Perpetual Trustees (WA) Ltd v Equuscorp Pty Ltd & ors [2000] NSWSC 1120

New South Wales Supreme Court

CITATION : Perpetual Trustees (WA) Ltd v Equuscorp Pty Ltd & ors [2000] NSWSC 1120 CURRENT JURISDICTION: Equity Division FILE NUMBER(S) : SC 4424 of 1999 HEARING DATE(S) : 31 October 2000 JUDGMENT DATE : 5 December 2000

PARTIES : Perpetual Trustees (WA) Ltd (Plaintiff) Equuscorp Pty Ltd & Ors (Defendants) JUDGMENT OF : Bergin J

COUNSEL : J Simpkins SC/D Morgan (Plaintiff) CR Newlinds (35, 59, 61, 62, 96 and 148 Defendants) SOLICITORS : Henry Davis York (Plaintiff) Michell Sillar (Defendants) CATCHWORDS : [EQUITY] - Whether the Cherry v Boultbee equity applies to the assignee of the first defendant. [DEEDS] - Construction of Deed of Settlement - Whether it is to be construed as a release or a covenant not to sue - Whether trustee plaintiff is required to retire as trustee prior to approval of new trustee by ASIC. [CORPORATIONS LAW] - Nature of ASIC's powers under s 1067 are broad and to be exercised to enable efficient and effective transfer from retiring trustee to new trustee. LEGISLATION CITED : Corporations Law ss. 1069, 1454, 1067 Cherry v Boultbee [1839] 4 My. & Cr. 442 Commercial Bank of Tasmania v Jones & Anor [1893] AC 313 Dorgal Holdings Pty Ltd v Buckley & Ors (1996) 22 ACSR 164 Duck v Mayeu [1892] 2 QB 511 Head v Gould [1898] 2 Ch 250 CASES CITED : In Re Hurburgh; National Executors and Trustees Co of Tasmania v Hurburgh [1959] Tas. S.R. 25 Kenworthy v Avoth Holdings Pty Ltd., Cannon & Bishop (1974) WAR 135 Moorooka Shopping Town (Nominees) Pty Ltd v Mulherin (de Jersey CJ, SCQ, 20 August 1999, unreported) Murray-Oates v Jjadd Pty Ltd (1999) 76 SASR 38 In Re Peruvian Railway Construction Company Ltd [1915] 2 Ch 144 Perpetual Trustees (WA) Ltd v Equuscorp Pty Ltd (Young J, NSWSC 5 March 1998, unreported) S.R. Derham, Set-Off, 2nd Ed., Oxford University Press, 1996 DECISION : Deed construed as covenant not to sue. Cherry v Boultbee equity applicable. Trustee to retire when new trustee approved.