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\fs20\lang1033\langfe1033\cgrid\langnp1033\langfenp1033 {\b\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 IN THE HIGH COURT OF FIJI
\par AT SUVA
\par CIVIL JURISDICTION
\par }\pard \ql \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid9397889 {\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 
\par }\pard \qc \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid9397889 {\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 CIVIL ACTION NO.: HBC}{
\fs24\lang2057\langfe1033\langnp2057\insrsid9397889\charrsid9397889 0}{\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 149 OF 2002
\par }\pard \ql \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid9397889 {\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 
\par }\pard \qc \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid9397889 {\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 BETWEEN:
\par }\pard \ql \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid9397889 {\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 
\par }\pard \qc \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid9397889 {\b\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 NBF ASSET MANAGEMENT BANK
\par }{\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 Plaintiff}{\fs24\lang2057\langfe1033\langnp2057\insrsid9397889\charrsid9397889 
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\par }\pard \qc \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid9397889 {\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 AND:
\par }\pard \ql \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid9397889 {\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 
\par }\pard \qc \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid9397889 {\b\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 JOHN VAIVO FATIAKI JNR & EMILY KAFOA FATIAKI
\par }{\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 Defendant}{\fs24\lang2057\langfe1033\langnp2057\insrsid9397889\charrsid9397889 
\par }\pard \ql \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid9397889 {\fs24\lang2057\langfe1033\langnp2057\insrsid9397889\charrsid9397889 
\par Counsel: }{\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 Mr. P. McDonnell \endash  for Plaintiff
\par Mr. S. Valenitabua \endash  for Defendant}{\fs24\lang2057\langfe1033\langnp2057\insrsid9397889\charrsid9397889 
\par 
\par Date of Hearing: }{\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 7th October, 2004
\par Date of Judgment:}{\fs24\lang2057\langfe1033\langnp2057\insrsid9397889\charrsid9397889  }{\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 22nd October, 2004}{\fs24\lang2057\langfe1033\langnp2057\insrsid9397889\charrsid9397889 
\par 
\par }\pard \qc \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid9397889 {\b\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 JUDGMENT}{\b\fs24\lang2057\langfe1033\langnp2057\insrsid9397889\charrsid9397889 
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\par }{\b\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 Introduction
\par }{\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 
\par The guarantor defendants successfully obtained an injunction restraining the bank plaintiff from selling and/or proceeding with the process of selling the defendant\rquote s leasehold interest situated at Vuda Point.}{
\fs24\lang2057\langfe1033\langnp2057\insrsid9397889  }{\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 The subject land is formally described as Lease No. 248965, Lot 1, S01345.}{\fs24\lang2057\langfe1033\langnp2057\insrsid9397889  }{
\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 The interim injunction was granted by my brother Justice Singh on the 9}{\fs24\lang2057\langfe1033\super\langnp2057\insrsid4603001\charrsid9397889 th}{
\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889  of December, 2002.}{\fs24\lang2057\langfe1033\langnp2057\insrsid9397889  }{\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 Leave was reserve
d to make relevant applications on 7 days notice.
\par 
\par The bank now seeks an order dissolving the customers injunction.
\par 
\par }{\b\fs24\ul\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 Factual Background
\par }{\fs24\lang2057\langfe1033\langnp2057\insrsid9397889 
\par }{\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 The plaintiff had advanced loans to the defendant John Vaivo Fatiaki secured by way of mortgage No. 32498 over the land of Vuda Point.}{
\fs24\lang2057\langfe1033\langnp2057\insrsid9397889  }{\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 This was a personnel advance.
\par 
\par Mr. Fatiaki and his wife Emily then obtained an interest in a company called A.P. Patel Limited.}{\fs24\lang2057\langfe1033\langnp2057\insrsid9397889  }{\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 
They asked the bank for additional money in 1993 to support the company\rquote s undertaking.}{\fs24\lang2057\langfe1033\langnp2057\insrsid9397889  }{\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 The bank agreed to the re
quest and advanced further money to the Company secured by way of guarantee from the defendants and a mortgage over Mr. Fatiaki\rquote s land at Vuda Point.}{\fs24\lang2057\langfe1033\langnp2057\insrsid9397889  }{
\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 This is known as Mortgage No. 335589.
