Goldwyn v Mazal

The High Court was asked to determine whether a bequest to a niece, intended to establish a trust in Israel for neurologically and communicatively impaired individuals, was valid under Australian law. The testator, in their will, left a sum to their niece with the specific instruction that the money be used to establish a trust in Israel, recognised by Israeli law, for the benefit of those with neurological and communicative impairments. The primary legal issue was whether the bequest could be enforced under Australian law, given that the intended purpose of the trust was to be performed in Israel.

The Court considered the nature of charitable trusts and whether the purpose of the trust needed to benefit the public in New South Wales. The Court held that the purpose was enforceable under Israeli law and, as such, there was no requirement for the purpose to benefit the public in New South Wales. The Court further reasoned that the executor of the will was entitled to rely on the niece's receipt of the funds, as the purpose was enforceable under Israeli law, and thus, the bequest was valid under Australian law.

The Court found that the executor was entitled to distribute the funds to the niece for the establishment of the trust in Israel, as the purpose was enforceable under Israeli law. The decision affirmed that a trust purpose does not need to benefit the public of New South Wales to be valid under Australian law, provided it is enforceable under the law of the country where it is to be performed.