Pasternacki and Solka-Pasternacki (as Executors of the Estate of the Late Mary Nagy) v Correy [2000] NSWCA 333

Reported Decision : [2001] ANZ ConvR 240 [2001] NSW ConvR 55-965

New South Wales Court of Appeal

CITATION : Pasternacki and Solka-Pasternacki (as Executors of the Estate of the Late Mary Nagy) v Correy [2000] NSWCA 333 FILE NUMBER(S) : CA 40210/99 HEARING DATE(S) : 1 November 2000 JUDGMENT DATE : 23 November 2000

PARTIES : Andrew Pasternacki and Krystyna Solka-Pasternacki (as Executors of the Estate of the Late Mary Nagy) (Appellants) Dafne Correy (Respondent) JUDGMENT OF : Sheller JA at 1; Stein JA at 2; Fitzgerald JA at 69

LOWER COURT JURISDICTION : Supreme Court LOWER COURT CD 12342/94 FILE NUMBER(S) : LOWER COURT Hidden J JUDICIAL OFFICER :

COUNSEL : P R Graham QC (Appellants) G J McVay/D M Loewenstein (Respondent) SOLICITORS : Taylor Kelso (Appellants) Russell McLelland Brown (Respondent) CATCHWORDS : CONVEYANCING - mortgages - Contracts Review Act - whether mortgage unjust - improvident contract - elderly mother gave mortgage over home as security for loan to son - short term loan of estate money - knowledge of lender of improvidence of transaction - failure to make inquiries having been put on notice - beneficiaries may have legal recourse - relief under Contracts Review Act - mortgage set aside - D LEGISLATION CITED : Contracts Review Act 1980 House v The King (1936) 55 CLR 499 Melverton v Commonwealth Development Bank of Australia (1989) NSW Conv R 55 - 484 CASES CITED: National Australia Bank Ltd v Hall (1993) NSW Conv R 55 - 684 Reisch v Commonwealth Bank of Australia and Ors (Supreme Court, Simos J, 13 March 1998, unreported) Teachers Health Investments Pty Ltd v Wynne (1996) NSW Conv R 55 - 785 Younan v Beneficial Finance Corporation Ltd (Court of Appeal, 21 November 1994, unreported) DECISION : Appeal dismissed with costs