Despot v Registrar General of New South Wales and Ors Sky v Despot

The plaintiffs, Despot and Sky, sought relief in the Supreme Court of New South Wales against the Registrar General of New South Wales and others, contesting the purported sale of Despot's property based on a power of attorney and a deed of security and indemnity. They alleged that these transactions were fraudulent and sought declarations to set them aside. Additionally, they claimed breaches of fiduciary duty, violations of s 12 of the Powers of Attorney Act 2003, negligence, misleading and deceptive conduct, and breaches of s 74O of the Real Property Act 1900. The defendants, on the other hand, argued that the sale was valid and that the plaintiffs' claims were without merit.

The court was tasked with determining whether the sale of Despot's property was indeed fraudulent and should be invalidated. It also needed to examine whether there were breaches of fiduciary duty, violations of statutory provisions, and whether the defendants were negligent or engaged in misleading and deceptive conduct. Furthermore, the court had to assess whether the defendants were entitled to recover the amount owed under a purported building contract by selling the property and whether the plaintiffs' claims for a quantum meruit for building work performed were valid.

The Supreme Court found that the plaintiffs failed to prove their allegations of fraud, breach of fiduciary duty, and statutory violations. The court determined that the sale of the property was valid and that the defendants were entitled to recover the amount owed under the building contract by selling the property. It also held that the defendants were not negligent or engaged in misleading and deceptive conduct. Consequently, the plaintiffs' claims were dismissed.

The court ordered that the plaintiffs pay the defendants' costs of the proceeding. The court also ordered that the Registrar General record the sale of the property as valid and enforceable, and that the defendants be entitled to recover the amount owing under the building contract through the sale.