\par 
\par There were subsequent advances to the struggling company secured under Mortgage 33589 and the guarantees.}{\fs24\lang2057\langfe1033\langnp2057\insrsid9397889  }{\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 
Finally there was a variation to the mortgage 33589 registered on the 9}{\fs24\lang2057\langfe1033\super\langnp2057\insrsid4603001\charrsid9397889 th}{\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 
 of August, 1996 by way of document numbered 400598.
\par 
\par That variation was made at the request of the defendants and summarized the terms and conditions of the advances made during the course of the customers dealings with the bank.}{\fs24\lang2057\langfe1033\langnp2057\insrsid9397889  }{
\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 This restructuring of accounts is summarized in the bank\rquote s letter dated the 13}{\fs24\lang2057\langfe1033\super\langnp2057\insrsid4603001\charrsid9397889 th}{
\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889  of December, 1994.}{\fs24\lang2057\langfe1033\langnp2057\insrsid9397889  }{\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 
The letter is signed by both of the defendants and the Company seal of A.P. Patel Limited is affixed.
\par 
\par The company and the defendants continued to struggle financially.}{\fs24\lang2057\langfe1033\langnp2057\insrsid9397889  }{\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 
The bank again re-visited the facilities in March of 1996 and extended the arrangement.}{\fs24\lang2057\langfe1033\langnp2057\insrsid9397889  }{\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 
This loan arrangement was signed under seal by the company and its Managing Director, the defendant, Mr. John Fatiaki.
\par 
\par It became obvious to the bank by the end of 2001 that the defendants could not repay the various loans nor better secure them to the plaintiffs satisfaction.}{\fs24\lang2057\langfe1033\langnp2057\insrsid9397889  }{
\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 The loans were called up and mortgagee sale procedures commenced.}{\fs24\lang2057\langfe1033\langnp2057\insrsid9397889  }{
\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 In response the defendants applied to injunct the bank and prevent it from selling the Vuda Point property.
\par 
\par It is clear and I accept that the defendants have inadequate financial resources.}{\fs24\lang2057\langfe1033\langnp2057\insrsid9397889  }{\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 They cannot service their loans secured by th
e mortgage.}{\fs24\lang2057\langfe1033\langnp2057\insrsid9397889  }{\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 
They will never be in a position to adequately compensate the plaintiff by any undertaking to meet any amount of damages.}{\fs24\lang2057\langfe1033\langnp2057\insrsid9397889  }{\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 
I note in any event that no such undertaking as to damages was ever given by the defendants when they sought their original injunction.
\par 
\par The defendants meet this application in a very technical way.}{\fs24\lang2057\langfe1033\langnp2057\insrsid9397889  }{\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 
They claim that there was never any offer and acceptance in respect on the original loan advance in 1993 of $215,000.00 secured by mortgage 33589.
\par 
\par They point to bank documents an
d say that the letter of offer was never countersigned by them. They say that without any agreement regarding the terms and conditions of the advance mortgage number 335589 was redundant and therefore void. Counsel relies on the decision of }{
\b\i\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 Entores Ltd v Miles Far East Corp [1955] 2 QB 327}{\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889  and }{
\b\i\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 Brinkibon Ltd v Stahag Stahl und Stahlwarenhandelsgesellsch}{\b\i\fs24\lang2057\langfe1033\langnp2057\insrsid9397889 aft mb}{
\b\i\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 H}{\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889  [1983] 2 AC 34.}{\fs24\lang2057\langfe1033\langnp2057\insrsid9397889  }{
\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 It is argued that as a mortgage is a conveyance of land it conveys legal title only in the event of a default of a mortgage and it is not a contract for an advance or a loan facility.}{
\fs24\lang2057\langfe1033\langnp2057\insrsid9397889  }{\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 
It is argued that while the bank may have offered to advance a sum of $215,000.00 to the company secured by the defendants under guarantee and mortgage there was never any acceptance by them therefore the m
ortgage represents only a conveyance not an enforceable contract for a loan.
