McLean v Attorney General of New South Wales

In McLean v Attorney General of New South Wales, the dispute centred on the interpretation of a bequest within a charitable trust. The case came before the Supreme Court of New South Wales, where the central issue was how closely the court should adhere to the testator's expressed intentions when administering a charitable trust. The plaintiff argued that the court should strictly follow the terms of the will, while the defendant contended that the court has the discretion to modify the bequest to better serve the charitable purpose.

The court was required to determine the permissible extent of departure from the testator's expressed intention when administering a charitable trust. The key legal issue was whether the court has the authority to implement a cy près scheme that significantly diverges from the testator's specific wishes. This involved weighing the principle of adhering to the testator's intent against the broader charitable purpose intended by the trust.

The court held that while the testator's intention is paramount, the court has the authority to implement a cy près scheme that deviates from the specific terms of the bequest if it better serves the charitable purpose. The court found that the cy près doctrine allows for a reasonable departure from the testator's expressed intention, provided that the essence of the charitable purpose is preserved. This decision affirmed the court's discretion in modifying bequests to ensure that the charitable objectives are effectively achieved.