| IN THE SUPREME COURT OF VICTORIA | Not Restricted | |
AT MELBOURNE
COMMERCIAL AND EQUITY DIVISION
No. 5856 of 2009
| BRENDAN JOHN MARCHESI as trustee of the property of Andrew Vasiliou, a bankrupt | Plaintiff |
| v | |
| ANDREW VASILIOU in his own right and as trustee of the Vasiliou Family Trust & Ors | Defendants |
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JUDGE: | HANSEN J | |
WHERE HELD: | Melbourne | |
DATE OF HEARING: | 22 April 2009 | |
DATE OF JUDGMENT: | 5 June 2009 | |
CASE MAY BE CITED AS: | Marchesi v Vasiliou | |
MEDIUM NEUTRAL CITATION: | [2009] VSC 213 | |
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REAL PROPERTY – Caveat – Removal.
INJUNCTION – To restrain lodging of further caveats – To restrain Registrar of Titles from accepting further caveats.
COSTS – High-handed conduct in lodging caveat – Misuse of caveat procedure – Indemnity costs.
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APPEARANCES: | Counsel | Solicitors |
| For the Plaintiff | Mr M J Galvin | Piper Alderman |
| The First Defendant in person and, by leave, for the Third Defendant | ||
| No appearance by or on behalf of the Second or Fourth Defendants |
HIS HONOUR:
In this proceeding the plaintiff seeks orders for the removal of a caveat and other related relief.
The plaintiff is Brendan John Marchesi who is, and sues as, the trustee in bankruptcy of the first defendant. The first defendant is Andrew Vasiliou who is sued in his own right and as trustee of the Vasiliou Family Trust, the second defendant is his wife Vasiliki Apostolou, the third defendant is Optquest Pty Ltd (“Optquest”) which is sued in its own capacity and as trustee of the Vasiliou Family Trust, and the fourth defendant is the Registrar of Titles.
At the hearing the plaintiff appeared by counsel, the first defendant appeared in person and by leave for the third defendant, the second defendant did not appear and the Registrar of Titles, in accordance with a letter to the Prothonotary, did not appear.
The caveat
The subject caveat, no. AG265788X, was dated 24 December 2008 and lodged on that day on behalf of the third defendant. It claimed an estate in fee simple in the land described in:
(a)certificate of title volume 9012 folios 077, 083 and 092. These titles comprise unit 5, 3 Alfriston Street, Elwood being a residential unit and an associated car park and accessory unit (“Alfriston”),
(b)certificates of title volume 4509 folio 646 and volume 10088 folio 011. This is a commercial property at 18 St Kilda Road, Melbourne (“St Kilda”),
(c)certificate of title volume 1173 folio 541. Residential apartments are erected on this property at 10 Claremont Street, South Yarra (“Claremont”)
on the following ground, namely:
“Pursuant to a Sale Contract dated the 25th March 1989 between Andrew Vasiliou also known as Andreas Vasiliou and Optquest Pty Ltd ACN 006 828 664” but “Subject to Mortgage AB712284 to HSBC Bank of Australia Limited”. The caveat was “executed by Optquest Pty Ltd … by Ms Panagiota Vasiliou … Sole Director/Secretary of 34 Sandra Street, Bulleen, Vic, 3105 A Person Authorised to SIGN for the Company”.
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- AGLC
- Marchesi v Vasiliou [2009] VSC 213
- Case
- [2009] VSC 213
- Decision Date
CaseChat Overview and Summary
The legal issues before the court included the validity of the caveat lodged by Vasiliou and whether it was lodged in bad faith or as a misuse of the caveat procedure. The court had to consider if the caveat was properly supported by a sufficient interest in the property and if Vasiliou's actions were high-handed. Another issue was whether an injunction should be granted to restrain Vasiliou from lodging further caveats and to prevent the Registrar of Titles from accepting them.
The court found that Vasiliou had misused the caveat procedure and had acted in a high-handed manner. The caveat was not properly supported by a sufficient interest in the property, and Vasiliou's actions were deemed to be a misuse of the legal process. The court granted an injunction to restrain Vasiliou from lodging further caveats and to prevent the Registrar of Titles from accepting them. Additionally, the court awarded indemnity costs against Vasiliou due to the misuse of the caveat procedure.
As a result of the court's decision, Vasiliou was restrained from lodging further caveats on the property, and the Registrar of Titles was directed to refuse any such caveats. Furthermore, Vasiliou was ordered to pay indemnity costs to Marchesi for the misuse of the caveat procedure. This decision underscores the importance of the proper use of the caveat process and the consequences of acting in bad faith.
Orders
Orders of the court
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Background
Background to the litigation
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Evidence
Evidence Before The Court
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Decision
Reasons for decision
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Ratio Decidendi
Legal Principle Established
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