Re The Offical Trustee v Ex parte Foster, P.C

Case [1987] FCA 124


FEDERAL COURT OF AUSTRALIA

Prlnclpal REGISTRY

F i l e :

3 - 2

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D i s t r i c t R e g i s t r a r s

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2 6

M a r c h

1 9 8 7

IN THE FEDERAL COURT OF AUSTRALIA

)

GENERAL

DIVISION

)

QLD E759 of 1984

BANKRUPTCY DISTRICT OF THE SOUTHERN ) DISTRICT OF THE STATE OF OUEENSLAND )

RE:

PETER CLARENCE FOSTER

also known as PETER MICHAEL FOSTER

c. -_-

EX PARTE: THE OFFICIAL TRUSTEE

MINUTES OF ORDER

JUDGE MAKING ORDER:

PINCUS J.

DATE OF ORDER:

12 MARCH 1987

WERE MADE:

BR I

S BANE

THECOURT ORDERS THAT.

(1) There be no order on the reference by the

Reglstrar;

( 2 ) The appllcatlon for an order that publlcatlon be

prevented or restrlcted be dlsmlssed;

( 3 )

The costs of the appllcatlon mentloned

In ( 2 ) be

reserved;

( 4 )

The applicatlon for leave to appeal from the order

made In ( 2 ) be dlsmlssed;

( 5 )

The applicatlon for a direction that the publlc

examlnatlon of the appllcant

be adlourned be

refused.

NOTE:

Settlement and entry of orders

1 s dealt wlth in

Rule 124 of the Bankruptcy Rules.

IN THE FEDERAL COURT OF AUSTRALIA

)

GENERAL DIVISION

)

QLD E759 of 1984

BANKRUPTCY DISTRICT OF THE SOUTHERN

)

DISTRICT OF THE STATE OF OUEENSLAND

1

RE: PETER CLARENCE FOSTER

also known as

PETER MICHAEL FOSTER

EX PARTE: THE OFFICIAL TRUSTEE

PINCUS J.

12 MARCH 1987

EX TEMPORE REASONS FOR JUDGMENT

Thls matter came before the court

by way of a reference

by the Reglstrar

In the course

of a publlc examlnation but, by

consent

has

been

altered

m Its

character

and

1 s now

an

applicatlon by the bankrupt for a restrlctlon

of publlcation

of

the proceedlngs.

Senlor counsel for the bankrupt relies upon

newspapers

exhibited, whlch he says show the

dangers

assoclated

with

unresticted publlcation in this partlcular case

to be excessive.

Exhibit 3 , to which he

refers me, speaking of the examination of

the bankrupt which is to take place, says, "Angry business men are gathering from all over Australia to confront him" - "him" being the bankrupt. Exhibit 2, to whlch Mr. Douglas Q.C. also refers me, speaks of the bankrupt as facing or beating bankruptcy charges. There are other statements in the material whlch I can

2 .

understand the bankrupt

finding offensive and which may well

constitute, as they are alleged to do, inaccurate reportlng.

Mr. Douglas Q.C.'s

contentlon is that the examination

should not proceed in the ordinary way but that there should be

a

speclal order made in favour of the bankrupt, and I suppose in a sense in favour of Samantha Fox who has also made an affidavit, restricting or preventlng publication of disclosures made in the course of public examlnatlon of the bankrupt. He argues In the

alternative that a proper course would be

to dlrect that the

Registrar determlne each

day

what materlal 1s to be published by

newspapers - presumably those not only

here, but overseas.

I can understand the

bankrupt being annoyed by some

of

the materlal which has been published and would hope that, In vlew of the complaint whlch has been made to the court, the genumeness of whlch I qulte accept, the newspapers concerned, namely Mldweek

Truth and the Gold Coast

Bulletln, mlght take some care to ensure

that thelr reportlng of the matter

1s accurate and falr. Should

they fail to do s o , as has been mentioned durlng the course of the hearlng, there 1 s a posslbillty of legal proceedings against them directly. I do not, however, decide whether the reportlng whlch

has taken place 1 s or is

not lawful. It

appears, on the face

of

it, to be rather exaggerated

and lurid.

