Eastgate and Cardiff & Anor

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FAMILY COURT OF AUSTRALIA

EASTGATE & CARDIFF AND ANOR [2020] FamCA 387

FAMILY LAW – PROPERTY – FORUM – Where the parties are New Zealand citizens – Where the parties resided in Australia for 15 of their 20 years together – Where the wife established a discretionary Trust in New Zealand at or just prior to the commencement of the relationship – Where the Trust acquired property in New Zealand and Australia during the marriage – Where the wife is the one of two Trustees, but sole appointor and primary beneficiary of the Trust – Where that Trust is the owner of real property both in New Zealand and Australia – Where the parties are the joint owners of real property in Australia – Where the husband filed an Initiating Application seeking orders pursuant to Pt VIII and Pt VIIIAA of the Family Law Act 1975 (Cth) – Where the husband seeks to bring to account the property held by the Trust in proceedings pursuant to s 79 of the Family Law Act 1975 (Cth) – Where the Trustees filed an application in the New Zealand Family Court seeking a declaration that neither the husband nor the wife have a personal interest in the Trust property – Where the wife and the Trustees seek a stay of the Australian proceedings to allow that application to be determined by a court in New Zealand.

FAMILY LAW – PROPERTY – FORUM – JURISDICTION – Where, pursuant to s 19(1)(a) of the Trans-Tasman Proceedings Act 2010 (Cth), the Court must be satisfied that the New Zealand court has jurisdiction to deal with the matters in issue – Consideration of s 7 of the Property (Relationships) Act 1976 (NZ) – Where s 7 of the Property (Relationships) Act 1976 (NZ) does not confer jurisdiction on a New Zealand court over “foreign immovable property” or “movable property” where the parties are not domiciled in New Zealand – Consideration of Samarawickrema v Samarawickrema [1994] NZFLR 913 – Where neither the wife nor the Trustees could cite authority for their submission that this Court could stay part of these proceedings to permit the New Zealand application to be decided – Where s 19 of the Trans-Tasman Proceedings Act 2010 (Cth) is to be read in the context of the entire Act and is not unclear, ambiguous or lacking clarity – Where the Court is not satisfied that a New Zealand court would have jurisdiction to deal with the matters in issue – Application dismissed.

FAMILY LAW – PROPERTY – DECLARATION OF APPLICABLE LAW – Where the wife and the Trustees sought, in the alternative, that this Court make a finding as to the applicable law to govern the Trust – Where no authority was cited to support the proposition that a judge hearing this application at an interlocutory stage has jurisdiction, or power, to make an order binding upon a trial judge who ultimately hears and determines this proceeding at a trial – Application of Pagliotti &…

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Details
Case
[2020] FamCA 387
Decision Date

CaseChat Overview and Summary

The case of *Eastgate and Cardiff & Anor* involved a husband who filed an application under the *Family Law Act 1975* (Cth) seeking to include property held by a New Zealand discretionary trust in property settlement proceedings. The wife and the trustees of this trust, who were also New Zealand citizens, sought a stay of the Australian proceedings to allow a New Zealand court to determine their application for a declaration that neither party had a personal interest in the trust property. The parties had resided in Australia for 15 of their 20 years together, and the trust, established by the wife, held property in both New Zealand and Australia.

The primary legal issue before the court was whether it should grant a stay of the Australian proceedings to permit a New Zealand court to determine the matter, pursuant to section 19 of the *Trans-Tasman Proceedings Act 2010* (Cth). This required the court to be satisfied that the New Zealand court had jurisdiction to deal with the matters in issue. A secondary issue arose in the alternative, where the wife and trustees sought a declaration from the Australian court regarding the applicable law to govern the trust.

The court dismissed the application for a stay, finding that it was not satisfied that a New Zealand court would have jurisdiction to deal with the matters in issue, particularly in light of section 7 of the *Property (Relationships) Act 1976* (NZ), which does not confer jurisdiction over "foreign immovable property" or certain "movable property" when parties are not domiciled in New Zealand. The court also noted the lack of authority supporting the submission that it could stay part of the proceedings to allow a New Zealand application to be decided. Furthermore, the court dismissed the alternative claim for a declaration as to the applicable law, finding no authority for an interlocutory judge to make such a binding order and no evidence before the court regarding the effect of applying New Zealand law to the trust.

Consequently, the applications for a stay and for alternative orders were dismissed. The court also made orders regarding the filing and service of any applications for costs.

Orders

Orders of the court

1.

Pursuant to s 17(1)(2)(b) of the Trans-Tasman Proceedings Act 2010 (Cth) the time for filing an application for an order staying these proceedings is extended to the respective dates upon which each of the First Respondent and the Second Respondent filed their Response to the Applicant’s Initiating Application.

2.

That the applications for an order staying these proceedings made by each of the First Respondent and the Second Respondent be dismissed.

3.

That the applications of each of the First Respondent and the Second Respondent for orders in the alternative to an order staying these proceedings be dismissed.

4.

Any party seeking an order for costs is to file and serve within twenty-one (21) days of these Orders:

(a) An Application in a Case;

(b) An affidavit identifying the amount claimed for costs and an itemisation of the calculation of that amount;

(c) Written submissions of no more than ten (10) pages in support of the application.

5.

Any party who elects to respond to an application for costs made against that party shall, within twenty-one (21) days of service upon that party of the documents identified in Order (4), file and serve:

(a) A Response to the Application in a Case;

(b) Any affidavit sought to be relied upon;

(c) Written submissions of no more than ten (10) pages.

6.

Any party served with the documents identified in Order (5) may file and serve, within fourteen (14) days of service of the documents identified, written submissions in reply of no more than five (5) pages.

7.

Any application for costs made will be listed for hearing on a date to be fixed.

Note: The form of the order is subject to the entry of the order in the Court’s records.

Background

Background to the litigation

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Evidence

Evidence Before The Court

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Decision

Reasons for decision

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Ratio Decidendi

Legal Principle Established

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