Jong and Yeng and Ors

This case involved an application by two corporations, W Holdings Pty Ltd and K Enterprises Pty Ltd, for the summary dismissal of claims made against them by Mr Yeng (the husband) within substantive matrimonial property proceedings between him and Ms Jong (the wife). The husband sought equitable relief against these third-party corporations, alleging breaches of an agreement concerning the development and sale of properties, and claiming that the corporations held certain assets on trust for a company jointly owned by the husband and wife, B Pty Ltd. The husband contended that his claims fell within the accrued jurisdiction of the Family Court, as their determination was necessary to ascertain the pool of available property for the family law proceedings.

The primary legal issue before the Court was whether the husband's claims against the third-party corporations, W Holdings Pty Ltd and K Enterprises Pty Ltd, could be entertained by the Family Court under its accrued jurisdiction, or if they should be summarily dismissed. A related issue was the status of B Pty Ltd, a company jointly owned by the husband and wife, which had been deregistered. The husband's claims were essentially that W Holdings Pty Ltd and K Enterprises Pty Ltd held property on trust for B Pty Ltd, and that the husband, as a shareholder of B Pty Ltd, was entitled to a share of these profits and assets.

The Court found that the husband's application must fail because the relief sought, if any, would have to be pursued by the corporation B Pty Ltd, not by the husband personally. Although B Pty Ltd had been joined as a party to the proceedings, it had not participated in the litigation or made any applications. The Court reasoned that while B Pty Ltd's potential claims against the other corporations might be relevant to the value of B Pty Ltd as an asset of the marriage, this was not a sufficient basis to attract the accrued jurisdiction. The Court concluded that the husband's claims against the respondents represented by Mr Campton could not succeed in these circumstances.

Consequently, the Court ordered the summary dismissal of the husband's claims against W Holdings Pty Ltd and K Enterprises Pty Ltd. The costs of W Holdings Pty Ltd, K Enterprises Pty Ltd, and Mr H Jong were reserved.