Rinehart v Rinehart [2022] NSWCA 66

Court of Appeal Supreme Court New South Wales Medium Neutral Citation: Rinehart v Rinehart [2022] NSWCA 66 Hearing dates: 16 February 2022 Decision date: 29 April 2022 Before: Gleeson JA at [1]; Leeming JA at [2]; White JA at [91]. Decision: 1. Appeal allowed. 2. Set aside the stay of orders 2 and 3 made on 17 December 2020 with effect from 14 days from today, and in lieu thereof dismiss Gina's application for a stay or for dispensation from production. 3. Note that the effect of order 2 above is that Gina is required to deliver up the Sceales Files and the Bankruptcy Transcripts to Bianca no later than 14 days from today. 4. Set aside order 2 made on 6 January 2021, and in lieu thereof order that Gina pay Bianca's costs of Bianca's amended notice of motion seeking delivery up of the Sceales Files and Bankruptcy Transcripts and of Gina's application to stay the delivery up of those documents or for dispensation in relation thereto. 5. Gina to pay Bianca's costs of the appeal. Catchwords: TRUSTS – new trustee – provision of documents by former trustee to new trustee – effect of vesting order – former trustee prima facie required to provide trust documents to new trustee – where former trustee failed to distinguish between documents received and possessed by her as trustee and documents received and possessed by her in other capacities – former trustee required to make copies of documents used by her, even if not owned or co-owned by her, for new trustee – primary judge found that particular documents were trust documents but need not be provided to new trustee until completion of pending arbitration – whether primary judge found that former trustee did not own or co-own documents in her capacity as trustee – whether primary judge erred in the exercise of discretion – appeal allowed and former trustee ordered to provide documents to new trustee Legislation Cited: Trustee Act 1925 (Bermuda), s 31 Trustee Act 1925 (NSW), ss 70, 78 Trustees Act 1962 (WA), ss 77, 78, 85 Trusts Act 2019 (NZ), s 48 Cases Cited: Avanes v Marshall (2007) 68 NSWLR 595; [2007] NSWSC 191 CPT Custodian Pty Ltd v Commissioner of State Revenue (2005) 224 CLR 98; [2005] HCA 53 Ellison v Sandini Pty Ltd (2018) 263 FCR 460; [2018] FCAFC 44 Hancock v Rinehart [2015] NSWSC 646; 106 ACSR 207 Hancock v Rinehart (Trust documents) [2018] NSWSC 1684 Hartigan Nominees Pty Ltd v Rydge (1992) 29 NSWLR 405 In re Ogier Trustee (Jersey) Ltd [2006] JRC 158 In the matter of the Bird Charitable Trust and the Bird Purpose Trust (2012) (1) JLR 62 Lambie Trust Ltd v Addleman [2021] NZSC 54 Lord Strathcona Steamship v Dominion Coal Co [1926] AC 108 McDonald v Ellis (2007) 72 NSWLR 605; [2007] NSWSC 1068 Meadows v Khan [2021] UKSC 21; [2021] 3 WLR 147 Mond v Hyde [1997] BPIR 250 Rawlinson & Hunter Trustees SA v ITG Ltd (Guernsey Royal Court, 30 January 2017) Rinehart v Rinehart [2019] NSWCA 54 Rinehart v Rinehart [2021] NSWCA 233 Schmidt v Rosewood Trust Ltd [2003] 2 AC 709; [2003] UKPC 26 St John's Trust Company (PVT) Ltd v Medlands (PTC) Ltd [2021] CA (Bda) 20 Civ Tiger v Barclays Bank Ltd [1952] 1 All ER 85 Wang v Cai [2021] NSWSC 1162 Welker v Rinehart (No 10) [2012] NSWSC 1330 White v Shortall (2006) 68 NSWLR 650; [2006] NSWSC 1379 Texts Cited: "Keeping Negligence Simple" (2022) 138 LQR 175 D Clarry, The Supervisory Jurisdiction over Trust Administration (Oxford University Press, 2018) Lewin on Trusts (Sweet & Maxwell, 20th ed, 2020) Category: Principal judgment Parties: Bianca Hope Rinehart (Appellant) Gina Hope Rinehart (First Respondent) Hancock Prospecting Pty Ltd (Second Respondent) Representation: Counsel: DFC Thomas SC, D Hume (Appellant) C Bova SC, T O'Brien, D Farinha (First Respondent)