Kelly and Lomax and Ors (No 2)

In *Kelly and Lomax and Ors (No 2)*, Hogan J of the Federal Circuit Court of Australia considered an application by Ms Kelly concerning the distribution of funds held in trust by KC Lawyers. The dispute arose in the context of ongoing family law proceedings between Ms Kelly and Mr Lomax, and involved the payment of specific sums to third-party entities.

The primary legal issue before the court was whether to grant Ms Kelly's application to vary or set aside aspects of a previous consent order made on 30 September 2016, specifically concerning the disbursement of funds held by her solicitors. The court was also required to determine the appropriate orders regarding the payment of these funds and the discharge of certain prior orders.

Hogan J dismissed Ms Kelly's application, finding no basis to interfere with the existing consent orders. The court reasoned that the parties had previously agreed to the terms of the consent order, and there was no evidence to suggest it was not a proper exercise of the court's jurisdiction or that it should be set aside. Consequently, the court made orders directing KC Lawyers to pay specific sums from Ms Kelly's portion of the trust funds to DD Pty Ltd, D Pty Ltd, and ACN...Pty Ltd, as directed by Ms Lomax and Mr Lomax respectively. Following these payments, certain prior clauses of the 30 September 2016 order were discharged, and the parties were granted liberty to direct their solicitors to pay them the remaining apportioned funds. All other applications for costs were dismissed.