Garcia v National Australia Bank Ltd

[1998] HCA 48
Judgment date
Case number
S18/1997
Before
Gaudron, McHugh, Gummow, Kirby, Hayne, Callinan JJ
Catchwords

Equity – Wife guaranteed debts of husband's company as a volunteer – Wife did not fully understand effect of guarantees – Whether guarantees liable to be set aside – Bank did not explain document to wife – Bank not on notice of unconscionable dealing between husband and wife – Principle in Yerkey v Jones explained.

Precedent – Binding effect of previous decisions of High Court – Ascertainment of binding rule.

Yerkey v Jones (1939) 63 CLR 649, explained and followed.

Barclays Bank Plc v O'Brien [1994] 1 AC 180, not followed.