\par 
\par For very simple and practical reasons I completely reject that argument:
\par 
\par {\pntext\pard\plain\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 \hich\af0\dbch\af0\loch\f0 1.\tab}}\pard \ql \fi-720\li1440\ri0\widctlpar{\*\pn \pnlvlbody\ilvl0\ls1\pnrnot0\pndec\pnstart1\pnindent360\pnsp120\pnhang {\pntxta .}}
\aspalpha\aspnum\faauto\ls1\adjustright\rin0\lin1440\itap0\pararsid9397889 {\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 Offer and acceptance does not have to be contained in writing for a loan to be valid.}{
\fs24\lang2057\langfe1033\langnp2057\insrsid9397889  }{\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 It is clear from t
he affidavits supplied by the plaintiff that the initial advances of $215,000.00 were made at the request of the defendant.}{\fs24\lang2057\langfe1033\langnp2057\insrsid9397889  }{\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 
I note that the defendant rather tactfully remains silent on whether or not his company or he had the use these monies.}{\fs24\lang2057\langfe1033\langnp2057\insrsid9397889  }{\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 
That is a silence of convenience.}{\fs24\lang2057\langfe1033\langnp2057\insrsid9397889  }{\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 I find as a matter of fact that the money was advanced.}{
\fs24\lang2057\langfe1033\langnp2057\insrsid9397889  }{\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 That the transaction was transparent.}{\fs24\lang2057\langfe1033\langnp2057\insrsid9397889  }{
\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 That the offer was made by the bank and accepted by the company and the defendants at the point of receipt of the funds.}{\fs24\lang2057\langfe1033\langnp2057\insrsid9397889  }{
\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 At that point clearly the company and the defendants had knowledge of the bank\rquote s terms and conditions.}{\fs24\lang2057\langfe1033\langnp2057\insrsid9397889  }{
\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 By accepting the advance they accepted the bank\rquote s offer and the loan contract was formed. 
\par }\pard \ql \li0\ri0\widctlpar{\*\pn \pnlvlcont\ilvl0\ls0\pnrnot0\pndec }\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid9397889 {\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 
\par {\pntext\pard\plain\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 \hich\af0\dbch\af0\loch\f0 2.\tab}}\pard \ql \fi-720\li1440\ri0\widctlpar{\*\pn \pnlvlbody\ilvl0\ls1\pnrnot0\pndec\pnstart1\pnindent360\pnsp120\pnhang {\pntxta .}}
\aspalpha\aspnum\faauto\ls1\adjustright\rin0\lin1440\itap0\pararsid9397889 {\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 In any event any defect is cured by the subsequent advances that were made and p
roperly acknowledged by the company and the defendants.}{\fs24\lang2057\langfe1033\langnp2057\insrsid9397889 
\par }\pard \ql \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid9397889 {\fs24\lang2057\langfe1033\langnp2057\insrsid9397889 
\par }{\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 Accordingly, I find that mortgage 335589 is quite valid and an enforceable security instrument.
\par 
\par In the alternative the defendants argue that they have a right to question the guarantee.
\par 
\par It is claimed that the bank cannot look to the guarantors until it has exhausted its remedies against the company.}{\fs24\lang2057\langfe1033\langnp2057\insrsid9397889  }{\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 
I reject that view.}{\fs24\lang2057\langfe1033\langnp2057\insrsid9397889  }{\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 The terms of the guarantee endorsed on the mortgage make it quite clear that it is an \'93on demand\'94
 facility.}{\fs24\lang2057\langfe1033\langnp2057\insrsid9397889  }{\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 When demand for the paym
ent is made by the bank, a guarantor must comply or in default loose his property to mortgagee sale.
\par 
\par Secondly, the defendants re-argue that mortgage 335389 is null and void and therefore there is no debt to be guaranteed.}{\fs24\lang2057\langfe1033\langnp2057\insrsid9397889  }{\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 
For the reasons earlier expressed I reject that argument.}{\fs24\lang2057\langfe1033\langnp2057\insrsid9397889  }{\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 
In particular the defendants subsequently executed quite clear and distinct loan documents when the company and their private lending affairs were restructured in 1994 and 1996.
\par 
\par Finally, the defendants argue that as the guarantee is not for a specific sum there is some uncertainty about the amount of money owing and therefore the guarantee should not be executed against them until that sum is certain.}{
\fs24\lang2057\langfe1033\langnp2057\insrsid9397889  }{\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 I reject that argument.}{\fs24\lang2057\langfe1033\langnp2057\insrsid9397889  }{
\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 The plaintiff bank crystallized its debt at the point of demand and the decision to pursue mortgagee sale proceedings.}{\fs24\lang2057\langfe1033\langnp2057\insrsid9397889  }{
\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 In any event the defendants have signed an \'93all indebtedness\'94 bank guarantee.}{\fs24\lang2057\langfe1033\langnp2057\insrsid9397889  }{
\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 They are therefore liable to pay the total sum of principal and interest outstanding at the point demand is made.}{\fs24\lang2057\langfe1033\langnp2057\insrsid9397889  }{
\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 As such the case referred to by the defendants of }{\b\i\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 ANZ Banking Group Limited v Frost Holdings Pty Limited}{
\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889  [1989] VR 695 is quite distinguishable from the instant facts.
