Watson and Watson

[2014] FamCA 263

FAMILY COURT OF AUSTRALIA

WATSON & WATSON [2014] FamCA 263

FAMILY LAW – ORDERS – Interpretation of orders – consideration of whether regard can be had to the intention of the parties in interpreting consent orders – where the wife seeks payment of interest on an outstanding balance in circumstances where the husband asserts that no amount is outstanding on which interest can be calculated – where consideration given to the meaning of “outstanding” – order made for the husband to pay interest.

Family Law Act 1975 (Cth)

Hughes & Hughes [2013] FamCAFC 146
Langford & Coleman (1993) FLC 92-346

APPLICANT: Ms Watson

RESPONDENT: Mr Watson

FILE NUMBER: MLC 5375 of 2009

DATE DELIVERED: 17 April 2014

PLACE DELIVERED: Melbourne

PLACE HEARD: Melbourne

JUDGMENT OF: Macmillan J

HEARING DATES: 14 January 2014
3 April 2014

REPRESENTATION

COUNSEL FOR THE APPLICANT: Mr Melilli

SOLICITOR FOR THE APPLICANT: Lander & Rogers

COUNSEL FOR THE RESPONDENT: Mr O’Shannessy

SOLICITOR FOR THE RESPONDENT: Aitken Partners

IT IS NOTED that publication of this judgment by this Court under the pseudonym Watson & Watson has been approved by the Chief Justice pursuant to s 121(9)(g) of the Family Law Act 1975 (Cth).

FAMILY COURT OF AUSTRALIA AT MELBOURNE

FILE NUMBER: MLC 5375 of 2009

Ms Watson

Applicant

And

Mr Watson

Respondent

REASONS FOR JUDGMENT

1. On 21 September 2012 Dessau J made final orders for property settlement by consent. It is the interpretation of her Honour’s orders made 21 September 2012 and in particular paragraph 10 of those orders which is the issue in dispute in these proceedings.

2. Paragraph 3 of Dessau J’s orders provided that the husband pay or cause to be paid to the wife the sum of $994,886 (“the payment”) as follows:

   (a)the sum of $450,000 on or before the date, such sum to be inclusive of $103,843 (gross) as an eligible termination payment for the [w]ife’s employment with the Watson Group;

   (b)the sum of $50,000 within 30 days from the date of these orders;

   (c)the balance payable not later than 21 September 2013.

3. Paragraph 10 of the orders provided as follows:

   That the Orders of this Court made on 4 November 2009 continue in full force and effect until the payment of all monies due pursuant to paragraphs 3 (a) and (b) and on such payments being made, those Orders be and are hereby discharged and thereafter the [h]usband shall pay to the [w]ife interest on any outstanding balance of the payment at the rate of 10% from the date until payment.

4. It is agreed by the parties that the husband made the payments he was ordered to make in accordance with those orders, including the final payment of $494,886 on 23 September 2013 (that date having been extended from 21 September 2013 by consent).

5. On 15 November 2013 the wife filed an initiating application in which she sought, inter alia, an order that pursuant to paragraph 3(c) and paragraph 10 of the orders made 21 September 2012, the husband pay to the…