Herriott Services Pty Ltd v Creevey

Herriott Services Pty Ltd, the applicant, initiated proceedings against Creevey, the respondent, in the Supreme Court of Queensland. The applicant sought rectification of the title to a property in the freehold land register, aiming to be restored as the registered owner. The respondent had relied on a deed of compromise, allegedly signed by the sole director and shareholder of the applicant, to execute a transfer of the property. It was claimed that the signatures on the deed were forged, and the transfer was registered as a result of the respondent's fraud.

The central legal issues in this case revolved around the principles of Torrens title and the exceptions to indefeasibility, specifically focusing on fraud or forgery. The applicant argued that the forged signatures on the deed of compromise constituted fraud, rendering the transfer invalid. The applicant contended that the fraud perpetrated by the respondent should be recognized as an exception to the indefeasibility of title. The respondent, on the other hand, maintained that the transfer should be upheld, despite the fraudulent signatures.

The court examined the evidence and found that the signatures on the deed of compromise were indeed forged. It was established that the respondent was aware of the fraud at the time of the transfer. The court held that fraud constitutes a significant exception to the indefeasibility of title under the Torrens system. Consequently, the court found that the transfer was invalid due to the respondent's fraud. The registrar of titles was directed to rectify the title in the freehold land register by restoring the applicant as the registered owner of the property.