Thynne v Sheringham [2023] NSWCA 181

Court of Appeal Supreme Court New South Wales Medium Neutral Citation: Thynne v Sheringham [2023] NSWCA 181 Hearing dates: 4 July 2023 Date of orders: 9 August 2023 Decision date: 09 August 2023 Before: Ward ACJ and Kirk JA at [1]; Basten AJA at [16] Decision: (1) Grant the applicant leave to appeal from the judgment in the Equity Division of 22 December 2022. (2) Direct that the applicant file within seven days a notice of appeal in the terms of the draft notice contained in the white folder and dispense with service. (3) Dismiss the appeal. (4) Order that the appellant pay the respondent's costs in this Court. Catchwords: EQUITY – trusts and trustees – mutual wills –memorandum of wishes – agreement that surviving spouse would leave property or proceeds of sale to sons of testator – power to expend proceeds for own needs – nature of trust arising at time of testator's death – floating obligation that crystallises on repudiation of agreement REAL PROPERTY – caveats – property acquired under will – owner subject to equitable obligation to leave property in accordance with agreement with testator – power to sell and expend proceeds of sale – whether the intended beneficiary under the agreement has a caveatable interest in the land Legislation Cited: Real Property Act 1900 (NSW), s 74F Cases Cited: Barns v Barns (2003) 214 CLR 169; [2003] HCA 9 Birmingham v Renfrew (1937) 57 CLR 666; [1937] HCA 52 Depsun Pty Ltd v Tahore Holdings Pty Ltd (1990) 5 BPR 11 Double Bay Newspapers Pty Ltd v A W Holdings Pty Ltd (1996) 42 NSWLR 409 Dufour v Pereira 1 Dick 419; 21 ER 332 Flocas v Carlson [2015] VSC 221 Forster v Forster [2022] QSC 30 Giumelli v Giumelli (1999) 196 CLR 101; [1999] HCA 10 Latec Investments Ltd v Hotel Terrigal Pty Ltd (in liq) (1965) 113 CLR 265; [1965] HCA 17 Masci v Masci [2015] QCA 245 Muschinski v Dodds (1985) 160 CLR 583; [1985] HCA 78 Palmer v Bank of New South Wales (1975) 133 CLR 150; [1975] HCA 51 Re Hagger [1930] 2 Ch 190 Westminster Bank Ltd v Lee [1956] 1 Ch 7 Texts Cited: C E F Rickett, "Mutual Wills and the Law of Restitution" (1989) 105 LQR 534 Daniel Reynolds, "What are the Duties of Constructive Trustees?" (2018) 41 UNSW Law Journal 1297 Ford and Lee, Principles of the Law of Trusts, (2nd ed, Law Book Co, 1990) Glister and Lee, Hanbury & Martin – Modern Equity (21st ed, 2018, Thomson Reuters) Heydon and Leeming, Jacobs' Law of Trusts in Australia (8th ed, LexisNexis, 2016) Jacobs, The Law of Trusts in New South Wales (Butterworths, 1958) Meagher and Trevorah, Jacobs' Law of Trusts in New South Wales (2nd ed, Butterworths, 1967) Rosalind Croucher, "Mutual Wills: Contemporary Reflections on an Old Doctrine" (2005) 29(2) Melb U L Rev 390 Category: Principal judgment Parties: Harry Bernard Thynne (Applicant) Jevny Pty Limited ACN 001737864 (First Respondent) Victoria Diane Sheringham (Second Respondent) Representation: Counsel: S Shepherd / J Sukkar (Applicant) A Fernon SC (Respondents)