Australian Medico-Legal Group Pty Ltd v Claireleigh Mosman Pty Ltd

[2017] NSWCA 218

NSW Court of Appeal

View on CaseLaw

Built by Barristers,
For Australian Law.

See how it works

Interrogate

Catchwords

1. Limitation of Actions
2. › Postponement of the bar
3. › Confirmation of cause of action
4. › Acknowledgment of debt
5. › Whether acknowledgment in debtor's financial statements describing debt as 'Loans to Shareholders' sufficient confirmation where creditor was company controlled by shareholder
6. › Whether acknowledgment made to creditor where delivered to alter ego of creditor
7. › Limitation Act 1969 (NSW), ss 14, 54
1. Contract
2. › Formation
3. › Identity of parties to oral contract
4. › Whether natural person or company controlled by that person was lender
5. › Weight to be given to conversation between parties versus financial statements and internal records
6. › Post-contractual conduct as evidence of contract formation
1. Practice and Procedure
2. › Costs
3. › Application for leave to appeal from costs order
4. › No error in exercise of discretion
5. › No question of principle
6. › House v The King (1936) 55 CLR 499

Quick Take

An acknowledgment of debt in a company's financial statements described as 'Loans to Shareholders' is capable of constituting a confirmation under s 54 of the Limitation Act 1969 (NSW) in favour of a company controlled by a shareholder, even though the company is not itself a shareholder. Delivery of the financial statements to the sole director and alter ego of the creditor company is sufficient delivery to the creditor. In determining the identity of a lender under an undocumented oral loan, the communications between the borrower and the person who arranged the loan should be afforded greater weight than the financial statements or internal ledgers of either party.