Cardaci v Cardaci

In the Supreme Court of Western Australia, Mae Cardaci sought directions under section 92 of the Trustees Act 1962 (WA) for her to use trust assets to pay her legal costs and enter into litigation funding and retainer agreements. The defendants opposed the application. Allanson J held that, while Ms Cardaci was justified in using trust assets to investigate claims against former trustees, she was not entitled to the other directions sought. Allanson J held that, while Ms Cardaci was justified in using trust assets to investigate claims against former trustees, she was not entitled to the other directions sought. The court was not satisfied that Ms Cardaci had taken proper legal or other advice and given full consideration to the implications of the agreements for the trusts, and for her obligations as trustee. Allanson J held that Ms Cardaci was entitled to have the costs of the application paid out of the trust assets.