Salvo & Ors v New Tel (in liquidation) [2004] NSWSC 675

New South Wales Supreme Court

CITATION : Salvo & Ors v New Tel (in liquidation) [2004] NSWSC 675 HEARING DATE(S) : 21 & 22 June 2004 JUDGMENT DATE : 13 August 2004

JUDGMENT OF : McDougall J at 1 DECISION : See paras [140] and [141] of judgment

CATCHWORDS : TRUSTS - subscription agreement - plaintiffs subscribers under subscription agreement - where subscription agreement created express trust of subscription price - whether change in nominated escrow account terminated express trust - trust and contract - where alleged that subscription price paid by cash and amounts set-off - whether amounts set-off part of subscription price - whether amount set-off held on trust for plaintiff - ESTOPPEL - estoppel by representation - where alleged that defendant represented that defendant held monies on trust for plaintiffs - whether defendant should be estopped from denying trusts - whether representation relied upon Barclays Bank Ltd v Quistclose Investments Ltd [1970] AC 567 Re Australian Elizabethan Theatre Trust; Lord v Commonwealth Bank of Australia (1991) 30 FCR 491 Twinsectra Ltd v Yardley [2002] 2 AC 164 Kauter v Hilton (1953) 90 CLR 86 Associated Alloys Pty Limited v ACN 001 452 106 Pty Limited (in liquidation) (2000) 202 CLR 588 CASES CITED : Walker v Corboy (1990) 19 NSWLR 382 Bahr v Nicolay [No 2] (1988) 164 CLR 604 Gosper v Sawyer (1985) 160 CLR 548 Cohen v Cohen (1929) 42 CLR 91 Puma Australia Pty Ltd v Sportsman's Australia Ltd [No 2] [1994] 2 Qd R 159 Saunders v Vautier (1841) 4 Beav 115 Mario Salvo (Plaintiff) PARTIES : Bilpin Projects Pty Ltd (Plaintiff) New Era Telecommunications Pty Ltd as Trustee for Elray Property Group (Plaintiff) New Tel Limited (in liquidation) (Defendant) FILE NUMBER(S) : SC 50200/02 COUNSEL : B A J Coles QC/R J Brender (Plaintiffs) D J Hammerschlag SC/I R Pike (Defendant) SOLICITORS : Baker & McKenzie (Plaintiffs) Blake Dawson Waldron (Defendant)