Bass - Conca- Woodlands v Permanent Trustee Co

Bass - Conca-Woodlands v Permanent Trustee Co concerned a dispute between the appellant, Bass - Conca-Woodlands, and the respondent, Permanent Trustee Co, regarding the interpretation of a will. The case was heard in the High Court of Australia.

The central legal issue before the High Court was whether the testator's intention, as expressed in the will, was to create a discretionary trust or a fixed trust in favour of the beneficiaries. This involved determining the proper construction of the relevant clauses in the will and the nature of the power conferred upon the trustee.

The High Court, in its joint judgment, reasoned that the language used in the will, particularly the phrase "in their absolute discretion," indicated that the trustee was intended to have a wide discretion in distributing the trust property. The Court applied principles of will construction, emphasizing that the testator's intention must be ascertained from the words used in the will itself. They concluded that the trust was discretionary, meaning the beneficiaries had no fixed entitlement to the trust property but rather a hope or expectation that the trustee would exercise their discretion in their favour.

The High Court allowed the appeal, finding that the primary judge had erred in construing the trust as a fixed trust. The Court remitted the matter to the Supreme Court of New South Wales for further orders consistent with the High Court's judgment.