Fokas v Mansfield

In *Fokas v Mansfield*, the applicant sought an interim injunction to restrain the trustee in bankruptcy from exercising powers and functions concerning real estate, following an order for possession of that property. The dispute concerned the validity of the sequestration order and the subsequent possession order. The matter came before the Court of Appeal of the Supreme Court of New South Wales.

The primary legal issues before the Court were whether the sequestration order had been validly made, whether the order for possession of the property was validly made, and whether the trustee in bankruptcy could be restrained from exercising their powers and functions. The applicant also raised the question of whether the matter constituted a "special federal matter."

White JA found that the applicant had not disclosed an arguable case and had no reasonable prospects of success. The Court determined that the sequestration order was validly made and that the trustee was entitled to exercise the powers conferred by the Bankruptcy Act 1966 (Cth). Consequently, the Court dismissed the applicant's notice of motion.

The Court ordered that the applicant's notice of motion filed on 22 August 2017 be dismissed and that the applicant pay the first and second respondents’ costs of the notice of motion. No order was made as to costs in respect of the third respondent.