Townsend v Townsend [2006] NSWCA 352

New South Wales Court of Appeal

CITATION: Townsend v Townsend [2006] NSWCA 352

HEARING DATE(S): 04/09/2006

JUDGMENT DATE: 12 December 2006

JUDGMENT OF: Handley JA at 1; Hodgson JA at 2; Bryson JA at 19

DECISION: 1) Appeal allowed to the extent only of varying the order of Judge Goldring of 28 May 2005 so as to add to Order 8; and also including any liability to the company arising from the Directors' Loan Account; 2) Save as aforesaid the orders of 26 May 2005 are affirmed; 3) Order the appellant to pay the respondent's costs of the appeal.

CATCHWORDS: PROPERTY (RELATIONSHIPS) - De Facto relationship - adjustment of property s.20 - valuation questions relating to parties' shares in private company - significance of Directors' Loan Account where retained profits were not distributed as dividends - Trial Judge did not treat Directors' Loan Account as a liability in reality - Trial Judge's adjustment affirmed with minor clarification - decision on facts.

LEGISLATION CITED: Family Law Act 1975 (Cth) s.79 Property (Relationships) Act 1984 (NSW) s.20

Chanter v. Catts [2005] NSWCA 411, (2005) 64 NSWLR 360 Howlett v. Neilson [2005] NSWCA 149, 33 Fam LR 402 CASES CITED: Jones v. Grech (2001) 27 Fam LR 711 Kowaliw v. Kowaliw (1981) FLC 91-092 Lipman v. Lipman (1989) 13 Fam LR 1

PARTIES: Stephen John Townsend - Appellant Beryl May Townsend - Respondent

FILE NUMBER(S): CA 40515/2005

COUNSEL: Appellant's counsel: J. Hammond Respondent's counsel: R.S. Bell/R.T. Bell

Appellant's solicitor: Trevillions Solicitors SOLICITORS: Respondent's solicitor: Rita Thakur & Associates