\par 
\par I have provided the parties with a measured response on the issue of facts as to sustain the interim injunction against the plaintiffs application the defendants must at a minimum establish a good arguable case.}{
\fs24\lang2057\langfe1033\langnp2057\insrsid9397889  }{\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 It will be clear from my findings that the defendant does not even come close to meeting the threshold for that standard.}{
\fs24\lang2057\langfe1033\langnp2057\insrsid9397889  }{\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 
\par 
\par This is a simple case of a customer obtaining advances for himself and his company secured by mortgage and guarantee and then falling into default.}{\fs24\lang2057\langfe1033\langnp2057\insrsid9397889  }{
\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 
\par 
\par I accept the submissions of counsel for the plaintiff that the defendants have not and cannot service their loans. They have made no repayments for many years.}{\fs24\lang2057\langfe1033\langnp2057\insrsid9397889  }{
\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 They have had the enjoyment of this property without meeting their obligations to the bank.
\par 
\par }{\b\fs24\ul\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 Decision
\par }{\fs24\lang2057\langfe1033\langnp2057\insrsid9397889 
\par }{\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 For the reasons expressed in my factual findings I find there is no serious question to be tried.}{\fs24\lang2057\langfe1033\langnp2057\insrsid9397889  }{
\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 There is little merit in the defendants case. I find that the issues raised by the defendants have no substance in fact or in law.
\par 
\par It follows that the balance of convenience (on a Cyanamid basis) falls to the bank.}{\fs24\lang2057\langfe1033\langnp2057\insrsid9397889  }{\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 
The continuation of the injunction in my view would amount to an ongoing breach of the loan contract.}{\fs24\lang2057\langfe1033\langnp2057\insrsid9397889  }{\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 
If the bank cannot realize the securities it will be exposed to an increasing risk of losing more money }{\b\i\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 (cf. Rauzia Mohammed v ANZ Bank [1984] 13 FLR 136 at 141}{
\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889  and }{\b\i\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 Vivrass Devt Ltd and Laucala Beach Hold
ings Limited v The FNPF and Ragg & Associates International Limited, Suva HCCA No.}{\b\i\fs24\lang2057\langfe1033\langnp2057\insrsid9397889  }{\b\i\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 277 at 2001)}{
\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 .
\par 
\par Further in my view damages are an inadequate remedy as it is clear the defendant is struggling financially to such an extent that even if they were to give an
 undertaking they could not meet any award of damages and thereby not provide any adequate sum to meet further losses sustained by the bank.
\par 
\par Finally, I note that the issue of the defendants payment of the demanded sum into court has not been addressed.}{\fs24\lang2057\langfe1033\langnp2057\insrsid9397889  }{\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 Th
e basis upon which the original injunction was granted by consent was that the defendants raised with the bank the need for an exact calculation of the debt that was owing.}{\fs24\lang2057\langfe1033\langnp2057\insrsid9397889  }{
\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 I perceive that the injunction was granted to allow a short time within which the bank might respond.
\par 
\par The injunction was certainly never meant in my view to linger on for two years and have the effect of denying the bank access to its security to meet the debt.}{\fs24\lang2057\langfe1033\langnp2057\insrsid9397889  }{
\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 The standard principles on the restraint of mortgagee sales would apply.}{\fs24\lang2057\langfe1033\langnp2057\insrsid9397889  }{
\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 Acc
ordingly even if I were to deny the plaintiffs application for dissolution I would in all likelihood vary the injunction and require the defendants to pay the full amount of some $600,000.00 owing into court pending a resolution of the substantive claim.}
{\fs24\lang2057\langfe1033\langnp2057\insrsid9397889  }{\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 The position is succinctly expressed by my brother Justice Gates in}{
\b\i\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889  Terence Buckley & Others v Bruce Geoffrey Sutton & Others}{\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 , Lautoka High Court Civil A}{
\fs24\lang2057\langfe1033\langnp2057\insrsid9397889 ction No. HBC0}{\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 350 of 2001:
\par 
\par }\pard\plain \s17\ql \li720\ri720\widctlpar\aspalpha\aspnum\faauto\adjustright\rin720\lin720\itap0\pararsid9397889 \i\f37\fs24\lang1033\langfe1033\cgrid\langnp1033\langfenp1033 {\f0\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 \'93\'85
\'85The Courts will not normally interfere with a mortgagee\rquote s power of sale.}{\f0\lang2057\langfe1033\langnp2057\insrsid9397889  }{\f0\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 
If they do they will do so only in exceptional cases and will usually demand payment of all outstanding monies owed into Court\'85
.the requirement to pay outstanding, albeit disputed, sums owed into Court before an injunction will be granted, save in cases of
 mala fides or breach of duty of care, is so well entrenched as settled law, that it must be accepted until it is re-examined by an appellate Court.\'94
\par }\pard\plain \ql \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid9397889 \fs20\lang1033\langfe1033\cgrid\langnp1033\langfenp1033 {\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 
\par I record that no undertaking of damages has been filed.}{\fs24\lang2057\langfe1033\langnp2057\insrsid9397889  }{\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 I am of the view that even if I were to vary this
 injunction and demand payment into Court of some $600,000.00 the defendants would be unable to meet that condition.
