Thomas v Registrar-General of NSW

Thomas brought a claim against the Registrar-General of New South Wales for compensation from the Assurance Fund under the Real Property Act 1900 (NSW). Thomas had an interest as an equitable mortgagee in a property and had lodged a caveat to protect his interest. The caveat was subsequently withdrawn following the lodgement of a fraudulent withdrawal of caveat form. As a result, the title of the property was transferred to a new registered proprietor. Thomas argued that he was forced to sell another property due to the loss of his interest in the subject property, and sought compensation under section 129 of the Act.

The court was required to decide whether Thomas' loss was a result of the dealings and if so, whether it was sufficient to establish a cause of action under section 129 of the Act. The court considered the circumstances surrounding the fraudulent withdrawal of the caveat and the subsequent transfer of the property title. The court found that Thomas failed to establish that the dealings were a cause of the need to sell the other property, and therefore, he was not entitled to compensation.

The court held that for a claim under section 129 of the Act to be successful, the claimant must establish that the loss suffered was a result of the dealings, and that the loss was a direct and immediate consequence of the loss of the interest in the property. In this case, Thomas failed to establish that the loss of his interest in the subject property was the cause of the need to sell the other property. Therefore, the claim for compensation was dismissed.

The court did not make any orders for costs.