'company Director Signing on Behalf of Company' 'payment Out of Moneys Paid Into Court']

Case Brief

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Procedural Posture

Equity Proceedings Concerning Claimed Charges Over Real Property and Applications for Payment Out of Moneys Paid Into Court / Determination of Notices of Motion Filed by the 8th and 9th Defendants on 31 August 2016

Legal Issues

  1. 1 ['Whether, by signing the VIP Customer Loan Vehicle Agreement, Mrs Santoro indicated to a reasonable person in the position of Sydney Trucks that she granted a charge over all her present and future real estate/property to secure payment of moneys owed by Elite Plant Hire.' "Whether Mrs Santoro's signature as director and for and on behalf of Elite Plant Hire also amounted to acceptance of personal liability or a personal obligation to grant a charge." "Whether Mrs Santoro's failure to appear or give evidence permitted an inference that she accepted all terms on the form, including the alleged charge over her property."]

Ratio Decidendi

Mrs Santoro did not sign the agreement in her personal capacity or in the space associated with the guarantor wording; her only signature was expressly an acceptance for and on behalf of Elite Plant Hire. Objectively, that conduct did not indicate to a reasonable person that she personally granted a charge over her present and future real estate/property to secure Elite Plant Hire's debts. The 8th and 9th defendants therefore did not establish any enforceable charge against her property.

Court Disposition

The 8th and 9th defendants' notices of motion filed on 31 August 2016 were dismissed with no order as to costs.

Orders

  • ["The 8th and 9th defendants' notices of motion filed on 31 August 2016 be dismissed." 'No order as to costs.' 'The Registrar is to attempt to contact the first defendant using the last known email address at which messages can be left for her, informing her that there are moneys in court to which she is entitled...