Jordan v Goldspring (No 2)

The plaintiffs in Jordan v Goldspring (No 2) sought access to documents relating to various trusts created during the lifetime of their parents. The case involved a complex family trust structure, with the plaintiffs uncertain about their status as beneficiaries or discretionary objects, and whether they held an interest in the property subject to the trusts. The dispute arose in the Federal Court of Australia, where the plaintiffs sought to obtain certain documents from the defendants to clarify their entitlements.

The central legal issues before the court were whether the plaintiffs were entitled to access specific documents relating to the different trusts, and if so, on what basis should the costs of the application for disclosure be calculated and paid. The court had to determine the appropriate costs order, considering the indemnity principle and the involvement of multiple defendants, some of whom were trustees of the trusts in question.

In reaching its decision, the court found that the plaintiffs were indeed entitled to access some documents relating to the trusts. The court emphasised the importance of transparency in trust administration and the rights of beneficiaries to understand the trusts in which they might hold an interest. Regarding the costs, the court held that the costs of the application for disclosure should be calculated on the indemnity basis, meaning that the successful party should be reimbursed for the costs incurred in bringing the application. The court also ruled that at least the fifth and seventh defendants should bear the costs of the application, and that there should be no indemnity provided from the trust property.

The final orders of the court directed the fifth and seventh defendants to pay the costs of the application for disclosure of documents, calculated on the indemnity basis. The court's decision highlights the importance of transparency in trust administration and the rights of beneficiaries to seek information about trusts in which they may have an interest.