Pattison and Gilbertson

This matter concerned an application before Judge Scarlett of the Federal Circuit Court of Australia. The dispute involved the distribution of proceeds from the sale of a property, identified as Property B, between the Applicant and the Respondent. The Applicant sought orders for the payment of these proceeds in a specific priority, including a substantial sum to be held in trust for the Applicant and Respondent.

The primary legal issue before the Court was how the proceeds of the sale of Property B should be distributed upon completion of the contract of sale. This involved determining the priority of payments, including the discharge of a mortgage, agent's commission, outstanding rates, legal costs, a specific sum to be held in trust, and the ultimate balance. The Court was also required to consider the execution of necessary documents, including a withdrawal of caveat, and to make provision for the appointment of a Registrar to execute documents if a party refused to comply.

Judge Scarlett ordered that the Respondent must take all necessary steps to ensure the proceeds of the sale of Property B are paid in a specified order of priority. This included discharging the existing mortgage, paying real estate agent's commission and expenses, settling outstanding municipal and water rates, covering solicitors' legal costs for the sale, and then paying a sum of $600,000.00 into a controlled moneys account in trust for the Applicant and Respondent. Any remaining balance was to be paid to the Respondent. The Applicant's solicitor was authorised to liaise with the solicitors for the vendor and purchaser regarding settlement and the receipt of the $600,000.00 cheque. The Applicant was also ordered to prepare and provide a withdrawal of caveat for Property B by the settlement date. The Court further appointed a Registrar or Deputy Registrar of the Federal Circuit Court of Australia under section 106A of the *Family Law Act 1975* to execute any necessary deeds or instruments if a party failed to do so. The Applicant's solicitor was directed to serve a copy of these orders on relevant parties, including the vendor's and purchaser's solicitors, the mortgagee, and the mortgagee's solicitor. A conciliation conference was scheduled, and the parties' costs were reserved, with liberty to apply on three days' notice.