Public Trustee of New South Wales v Fitter and (3) Ors

In the case of Public Trustee of New South Wales v Fitter and (3) Ors, the dispute centred around the application of the public policy rule concerning the forfeiture of benefits under a will, where the principal beneficiary was acquitted of killing the testator on the grounds of mental illness. The Supreme Court of New South Wales was tasked with determining the legal issues surrounding the interpretation of the Forfeiture Act 1995 (NSW) and the admissibility of evidence of acquittal in criminal proceedings.

The primary legal issues the court had to decide were whether the acquittal of the beneficiary in criminal proceedings could be considered in the probate proceedings, and if so, how it would affect the application of the forfeiture rule. The court needed to interpret the terms "offender" and "unlawful killing" within the context of the Forfeiture Act and assess the implications of the acquittal on the beneficiary's entitlement to benefits under the will. Furthermore, the court examined whether the evidence of the acquittal could be admitted under the Evidence Act 1995 (NSW) in the probate proceedings.

The court held that the acquittal of the beneficiary on the grounds of mental illness was not admissible in the probate proceedings to prove the fact in issue. The court found that the term "offender" in the Forfeiture Act did not encompass a person acquitted on the grounds of mental illness, and thus, the acquittal did not affect the application of the forfeiture rule. The court further determined that the term "unlawful killing" was not satisfied by an acquittal on the grounds of mental illness, and therefore, the beneficiary remained disqualified from benefiting under the will. The Supreme Court ruled in favour of the Public Trustee, affirming that the beneficiary's entitlement to benefits was forfeited.

The final orders of the court were that the beneficiary was not entitled to any benefits under the will due to the operation of the forfeiture rule. The court directed the Public Trustee to distribute the estate in accordance with the will, excluding the disqualified beneficiary.