Deppeler, in the matter of Old Port Road Pty Ltd (in liq)

The case of Deppeler, in the matter of Old Port Road Pty Ltd (in liq) involves the Liquidators seeking orders to facilitate the sale of an asset and the distribution of assets of Old Port Road Pty Ltd, a company in liquidation. The orders were sought under the Corporations Act 2001 (Cth) and the Trustee Act 1958 (Vic). The central legal issues were whether the Liquidators could deal with trust assets and be paid their remuneration and expenses from trust assets. The Liquidators argued that since the company's sole purpose was to act as a trustee and it had no assets outside of its role as trustee, it was appropriate for the Liquidators' costs and expenses to be paid from trust assets.

The Court considered the relevant legal principles and precedents and concluded that the Liquidators were justified and acting reasonably in seeking the orders. The Court found that the Liquidators could deal with the trust assets and that their remuneration and expenses could be paid from trust assets. The Court made orders largely in the form sought by the Liquidators, granting them the power to deal with the trust assets and to be paid their remuneration and expenses from the trust assets. The Court also made orders allowing for the public to be excluded from the hearing due to COVID-19 restrictions and permitting the parties to appear and make submissions by video link or other appropriate means.

The final orders granted the Liquidators the power to carry on the business of the trust and to deal with, hold, apply and/or distribute the trust property in accordance with the Corporations Act. The Liquidators were also authorised to be paid their remuneration, costs and expenses properly incurred in the liquidation from the trust property. The orders also included provisions for liberty to apply to modify the directions and orders and for the Liquidators to serve a copy of the orders on each of the persons served with the originating process.