Kite (Trustee), in the matter of Murray (a Bankrupt) v Murray [2023] FCA 198

FEDERAL COURT OF AUSTRALIA

Kite (Trustee), in the matter of Murray (a Bankrupt) v Murray [2023] FCA 198 File number: NSD 1330 of 2021

Judgment of: RAPER J

Date of judgment: 10 March 2023

Catchwords: BANKRUPTCY – application by the trustee in bankruptcy (trustee) to recover a property or an interest in a property – whether the property, or interest in that property, is held on trust for the bankrupt estate – whether the presumption of advancement applies to the matrimonial home – whether the presumption has been rebutted – where title is placed in the wife's name only – whether the trustee is entitled to relief under s 139DA of the Bankruptcy Act 1966 (Cth) – whether the transfer of the property was an undervalued transaction or a transaction to defeat creditors and thus void against the trustee – application allowed in part

Legislation: Bankruptcy Act 1924 (Cth) s 95 Bankruptcy Act 1966 (Cth) ss 55, 77C, 120, 120(1), 120(7), 121, 121(1)(b), 121(2), 121(4), 121(9), 121(9)(a), 122, 139A, 139CA, 139D, 139D(2), 139D(3), 139DA, 139DA(a), 139EA, 139F, 267G, Div 4A Bankruptcy Legislation Amendment (Anti-avoidance) Act 2006 (Cth) Sch 1 item 20 Corporations Act 2001 (Cth) s 588FA(3), 588FF Explanatory Memorandum, Bankruptcy Amendment Bill 1987 (Cth) Explanatory Memorandum, Bankruptcy Legislation Amendment (Anti-Avoidance) Bill 2005 (Cth) Succession Act 2010 (NSW) Supreme Court Act 1986 (Vic) ss 33KA, 33ZF

Cases cited: Airservices Australia v Ferrier [1996] HCA 54; 185 CLR 483 Birdseye v Sheahan [2002] FCA 1319; 196 ALR 598 Bosanac v Commissioner of Taxation [2022] HCA 34; 96 ALJR 976 Bryant (in their capacities as joint and several liquidators of Gunns Ltd (in liq) (recs and mgrs apptd) (ACN 009 478 148) v Edenborn Pty Ltd [2020] FCA 715; 381 ALR 190 Bryant v Badenoch Integrated Logging Pty Ltd [2023] HCA 2 Calverley v Green [1984] HCA 81; 155 CLR 242 Camm v Linke Nominees Pty Ltd [2010] FCA 1148; 190 FCR 193 Clarke v Great Southern Finance Pty Ltd (in liquidation) [2014] VSC 569 Combis (Trustee) v Spottiswood (No 2) [2013] FCA 240; 11 ABC(NS) 407 D Pty Ltd (in liq) v Calas [2016] FCA 1409; 12 BFRA 151 Great Investments Ltd and Others v Warner and Others [2016] FCAFC 85; 243 FCR 516 Griffin & Khatri v Milne & Anor [2009] FMCA 680 Jess (Trustee), in the matter of Lostitch (Bankrupt) v Lostitch [2022] FedCFamC2G 342 Lo Pilato v Kamy Saeedi Lawyers Pty Ltd [2017] FCA 34; 249 FCR 69 Mateo v Official Trustee in Bankruptcy [2002] FCA 344; 117 FCR 179 Mathai v Nelson [2012] FCA 1448; 208 FCR 165 Official Trustee in Bankruptcy v Lopatinsky [2003] FCAFC 109; 129 FCR 234 Official Trustee in Bankruptcy v Mateo [2003] FCAFC 26; 127 FCR 217 Peldan v Anderson [2006] HCA 48; 227 CLR 471 Permfox Pty Ltd, in the Matter of Chase v Official Receiver for Bankruptcy District of New South Wales [2002] FCA 1564 Pettitt v Pettitt [1970] AC 777 Re Jury; Ashton v Prentice [1999] FCA 671; 92 FCR 68 Richardson v The Commercial Banking Company of Sydney Limited [1952] HCA 8; 85 CLR 110 Sheahan v Birdeye [2002] FMCA 41 Silvia (Trustee) v Williams, in the matter of Williams (Bankrupt) [2018] FCA 189 Trustees of Property of Cummins (a bankrupt) v Cummins [2006] HCA 6; 227 CLR 278 Worrell v Pix [2002] FMCA 93