SIF Holdings Pty Ltd v CRC Gosford Pty Ltd [2021] NSWCA 174

Court of Appeal Supreme Court New South Wales Medium Neutral Citation: SIF Holdings Pty Ltd v CRC Gosford Pty Ltd [2021] NSWCA 174 Hearing dates: 9 June 2021 Date of orders: 17 August 2021 Decision date: 17 August 2021 Before: Payne JA at [1]; White JA at [126]; Brereton JA at [127] Decision: (1) Appeal dismissed; (2) Appellant to pay the costs of the first and second respondents. Catchwords: EQUITY – trusts and trustees – express trusts – construction – whether constitution of trust confers discretion on trustee to determine Distributable Income – whether trustee exercised discretion in determining the amount of Distributable Income EQUITY – subrogation – requirements – whether the GLT Indemnity is a true indemnity against loss or merely a promise to pay on a contingency – not a true indemnity against loss EQUITY – subrogation – rights of subrogated party – where subrogation is limited only to rights which diminish loss – no subrogation to right to receive Withdrawal Amount Legislation Cited: Corporations Act 2001 (Cth), s 421 Cases Cited: Arthur Murray (NSW) Pty Ltd v Federal Commissioner of Taxation (1965) 114 CLR 314; [1965] HCA 58 Burnand v Rodocanachi Sons & Co (1882) 7 App Cas 333 Electricity Generation Corp v Woodside Energy Ltd (2014) 251 CLR 640; [2014] HCA 7 Insurance Commission (WA) v Kightly (2005) 30 WAR 380; [2005] WASCA 154 Kuru v New South Wales (2008) 236 CLR 1; [2008] HCA 26 Lewski v Commissioner of Taxation (2017) 254 FCR 14; [2017] FCAFC 145 Mount Bruce Mining Pty Ltd v Wright Prospecting Pty Ltd (2015) 256 CLR 104; [2015] HCA 37 Perry v Anthony [2016] NSWCA 56 Segelov v Ernst & Young Services Pty Ltd (2015) 89 NSWLR 431; [2015] NSWCA 156 State Government Insurance Office (Qld) v Brisbane Stevedoring Pty Ltd (1969) 123 CLR 228; [1969] HCA 59 Transport Accident Commission v CMT Construction of Metropolitan (1988) 165 CLR 436; [1988] HCA 46 Victoria v Tatts Group Ltd [2016] HCA 5; (2016) 90 ALJR 392 Texts Cited: JD Heydon, MJ Leeming and PG Turner, Meagher, Gummow and Lehane's Equity: Doctrines and Remedies (5th ed, 2015, LexisNexis) Category: Principal judgment Parties: SIF Holdings Pty Ltd (Appellant) CRC Gosford Pty Ltd (First Respondent) Max Realty Pty Ltd (Second Respondent) Columbus Investment Services Ltd as Trustee of the Gosford Ownership Trust and Gosford Landholding Trust (Third Respondent) Representation: Counsel: J Stoljar SC with TO Prince (Appellant) P Braham SC with JA Arnott and D Reynolds (First and Second Respondents) Submitting Appearance (Third Respondent)