O'Keeffe v Hayes Knight GTO Pty Ltd [2005] FCA 389

FEDERAL COURT OF AUSTRALIA

O'Keeffe v Hayes Knight GTO Pty Ltd [2005] FCA 389 COSTS – litigation in respect of removal of trustee – orders for removal conceded at hearing – whether unsuccessful trustee liable to pay costs of successful party – whether such costs should be on an indemnity basis – whether respondent entitled to an indemnity for its costs from the trust fund – funding agreement between successful applicants and funder – retainer agreement between applicants and their solicitors – reference to retainer agreement incorporated into funding agreement – whether indemnity principle satisfied Corporations Act 2001 (Cth), ss 283AC, 283AC(2), 283AC(3), 283AE, 283AE(2)(b) Jacobs' Law of Trusts in Australia (5th edn, 1986, Butterworths) Adams v London Improved Motor Coach Builders Ltd [1921] 1 KB 495 referred to Adsett v Berlouis (1992) 37 FCR 201 applied Angor Pty Ltd v Ilich Motor Co Pty Ltd (1992) 37 FCR 65 referred to Arkin v Borchard Lines Ltd & Ors [2004] 1 Lloyd's Reports 88 distinguished Backhouse v Judd [1925] SASR 395 referred to Beddoe, Re; Downes v Cottam [1893] 1 Ch 547 cited Bond Corporation Holdings Ltd, Re (1990) 1 WAR 465 cited Clairs Keeley (a firm) v Treacy (2003) 28 WAR 139 cited Dyktynski v BHP Titanium Minerals Pty Ltd (2004) 60 NSWLR 203 considered Fountain Selected Meats (Sales) Pty Ltd v International Produce Merchants Ltd (1988) 81 ALR 397 applied Guazzini v Pateson (1918) 18 SR (NSW) 275 cited Gulf Azov Shipping Co Ltd v Idisi [2004] All ER (D) 284 cited Gundry v Sainsbury [1910] 1 KB 645 referred to Hamilton v Al Fayed [2003] QB 1175 referred to Hunter v Hunter [1938] NZLR 520 cited Johnson Tiles Pty Ltd v Esso Australia Pty Ltd [2003] VSC 212 considered Latoudis v Casey (1990) 170 CLR 534 considered McKenna v Lowe (1878) 1 SCR (NSW) EQ 10 cited Miller v Cameron (1936) 54 CLR 572 applied Movitor Pty Ltd (in liq) v Sims (1996) 64 FCR 380 considered Newman v Financial Wisdom Limited [2004] VSC 282 considered R (Factortame Ltd) v Secretary of State for the Environment, Transport and the Regions [2003] QB 381 distinguished SDS Corporation Ltd v Pasdonnay Pty Ltd [2004] WASC 26 cited Wilson v Richmond River Shire Council [2000] NSWSC 71 referred to PATRICK JAMES O'KEEFFE and PATRICIA O'KEEFFE v HAYES KNIGHT GTO PTY LTD WAD 48 of 2004 NICHOLSON J 8 APRIL 2005 PERTH