NOTE: ANY REPORT OF THIS PROCEEDING MUST COMPLY WITH SS
11B TO 11D OF THE FAMILY COURTS ACT 1980, FOR FURTHER INFORMATION, PLEASE SEE ION/RESTRICTIONS-ON-PUBLICATIONS
IN THE HIGH COURT OF NEW ZEALAND HAMILTON REGISTRY
CIV-2015-419-184 [2015] NZHC 2822
UNDER The Family Protection Act 1955 IN THE MATTER
of an appeal from a judgment of the
Family CourtBETWEEN
ALAN DE LISLE ORMSBY Appellant
AND
JAKE VAN SELM First Respondent
JACQUELINE ANN VAN SELM Second Respondent
JANINE ALEXANDRA ORMSBY Third Respondent
Hearing: 13 August 2015 Counsel
D M O'Neill for appellant
K Hoult and D Mayall for second respondent
G M Spry for third respondentJudgment:
13 November 2015
JUDGMENT OF KATZ J
This judgment was delivered by me on 13 November 2015 at 3:00pm Pursuant to Rule 11.5 High Court Rules
Registrar/Deputy Registrar
Solicitors: Koning Webster Lawyers, Papamoa Niemand Peebles Hoult, Hamilton Norris Ward McKinnon, Hamilton
ORMSBY v VAN SELM [2015] NZHC 2822 [13 November 2015]
Introduction
[1] Alan Ormsby, Jacqueline Van Selm (known as Tia) and Janine Ormsby are the three surviving children of the late Elizabeth Ormsby (“Mrs Ormsby”).1
Mrs Ormsby died in 2007 and her husband, Jack Ormsby, died three years later in
2010. Three other children of the couples’ marriage pre-deceased their parents.
[2] When Mrs Ormsby died she left the family farm, which comprised the bulk of her estate, to Alan. Tia and Janine issued proceedings in the Family Court under s 4 of the Family Protection Act 1955 (“Act”). They claimed that their mother breached her moral duty to them by failing to make adequate provision from her estate for their proper maintenance and support.
[3] The Family Court held in favour of Tia and Janine. The Judge found that Mrs Ormsby had breached her moral duty to them and that a division of the farm between Janine, Alan and Tia, in equal shares, was necessary to remedy the breach. Alan now appeals that decision. He does not dispute that Mrs Ormsby owed a moral duty to Janine and Tia, or that she breached that duty. The sole issue on appeal relates to the quantum of relief. In particular, Alan submits that the Judge essentially re-wrote the will on “fairness” grounds, rather than assessing what sum would be appropriate to provide for the proper maintenance and support of Tia and Janine, as s 4 of the Act required.
[4] Against this background, the key issues I must determine are:
(a) Did the Family Court Judge apply the correct legal test when assessing what provision should be made from Mrs Ormsby’s estate
for the proper maintenance and support of Tia and Janine?
1 The first respondent, Jake Selm, is Tia’s husband. He is the trustee and executor of
Mrs Ormsby’s will. He abides the decision of the Court.
(b)If the Judge did err in her approach, what provision would be appropriate, applying the correct legal test?
Factual background
[5] Most of the relevant factual background is not in dispute.2 Mrs Ormsby met her husband Jack…
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CaseChat Overview and Summary
The Court considered whether the Family Court Judge had applied the correct legal test when assessing what provision should be made from Mrs Ormsby's estate for the proper maintenance and support of Janine and Jacqueline. Katz J concluded that there was force in Alan's submissions, as the Judge likely succumbed to the temptation to re-write the will along "fairness" lines. However, the authorities were clear that it was not for courts to re-write wills on fairness grounds, and the court was required to do no more than the minimum to redress the breach of moral duty that had occurred.
In assessing the amount required to redress Mrs Ormsby's failure to make adequate provision for Janine and Jacqueline's proper maintenance and support, Katz J found that an award of 30 per cent of the farm in favour of Janine and 25 per cent of the farm in favour of Jacqueline would be appropriate, given their financial need and the egregious breach of moral duty committed by Mrs Ormsby. The appeal was allowed, and the order of the Family Court was set aside, with Mrs Ormsby's will to be altered to vest the farm property in Alan, Janine, and Jacqueline in the shares of 45 per cent, 30 per cent, and 25 per cent, respectively.
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