Baker v Towle

The case of *Baker v Towle* concerned an appeal from orders made in the Equity Division of the Supreme Court of New South Wales. The dispute involved the adjustment of interests in property between parties to a de facto relationship, specifically concerning a property at Yippen Creek.

The legal issues before the Court of Appeal included the appropriate division of property under the *Property (Relationships) Act 1984* (NSW), particularly how initial contributions to the relationship should be treated. The court was also required to determine the incidence of costs, considering the principle that costs follow the event and the application of proportionate costs where neither party was wholly or substantially successful.

The Court of Appeal allowed the appeal in part, setting aside the original orders. The court ordered that upon the respondent paying $50,000 and providing a discharge of mortgage, the appellant would transfer his interest in the Yippen Creek property. Alternatively, if payment and discharge were not made within 90 days, the property was to be sold, with proceeds divided 11% to the appellant and the balance to the respondent. The appellant was also to ensure the respondent's release from a bank guarantee. Regarding costs, the appellant was ordered to pay two-thirds of the respondent's trial costs, and the respondent was ordered to pay 25% of the appellant's appeal costs, with the respondent granted a suitor's fund certificate for the appeal.