FAMILY COURT OF AUSTRALIA
| ALLAN AND ORS & ALLAN AND ORS | [2014] FamCAFC 162 |
| FAMILY LAW – APPEAL – Where re-instatement of an abandoned appeal sought by the second applicant husband – In the absence of prejudice or injustice to the husband the application for re-instatement is dismissed – Husband to pay the party/party costs of the wife, the third respondent and the fourth respondents in respect of the failed application for re-instatement and the abandoned appeal. FAMILY LAW – APPEAL – Where third applicant seeks leave to appeal out of time – Where third applicant as new trustee of a trust is bound by the conduct of the previous trustee in reaching a compromise and consenting to court orders – Where an appeal against the orders by the trustee does not lie in a challenge to the merit of the orders – Where a point is not taken at first instance which could have been addressed by the other parties it cannot be taken afterwards on appeal – Where any breach of fiduciary duty alleged against the former trustee should be remedied by separate cause of action against the former trustee – An appeal by the third applicant on the grounds he contemplates would be futile – Application dismissed – Third applicant to pay the party/party costs of the wife, the third respondent and the fourth respondents in respect of the failed application for leave to appeal out of time. |
| Family Law Act 1975 (Cth): ss 94, 117 Trustee Act 1925 (NSW): s 9 Family Law Rules 2004 (Cth): rr 1.14, 22.13, 22.43 |
| Application of Richard Albarran; Harb v Harb [2010] NSWSC 1251 Bemert & Swallow (2010) FLC 93-441 Coulton v Holcombe (1986) 162 CLR 1 Davidson & Davidson (No 2) (1994) FLC 92-469 Dowling v St Vincent de Paul Society Inc [2003] VSC 454 Gallo v Dawson (1990) 93 ALR 479 Gilbert v Estate of Gilbert (1990) FLC 92-125 Harvey v Phillips (1956) 95 CLR 235 Haykal & Krawiec & Anor [2014] FamCAFC 110 In re Earl of Strafford, deceased; Royal Bank of Scotland Ltd v Byng [1980] 1 Ch 28 Jackamarra v Krakouer (1998) 195 CLR 516 Maitland v Nationwide News Pty Ltd [2004] NSWCA 155 Metwally v University of Wollongong (1985) 60 ALR 68 Panayotides & Panayotides (1997) FLC 92-733 Re Irismay Holdings Pty Ltd [1996] 1 Qd R 172 Rinehart v Welker [2012] NSWCA 95 Stollznow v Calvert [1980] 2 NSWLR 749 Suttor v Gundowda Pty Ltd (1950) 81 CLR 418 |
| 1ST APPLICANT: 2nd APPLICANT: 3rd APPLICANT: | Ms C Allan Mr Allan Mr CC |
| 1ST RESPONDENT: 2nd RESPONDENT: 3rd RESPONDENT: 4th RESPONDENTS: 5th RESPONDENT: | Mrs Allan Mr Senne as Trustee of the AM Trust Mr Senne Mr D & CP as Receivers and Managers of W Nominees No 2 Pty Ltd (Receivers and Managers appointed) (in liquidation) A Finance Ltd |
| FILE NUMBER: | SYC | 3842 | of | 2008 |
| APPEAL NUMBER: | EA | 61 | of | 2014 |
| DATE DELIVERED: | 2 September… |
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- Case
- [2014] FamCAFC 162
- Decision Date
CaseChat Overview and Summary
The court dismissed the application for reinstatement as there was no prejudice or injustice to Mr Allan. It also dismissed the application for leave to appeal out of time, finding that Mr CC was bound by the conduct of the previous trustee in reaching a compromise and consenting to the court orders. The court held that an appeal against the orders by the trustee did not lie in a challenge to the merit of the orders, and that any breach of fiduciary duty should be remedied by a separate cause of action against the former trustee.
The court further held that any point not taken at first instance which could have been addressed by the other parties could not be taken afterwards on appeal. As a result, the appeal by the third applicant on the grounds he contemplated would be futile. The application was dismissed, and Mr CC was ordered to pay the party/party costs of the first respondent, the third respondent, and the fourth respondents in respect of the failed application for leave to appeal out of time.
The court ordered that Mr Allan pay the party/party costs of the first respondent, the third respondent, and the fourth respondents in respect of the failed application for reinstatement and the abandoned appeal. The costs were to be paid in equal shares until satisfaction of their respective costs or exhaustion of the funds, with any remaining balance to be paid to Mr Allan.
Orders
Orders of the court
1. The Application in an Appeal filed on 1 July 2014 by the second applicant is dismissed.
2. Subject to Orders 3 and 4 hereof:
(a) The Response to an Application in an Appeal filed on 16 July 2014 by the fourth respondents is dismissed.
(b) The Response to an Application in an Appeal filed on 18 July 2014 by the first respondent is dismissed.
(c) The Further Amended Application in an Appeal filed on 25 July 2014 by the second and third respondents is dismissed.
3. The second applicant (Mr Allan) shall pay:
(a) the costs of the first respondent (Mrs Allan), the third respondent
(Mr Senne), and the fourth respondents (the Receivers and Managers of
W Nominees No.2 Pty Ltd (Receivers and Managers appoint.)(in liq.)) incidental to the determination of the Application in an Appeal filed on 1 July 2014 on a party/party basis in the sums agreed or assessed; and
(b) the costs of the first respondent, the third respondent and the fourth respondents incidental to the abandoned appeal (No.EA61/2014) on a party/party basis in the sums agreed or assessed; and
4. Upon agreement or assessment of the costs payable pursuant to Order 3 hereof, the second applicant shall forthwith do all such acts and things necessary to instruct and cause his solicitors to pay out of the funds they hold on trust pursuant to Order 2 made on 22 July 2014:
(a) First, the sum of costs due to the fourth respondents pursuant to Order 3(a) hereof;
(b) Secondly, the sums of costs due to the first and third respondents pursuant to Orders 3(a) and 3(b) hereof and to the fourth respondents pursuant to Order 3(b) hereof, in equal shares until satisfaction of their respective costs or exhaustion of the funds; and
(c) Thirdly, any remaining balance to the second applicant.
5. The Application in an Appeal filed on 25 July 2014 by the third applicant is dismissed.
6. Subject to Order 7 hereof:
(a) The Response to an Application in an Appeal filed on 29 July 2014 by the second and third respondents is dismissed.
(b) The Response to an Application in an Appeal filed on 29 July 2014 by the fourth respondents is dismissed.
7. The third applicant (Mr CC) shall pay the costs of the first respondent, the third respondent, and the fourth respondents incidental to the determination of the Application in an Appeal filed on 25 July 2014 on a party/party basis in the sums agreed or assessed.
Background
Background to the litigation
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Evidence
Evidence Before The Court
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Decision
Reasons for decision
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Ratio Decidendi
Legal Principle Established
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