Macedonian Orthodox Community Church St Petka Inc v Petar the Diocesan Bishop, Macedonian Orthodox Diocese of Australia

The Macedonian Orthodox Community Church St Petka Inc (the Church) and Petar, the Diocesan Bishop of the Macedonian Orthodox Diocese of Australia (the Bishop), were parties to litigation concerning the ownership and control of church property. The dispute arose from a schism within the Macedonian Orthodox Church, leading to competing claims over the Church's assets. The matter was heard by the High Court of Australia.

The High Court was required to determine whether the Bishop, acting on behalf of the Macedonian Orthodox Church, had the authority to unilaterally alter the constitution of the Church, thereby affecting the property rights of its members. Specifically, the court had to consider the legal implications of the Bishop's actions in relation to the Church's incorporation and its property, particularly in light of the schism and the establishment of a new ecclesiastical authority.

The Court applied the principles of trust law and the law relating to unincorporated associations and incorporated bodies. It held that the Bishop's purported alteration of the Church's constitution was ineffective. The Court reasoned that the Bishop's actions, undertaken without the consent of the members of the Church and in contravention of its existing rules, could not divest the Church of its property. The Court affirmed that where property is held by an incorporated body for the benefit of its members, changes to the governing rules that affect beneficial interests require adherence to the established procedures for amendment, and unilateral action by a bishop, even in ecclesiastical matters, does not override these legal requirements.

The High Court dismissed the appeal, upholding the decision of the lower court.