Millman & Millman

Case [2021] FamCA 556


FAMILY COURT OF AUSTRALIA

Millman & Millman [2021] FamCA 556

File number(s): ADC 30 of 2020
Judgment of: BERMAN J
Date of judgment: 2 August 2021
Catchwords: FAMILY LAW – PROPERTY – Interim distribution – Where the wife seeks a lump sum payment on account of litigation funding – Where the husband seeks that the application be dismissed – Where an order for litigation funding has previously been made – Where the matter has been listed for final hearing – Where the wife has an arguable case – Where the wife has been unable to pay legal fees as and when they have been incurred – Where the husband has been able to pay his legal fees – Where the amount sought is not irreversible – Orders.   
Legislation: Family Law Act 1975 (Cth) ss 79, 80(1), 117(2)
Cases cited:

Bede Polding College v Limit (No. 3) Limited & Anor [2008] NSWSC 887

Dempster v National Companies and Securities Commission (1993) 9 WAR 215

General Steel Industries Inc. v Commissioner for Railways(NSW) (1964) 112 CLR 125

Jackamarra v Krakouer & Anor (1998) 195 CLR 516

Medlow & Medlow (2016) FLC 93-692

Rakete v Rakete (2012) 48 Fam LR 325

Salvage & Fosse (2020) FLC 93-966

Strahan & Strahan (Interim Property Orders) (2011) FLC 93-466

Number of paragraphs: 81
Date of hearing: 30 June 2021
Place: Adelaide
Counsel for the Applicant: Ms Lewis
Solicitor for the Applicant: Jacqui Ion Lawyers Pty Ltd
Counsel for the Respondent: Ms Nelson QC
Solicitor for the Respondent: Angela Ferdinandy
Counsel for the Second Respondent: Mr Bullock
Solicitor for the Second Respondent: Douglas Hoskins Legal

ORDERS

ADC 30 of 2020
BETWEEN:

MS MILLMAN

Applicant

AND:

MR MILLMAN

Respondent

AND: MR FAZIL
Second Respondent

ORDER MADE BY:

BERMAN J

DATE OF ORDER:

2 AUGUST 2021

UPON NOTING that all applications for final orders are listed for hearing on 1 November 2021

THE COURT ORDERS:

1.That the respondent husband do pay or cause to be paid to the trust account of the applicant wife’s solicitors the sum of $77,000 by way of interim property settlement within 30 days of the date of this order.

2.That by 4.00 pm on 3 September 2021 the applicant file and serve upon all other parties:-

(a)an amended application setting out with precision the orders to be sought;

(b)the affidavits of evidence in chief of all witnesses including the applicant relied upon (noting the affidavits relied upon for previous hearings cannot be relied upon as evidence in chief); and

(c)a financial statement that complies with chapter 13 of the Family Law Rules.

3.That the applicant and the respondent do each pay one half of all setting down and trial fees by 4.00 pm on 22 October 2021.

4.That by 4.00 pm on 13 October 2021 the first and second respondents do each file and serve upon all other parties:-

(a)an amended response setting out with precision what orders are being sought;

(b)the affidavits of evidence in chief of all witnesses including the respondents…

Continue reading Millman & Millman

Sign in free to access the full text

Details
AGLC
Millman & Millman [2021] FamCA 556
Case
[2021] FamCA 556
Decision Date

CaseChat Overview and Summary

In *Millman & Millman*, the applicant wife sought an interim lump sum payment from the respondent husband on account of litigation funding, while the husband sought the dismissal of her application. The matter came before Berman J in the Federal Circuit and Family Court of Australia, with the final hearing listed for November 2021.

The court was required to determine whether to grant the wife's application for interim litigation funding, considering a previous order for litigation funding had been made. Key issues included the wife's ability to pay her legal fees, the husband's capacity to fund the litigation, and the reasonableness of the amount sought for counsel fees.

Berman J reasoned that the wife had an arguable case and had been unable to pay her legal fees as they were incurred, whereas the husband had been able to meet his. The court found that the amount sought for anticipated counsel fees was reasonable and not irreversible. The judge noted the significant mistrust between the parties and the husband's control over valuable property contributed to the situation. Consequently, the court ordered the husband to pay $77,000 to the wife's solicitors' trust account within 30 days as an interim property settlement to enable the wife to secure senior counsel. The court also made detailed procedural orders to ensure readiness for the final hearing.