\par 
\par }{\b\fs24\ul\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 Conclusion
\par }{\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 
\par Accordingly, I grant the plaintiffs application in terms of the summons that:
\par 
\par {\pntext\pard\plain\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 \hich\af0\dbch\af0\loch\f0 1.\tab}}\pard \ql \fi-720\li1440\ri0\widctlpar{\*\pn \pnlvlbody\ilvl0\ls2\pnrnot0\pndec\pnstart1\pnindent360\pnsp120\pnhang {\pntxta .}}
\aspalpha\aspnum\faauto\ls2\adjustright\rin0\lin1440\itap0\pararsid9397889 {\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 The temporary injunction made by order of this honourable Court on the 1}{
\fs24\lang2057\langfe1033\super\langnp2057\insrsid4603001\charrsid9397889 st}{\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889  of November, 2002 and sealed on the 6}{
\fs24\lang2057\langfe1033\super\langnp2057\insrsid4603001\charrsid9397889 th}{\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 
 of December, 2002 whereby the defendants restrained the plaintiff from selling or proceeding with the process of selling the property described as Lease No. 248965, Lot 1, S01345 situated 
at Vuda Point Road, off the Queens Road between Lautoka and Nadi is hereby dissolved.
\par }\pard \ql \li0\ri0\widctlpar{\*\pn \pnlvlcont\ilvl0\ls0\pnrnot0\pndec }\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid9397889 {\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 
\par {\pntext\pard\plain\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 \hich\af0\dbch\af0\loch\f0 2.\tab}}\pard \ql \fi-720\li1440\ri0\widctlpar{\*\pn \pnlvlbody\ilvl0\ls2\pnrnot0\pndec\pnstart1\pnindent360\pnsp120\pnhang {\pntxta .}}
\aspalpha\aspnum\faauto\ls2\adjustright\rin0\lin1440\itap0\pararsid9397889 {\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 
Further the same order seeking to restrain the plaintiff from proceeding with the process of mortgagee sale in relation to the said property until final determination of the action is hereby dissolved.
\par }\pard \ql \li0\ri0\widctlpar{\*\pn \pnlvlcont\ilvl0\ls0\pnrnot0\pndec }\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid9397889 {\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 
\par {\pntext\pard\plain\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 \hich\af0\dbch\af0\loch\f0 3.\tab}}\pard \ql \fi-720\li1440\ri0\widctlpar{\*\pn \pnlvlbody\ilvl0\ls2\pnrnot0\pndec\pnstart1\pnindent360\pnsp120\pnhang {\pntxta .}}
\aspalpha\aspnum\faauto\ls2\adjustright\rin0\lin1440\itap0\pararsid9397889 {\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 
Costs on the summons are fixed at $1,000.00 to be paid by the defendants to the plaintiff within 14 days of the date of this judgment in default interest on the costs to be calculated at 11% per annum on a per diem basis.}{
\fs24\lang2057\langfe1033\langnp2057\insrsid9397889 
\par }\pard \ql \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid9397889 {\fs24\lang2057\langfe1033\langnp2057\insrsid9397889 
\par }\pard \qc \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid9397889 {\b\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 Gerard Winter
\par }{\b\fs24\ul\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 JUDGE
\par }\pard \ql \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid9397889 {\fs24\lang2057\langfe1033\langnp2057\insrsid4603001\charrsid9397889 
\par At Suva
\par 22nd October, 2004
\par }}