Chang v Tjiong (No 2) [2024] NSWSC 74

Supreme Court New South Wales

Medium Neutral Citation: Chang v Tjiong (No 2) [2024] NSWSC 74 Hearing dates: 18, 25 October and 12 December 2023 Date of orders: 9 February 2024 Decision date: 09 February 2024 Jurisdiction: Equity Before: Henry J Decision: See at [196] Catchwords: EQUITY – Trusts and trustees – Express trusts – Reconstituting trust fund – Determining corpus of trust – tracing – where trust funds used to buy real property which was later sold – whether trust funds should be traced into sale proceeds and how far – whether trust funds should include figure for notional rent – whether income taxation should be deducted from trust funds EQUITY – Trusts and trustees – Trustee's indemnity for expenses properly incurred in administration of trust – indemnity to be deducted from corpus of reconstituted trust – whether claimed expenses were in connection with administration of trust – where trustee denied existence of trust at the time some expenses incurred Legislation Cited: Trustee Act 1925 (NSW) ss 59(4), 63 Uniform Civil Procedure Rules 2005 (NSW) r 42.25 Cases Cited: Adsett v Berlouis (1992) 37 FCR 201 Associated Alloys Pty Ltd v CAN 001 452 106 Pty Ltd (2000) 202 CLR 588; [2000] HCA 25 Australian Receivables Ltd v Tekitu [2010] NSWSC 823 Chang v Tjiong [2009] NSWSC 122 Chang v Tjiong [2022] NSWSC 1092 Chang v Tjong; Estate of Hok Njian Tjiong [2011] NSWSC 1614 Chief Commission of Stamp Duties (NSW) v Buckle (1998) 192 CLR 226; [1998] HCA 4 Devaynes v Noble (1816) 1 Mer 529; 35 ER 781 Fane v fane (1870) 13 Ch D 228 Gatsios Holdings v Kritharas Holdings (in Liquidation) [2002] NSWCA 29 Hardoon v Belilios [1901] AC 118 In Re Beddoe; Downes v Cottam [1893] 1 Ch 547 James Roscoe (Bolton) Ltd v Winder [1915] 1 Ch 62 King v King [2012] QCA 81 Macedonian Orthodox Community Church St Petka Inc v His Eminence Petar (2008) 237 CLR 66; [2008] HCA 42 Miller v Cameron (1936) 54 CLR 572 Nolan v Collie (2003) 7 VR 287; [2003] VSCA 39 O'Keeffe v Hayes Knight GTO Pty Ltd [2005] FCA 389 Re Doolan [2023] NSWSC 320 Re Estate Late Chow Cho-Poon [2013] NSWSC 844 Re Global Finance Group Pty Ltd [2002] WASC 63 Re Grimthorpe [1958] Ch 615 Re Hallett's Estate (1879) 13 Ch D 696; [1874-80] All ER Rep 793 Tjiong v Tjiong [2010] NSWSC 578 Tjiong v Tjiong [2012] NSWCA 201. Vacuum Oil Co Pty Ltd v Wiltshire (1945) 72 CLR 319 Wentworth v Rogers (2006) 66 NSWLR 474; [2006] NSWCA 145 Texts Cited: Jacobs' Law of Trusts in Australia (8th ed, 2016, LexisNexis) Category: Principal judgment Parties: Tzer Chin Chang (Plaintiff) Katrina May Lan Tjiong (First Defendant) Timothy Paul Heesh and Mark Kenneth John Everingham (Second and Third Defendants) Representation: Counsel: T Harris-Roxas (Plaintiff) M B Evans (First Defendant) D Barlin (Second and Third Defendants)