Case Study: Pure Nature Sydney Pty Ltd [2018] NSWSC 914

Running Head: CASE STUDY
Re Pure Nature Sydney Pty Ltd [2018] NSWSC 914
Name Of the Student
Name Of the University
Author’s Note

CASE STUDY
1
ISSUE:
The legal issue in the case is whether the plaintiff and the defendant are entitled to buy
out the other party in circumstances where both the parties have been involved in oppressive
conduct as explained under sections 232 and 233 of the Corporations Act 2001 (Cth).
FACTS:
The company was of the quasi partnership nature. The plaintiff and the defendant both
held the shares of the company and hence, were the designated shareholders of the company. It
has been alleged that both the parties have been involved in oppressive act against each other.
Thus, the case has been filed by the parties to seek the order of the Court regarding the buy-out
of the company as explained under sections 232 and 233 of the Corporations Act 2001 (Cth).
LEGAL PRINCIPLES:
Section 232 of the Corporations Act 2001 (Cth) lays down the provision for the grounds
available to the court under which it can order if the conduct of the company’s trade, any act or
proposed act which has ben acted or proposed to be acted upon, or any resolution that has been
passed by the company or has been under the proposal to be passed relates to the matters
involving members or class of members of the company amounts to the interests in contradiction
with that of the members (as a complete group of members), or oppressive or unfair prejudice or
discriminatory against any member of the company in any capacity.
Section 233 of the Act explains an exclusive variety of powers and remedies related to
oppression and provide relief against the same issues1. The provision of the Act entitles the Court
1 Re Spargos Mining NL (1990) 3 ACSR 1, 50–1.