In the matter of the Daquino Family Trust

Case

[2009] NSWSC 846

30 July 2009


Details
AGLC Case Decision Date
In the matter of the Daquino Family Trust [2009] NSWSC 846 [2009] NSWSC 846 30 July 2009

CaseChat Overview and Summary

The applicant, as trustee for the Daquino Family Trust, sought judicial advice from the court to determine whether it would be justified in defending proceedings against it. The primary dispute arose from an amended Statement of Claim filed by the plaintiff in the substantive proceeding. The court was tasked with deciding whether the trustee's draft defence and the advice from counsel on the prospects of success were sufficient to warrant the defence of the proceedings. Additionally, the plaintiff sought an order for discovery of all documentation provided to the Court in support of the application for judicial advice.

The court examined the draft defence provided by the trustee and the counsel's opinion on the likelihood of success. It also considered the principle that granting judicial advice should not be contingent upon an order for discovery of the materials submitted in support of the application. The court held that the trustee would be justified in proceeding with the defence of the substantive proceedings based on the defences outlined in the draft defence, and on any further advice received up until the setting down of the substantive proceedings for hearing.

The court's reasoning was based on the fact that the trustee had provided a draft defence and obtained professional advice on the prospects of success. The court found that it was not appropriate to impose a condition of discovery of the supporting materials as a prerequisite for granting judicial advice. The court concluded that the trustee was justified in defending the proceedings in relation to the defences raised and on any additional basis it might be advised up to the time of the substantive hearing.

The court ordered that the applicant, as trustee for the Daquino Family Trust, would be justified in doing all things necessary or reasonably incidental to conduct the defence of the proceedings in relation to all defences raised by it in the draft defence and on such other basis as it may be advised from time to time up to and including the setting down of the substantive proceedings for hearing. No order for discovery of the materials submitted in support of the application was made.
Details

Areas of Law

  • Trusts & Equity

Legal Concepts

  • Fiduciary Duty

  • Trustee Duties

  • Judicial Review

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