Orders

Orders of the court

ADC 30 of 2020

BETWEEN:

MS MILLMAN

Applicant

AND:

MR MILLMAN

Respondent

AND:

MR FAZIL

Second Respondent

ORDER MADE BY:

BERMAN J

DATE OF ORDER:

2 AUGUST 2021

UPON NOTING that all applications for final orders are listed for hearing on 1 November 2021

THE COURT ORDERS:

1. That the respondent husband do pay or cause to be paid to the trust account of the applicant wife’s solicitors the sum of $77,000 by way of interim property settlement within 30 days of the date of this order.

2. That by 4.00 pm on 3 September 2021 the applicant file and serve upon all other parties:-

(a) an amended application setting out with precision the orders to be sought;

(b) the affidavits of evidence in chief of all witnesses including the applicant relied upon (noting the affidavits relied upon for previous hearings cannot be relied upon as evidence in chief); and

(c) a financial statement that complies with chapter 13 of the Family Law Rules.

3. That the applicant and the respondent do each pay one half of all setting down and trial fees by 4.00 pm on 22 October 2021.

4. That by 4.00 pm on 13 October 2021 the first and second respondents do each file and serve upon all other parties:-

(a) an amended response setting out with precision what orders are being sought;

(b) the affidavits of evidence in chief of all witnesses including the respondents relied upon (noting that affidavits relied upon for previous hearings cannot be relied upon as evidence in chief);

(c) a financial statement that complies with chapter 13 of the Family Law Rules.

5. That by 4.00 pm on 27 October 2021 the applicant file and serve any affidavit in reply to that of the affidavits of the respondents.

6. That no party file any further material other than as provided by these orders without leave of the Court.

7. That prior to the commencement of the trial, the parties determine whether there are to be any rulings required arising out of objections to evidence and such objections be referred to in the parties’ outline of case.

8. That all parties have liberty to approach the registrar responsible for the management of the court file to vary the obligations under these orders to ensure readiness for trial.

9. Liberty is granted to each party to relist the matter at short notice in relation to trial directions or any application for leave for subpoena to issue.

10. That the practitioners for the parties file and serve electronically to … by 4.00 pm on 29 October 2021 the following:

(a) a concise set of orders to be sought if different from those already filed;

(b) a list of the applications and affidavits to be read out and if not the whole affidavit, the relevant paragraphs relied upon;

(c) a list of assets and liabilities;

(d) a list of objections to evidence upon which rulings are required; and

(e) a bullet-point summary of argument in relation to the issues in dispute.

11. That each party provide to the Court at the commencement of the hearing, a statement setting out the costs incurred to that date and from what source those funds have been paid and what costs are expected to be incurred until the completion of the hearing.

Note: The form of the order is subject to the entry in the Court’s records.

Note: This copy of the Court’s Reasons for judgment may be subject to review to remedy minor typographical or grammatical errors (r 17.02A(b) of the Family Law Rules 2004 (Cth)), or to record a variation to the order pursuant to 17.02 Family Law Rules 2004 (Cth).

Background

Background to the litigation

Full text does not contain this section.

Evidence

Evidence Before The Court

Full text does not contain this section.

Decision

Reasons for decision

He has been able to substantially pay for his legal representation although it is difficult to understand how his costs are estimated to be in excess of $600,000 should the proceedings run to trial.CONCLUSION The wife is currently represented by a solicitor and counsel. At present, the solicitors are unpaid but have indicated that they will continue to represent the wife through to the conclusion of the trial. They are not obliged to do so and if they ceased acting that is not necessarily a prerequisite before a litigation funding order could be made. The husband and Mr Fazil both consider that the complexity of the proceedings warrants the involvement of junior and senior counsel. I consider that there is merit in the wife’s claim but only in so far as it would cover the likely counsel fees for both senior and junior counsel. The relationship between the wife and her solicitors is qualitatively different to that as between the solicitors and counsel who have and are to be instructed. The amount sought by the wife for anticipated counsel fees is in the sum of $131,450. I consider that it is a reasonable sum in the circumstances and if paid is not irreversible. The wife will continue to be represented by junior counsel however Queen’s Counsel requires upfront payment. The circumstances in which the parties find themselves and in particular the level of mistrust and inability to reach agreement is in part as a result of the control by the husband of the valuable property of the parties. I propose to order that the husband pay the wife the sum of $77,000 so as to enable the wife to secure the services of senior counsel. I do not propose to order that the Suburb F property be sold in default. In circumstances where the trial is listed to commence in November 2021, it is unlikely that there would be sale and settlement of the Suburb F property. The wife did not seek a “dollar for dollar” order in default. There is no advantage to the wife in such an order being made. I make orders as appear at the commencement of these reasons.

Ratio Decidendi

Legal Principle Established

Full text does not contain this section.