Lynch v Cash Converters Personal Finance Pty Ltd (No 3) [2017] FCA 371

Lynch v Cash Converters Personal Finance Pty Ltd (No 3) [2017] FCA 371

Discovery of the ASIC category was ordered because the category was targeted to a significant issue in the proceeding, namely the extent to which loan approval procedures in the Interest Rate Cap Period were automated or used benchmarks; communications with ASIC were likely to contain considered statements by Cash Converters or related entities about those processes; it was not clear that the documents had already been discovered; the category was appropriately confined by subject matter and timeframe; and, despite likely additional expense, the discovery would facilitate the just resolution of the proceeding as quickly, inexpensively and efficiently as possible.

Jurisdiction
Australia
Judgment Date
10 April 2017
Procedural Posture
Application for Discovery in a Federal Court Proceeding Concerning Loans and Brokerage Fees / Interlocutory Application Under R 20.15 of the Federal Court Rules 2011
Outcome
Application granted.
Legal Topics
['non Standard Discovery' 'relevance of Documents Sought' 'oppression and Proportionality in Discovery' 'responsible Lending Investigation' 'communications With Asic' 'automated Loan Approval Procedures and Benchmarking']
['civil Procedure' 'discovery' 'consumer Credit' 'regulator and Consumer Protection'] ['non Standard Discovery' 'relevance of Documents Sought' 'oppression and Proportionality in Discovery' 'responsible Lending Investigation' 'communications With Asic' 'automated Loan Approval Procedures and Benchmarking']

Case Brief

Summary, issues, holding and outcome

More case intelligence is available

Unlock the full research layer for this judgment.

Full judgment text Downloadable case file Legal principles 1 Authorities cited 2 Party arguments 2 Amounts and remedies 1
Sign in to unlock

Procedural Posture

Application for Discovery in a Federal Court Proceeding Concerning Loans and Brokerage Fees / Interlocutory Application Under R 20.15 of the Federal Court Rules 2011

Legal Issues

  1. 1 ['Whether the ASIC category of documents was relevant to issues in the proceeding, including whether procedures for approval of loans in the Interest Rate Cap Period were automated or used benchmarks.' 'Whether ordering discovery of communications with ASIC would facilitate the just resolution of the proceeding as quickly, inexpensively and efficiently as possible.' 'Whether the proposed discovery was oppressive or disproportionate having regard to prior discovery and likely additional costs.' "Whether the respondents' proposed alternative discovery category adequately addressed the applicant's legitimate concern about communications with ASIC."]

Ratio Decidendi

Discovery of the ASIC category was ordered because the category was targeted to a significant issue in the proceeding, namely the extent to which loan approval procedures in the Interest Rate Cap Period were automated or used benchmarks; communications with ASIC were likely to contain considered statements by Cash Converters or related entities about those processes; it was not clear that the documents had already been discovered; the category was appropriately confined by subject matter and timeframe; and, despite likely additional expense, the discovery would facilitate the just resolution of the proceeding as quickly, inexpensively and efficiently as possible.

Court Disposition

Application granted.

Orders

  • ['By 12 June 2017, the respondents give discovery of all documents between 7 December 2010 and 20 November 2016 being communications between Olympia Bulnes, Peter Cummins, Michael Cooke, Ralph Groom, Peter Wessels, Simon Cooke, Mark Reid, Glenn Donaldson, Ian Day and Gavin Irons and ASIC regarding the extent to...