Scott, the Trustee of the Property of Hurst, a Bankrupt v Hurst

The applicant, the trustee in bankruptcy of the property of Hurst, sought an order under section 66G of the Conveyancing Act 1919 (NSW) for the appointment of trustees for the sale of a property registered in the name of the bankrupt as a joint tenant. The court was required to determine whether to grant the application and make orders for the sale of the property.

The court considered the provisions of section 66G of the Conveyancing Act 1919 (NSW), which allows for the appointment of trustees for sale of property where a person is entitled to a beneficial interest in possession. The court applied the principle that where a bankrupt is a registered proprietor of land as a joint tenant, the trustee in bankruptcy is entitled to an interest in that land, and can therefore seek an order for sale under section 66G. The court found that the conditions for making such an order were met.

The court made orders appointing Andrew John Scott and Daniel Austin Walley as trustees for the sale of the property located at 45 Armidale Street, South Grafton, NSW. The property was vested in the trustees on statutory trust for sale. The trustees were granted sole conduct of the sale, with powers to sell by public auction or private treaty. The respondent was permitted to purchase the property without a deposit. The orders also detailed the priority of payment of proceeds from the sale, including statutory charges, sale expenses, mortgage discharge, legal costs, trustee remuneration, and finally, the bankrupt's share. The respondent was ordered to deliver vacant possession of the property within 56 days, with provisions for the removal and disposal of any remaining personal property. Leave was granted for the issue of a writ of possession, stayed for 56 days. The court also made orders regarding the applicant's legal costs and provided the respondent with liberty to apply to vary or discharge the orders, as well as a right to apply to set aside the orders.