Exception Holdings Pty Ltd (in liq) v Albarran & Ors [2005] NSWSC 677

Reported Decision : (2005) 23 ACLC 1270

New South Wales Supreme Court

CITATION : Exception Holdings Pty Ltd (in liq) v Albarran & Ors [2005] NSWSC 677

HEARING DATE(S) : 30//06/05

JUDGMENT DATE : 30 June 2005

Equity Division JURISDICTION : Corporations List

JUDGMENT OF : Young CJ in Eq

DECISION : Charge void under s 267 of Corporations Act.

CATCHWORDS : CORPORATIONS [72]- Creation of charge- Charge created in favour of executors- Executors were also directors of chargor- Whether charge created "in favour of" ... "relevant persons"- Whether charge void. SUCCESSION [255][257]- Co-executors- Appointment of receiver to company by one co-executor- Acted without consent of the other- Whether one co-executor can bind all- Discussion of when executors become trustees. WORDS & PHRASES- "In favour of".

Conveyancing Act 1919, ss 54A, 153(4) LEGISLATION CITED : Corporations Act 2001 (Cth), ss 267, 418A Wills Probate & Administration Act 1898, s 83

Burke v Dawes (1938) 59 CLR 1 Colyton Investments Pty Ltd v McSorley (1962) 107 CLR 177 Commercial Banking Company of Sydney Ltd v Colonial Financiers of Australia Pty Ltd ][1972] VR 702 Fletcher v Burns (NSWCA, 19.3.1997, unreported) In re Ingham [1893] 1 Ch 352 Lepard v Verno (1813) 2 V & B 51; 35 ER 237 Melsom v Vanpress Pty Ltd (1990) 3 ACSR 109 CASES CITED : Neill v Hewens (1952) 53 SR (NSW) 113 Re Mayo [1943] Ch 302 Re Morant [1924] 1 Ch 79 Re Timbatec Pty Ltd [1974] 1 NSWLR 613 Sky v Body (1970) 92 WN (NSW) 934 Sneesby v Thorne (1855) 7 De GM & G 399; 44 ER 156 Stokes v Churchill (1994) NSW ConvR 55-694 Union Bank of Australia v Harrison, Jones and Devlin Ltd (1910) 11 CLR 492