The basic princlple is not

in doubt, and is conceded by

Mr. Douglas Q.C.,

that court proceedings should be conducted

in

public and that the public should, through the media, be

entitled

to know

what is happening.

3 .

The principle is, of course, underlined in respect

of

exammations of the klnd in Issue by s.69(4) whlch expressly requires that examination be held in public. Despite that, Mr. Logan, who is appearing for the Trustee, concedes that the court

has power to

restrict or to

prevent publication. Assuming that

such power exists, and it appears to me that it does, although it

1s unnecessary to reach a

final conclusion on that matter, It is

clear, in my vlew, that this

1 s not a case in which It should be

exerclsed.

There are disadvantages to the bankrupt and to Miss

Fox

in havlng the matter publicised, no

doubt, but there are

publlc

advantages In ensuring that people

have the means of knowledge of

what is occurrlng in the publlc

courts, and they

have been

referred to by Mr. Logan.

The orders whlch I will make are that I wlll make no

order on the reference.

On the appllcation by Mr. Douglas for an

order that publlcatlon

be

prevented

or

restrlcted, that

applicatlon wlll be dismlssed,

and the costs of that appllcation

will be reserved.

There is now a further applicatlon for leave to appeal

from my refusal of Mr.

Douglas’ applicatlon, as

1 s required by

s.24(1A) of the Federal Court of Australia

Act. The assumption on

which the

applicatlon 1 s

made is that the provisions

of that

section apply to these proceedings

and that assumption seems to me

correct. The argument which Mr. Douglas puts forward in support of the application for leave is that it is to be contended, or

4.

would be contended, that

I have erred in the exercise of my

discretion, and have not reached the concluslon towards which

my

findlngs pointed.

It does not seem to me, however, that that is sufficient ground to give leave to appeal. Without

attempting in any way to

be exhaustive, one would expect that m a matter of this sort the

court should not

give leave unless there

were some Important

question of principle involved, or some issue otherwise of great significance - in the sense that it 1s criticial to the parties or

of conslderable magnltude.

It does not seem

to me that thls case is

In

that

category. It

1 s true that it 1 s an unusual appllcation and one in

respect of whlch

no dlrect authorlty has been able to be found,

but

I

do not belleve that the court should glve leave.

The

examlnatlon should, in my oplnlon, proceed, and

I will refuse

leave to appeal.

f certify ttiat this and the 3 precedlng

pages are a true copy of the reasons for

judgment hcrein of HIS Honour

Mr. Justice Pmcus

,-+c 4 ~ 4 7 Associate

Details
AGLC
Re The Offical Trustee v Ex parte Foster, P.C [1987] FCA 124
Case
[1987] FCA 124
Decision Date

CaseChat Overview and Summary

In the Federal Court of Australia, the case of Re: The Official Trustee Ex Parte Foster was heard by Pincus J. The dispute centred around the bankrupt, Peter Clarence Foster, who sought to restrict or prevent the publication of proceedings related to his public examination. The Official Trustee opposed this application. The central legal issue before the court was whether the Federal Court had the power to restrict or prevent the publication of proceedings in public examinations, and if so, whether it should exercise that power in this particular case.

The court began by noting that while Section 69(4) of the relevant statute required examinations to be held in public, it appeared that the court did have the power to restrict or prevent publication. However, Pincus J held that this was not a case where such power should be exercised. Although there were disadvantages to the examinees in having the matter publicised, there were public advantages in ensuring that people had knowledge of what was happening in public courts. The court dismissed the application for an order restricting or preventing publication, and refused leave to appeal from that decision.

The court's reasoning was based on the principle that court proceedings should be conducted in public, and that the public should have the means of knowledge of what is happening in the public courts. Pincus J emphasised the importance of this principle in the context of public examinations, as required by statute. While acknowledging the potential for exaggerated and lurid reporting, the court was not convinced that this was a case warranting the exercise of its power to restrict or prevent publication. The court ultimately decided that the examination should proceed in the ordinary way, and that the advantages of public knowledge outweighed the disadvantages to the examinees in this case.

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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