NEW STAR ENERGY LTD v LAM

This was an Appeal from the dismissal of an Application seeking to have a Consent Judgment declared a nullity. The Appellant argued that the Consent Judgment had no foundation in law because no Action was properly commenced and because it was signed on behalf of the Appellant by a non-lawyer. The Court held that the issue was narrow and that, for the purposes of the Appeal, the Consent Judgment had to be treated as reflecting an agreed resolution of a dispute between the parties. The Court rejected reliance on older authorities treating procedural defects as creating nullities, confirming that this approach no longer reflects the law.

The Court held that procedural irregularities in the commencement of proceedings do not render a judgment a nullity and may be cured where no irremediable prejudice arises, citing Rules 1.5(4) and 3.2(6). There was no evidence of prejudice flowing from the manner in which the Consent Judgment was filed. The Consent Judgment remained effective unless and until set aside.