Hong & Cao

In the matter of *Hong & Cao*, Hogan J of the Family Court of Australia considered an application by the husband, Mr Hong, for a stay of property settlement proceedings initiated by the wife, Ms Cao, in Australia. The parties, both Australian citizens, had significant connections to both Australia and Taiwan, with the majority of their substantial assets located in Taiwan. The husband had also obtained a divorce order in Australia, which he sought to register in Taiwan, a move that was opposed by the wife.

The court was required to determine two primary legal issues: firstly, whether Australia was a clearly inappropriate forum for the property settlement proceedings, thus warranting a stay of those proceedings; and secondly, whether an anti-suit injunction was necessary to protect the integrity of the Australian court's processes, specifically to restrain the wife from commencing or continuing proceedings in Taiwan.

Hogan J dismissed the husband's application for a stay, finding that Australia was not a clearly inappropriate forum. The court reasoned that the wife had initiated proceedings in Australia and the husband had participated without objection for a considerable period. Crucially, there were no equivalent property settlement proceedings on foot in Taiwan, despite the Taiwanese court having jurisdiction to hear such matters. However, the court granted an anti-suit injunction, albeit in a more restricted form than sought by the husband. This injunction restrained the wife from commencing specific types of legal proceedings in Taiwan related to the matrimonial property regime, separation of property, or financial support, thereby protecting the Australian court's jurisdiction over the property settlement.

The court ordered that the husband's application for a stay be dismissed. An injunction was issued restraining the wife from commencing certain proceedings in Taiwan. The question of costs arising from the husband's application was reserved for determination, with detailed directions provided for the filing of affidavits and submissions. Several other applications by the wife concerning financial statements and reinstatement as a statutory supervisor were adjourned, and an application by the husband to adduce evidence was dismissed.