Estate Polykarpou; Re a charity [2016] NSWSC 409

Supreme Court New South Wales

Medium Neutral Citation: Estate Polykarpou; Re a charity [2016] NSWSC 409 Hearing dates: 14 March 2016 Date of orders: 22 July 2016 Decision date: 22 July 2016 Jurisdiction: Equity - Probate List Before: Lindsay J Decision: (1) DECLARE that, on the true construction of the will of Euphemia ("Mia") Polykarpou dated 22 March 2014, and in the events which have happened, the gift of property in clause 4.2 of the will constitutes a valid charitable trust.

(2) DECLARE that, notwithstanding dissolution of the corporation identified in clause 4.2 as the recipient of trust property, the property the subject of the trust is dedicated to charity.

(3) ORDER that the trust property be applied cy pres, and that a scheme be settled for that purpose.

(4) ORDER (pursuant to the Charitable Trusts Act, section 13(2)) that the trust be referred to the Attorney General for the Attorney to establish such a scheme.

(5) RESERVE to the Attorney General, the trustee of the charitable trust and such (if any) other persons who may be interested in due administration of the trust, liberty, at their own risk as to costs, to apply for directions in settlement of a cy pres scheme. Catchwords: CHARITIES – Charitable gifts and trusts – When applied cy-pres – Where general charitable intention – Gift to specifically named charity which ceased to exist before death of testatrix – Analysis of Court's jurisdiction over charitable trusts and gifts - Charitable Trusts Act as legislative framework for administrative arrangements, not displace Court's general jurisdiction SUCCESSION - Construction and effect of testamentary dispositions - Construction of gift to dissolved corporation Legislation Cited: Australian Constitution Act 1842 (Imp) Australian Courts Act 1828 (Imp) Charities Procedure Act 1812 (Eng) Charitable Trusts Act 1993 NSW Civil Procedure Act 2005 NSW Civil Procedure Rules, 2005 NSW Imperial Acts Application Act 1969 NSW Interpretation Act 1987 NSW New South Wales Act, 1823 (Imp) Short Titles Act 1896 (Imp) Sir Samuel Romilly's Act 1812 (Eng) Supreme Court Act 1970 NSW) Succession Act 2006 NSW Uniform Civil Procedure Act 2005 NSW Cases Cited: Allgood v Blake (1873) LR 8 Exch 160 Attorney General (NSW) v Fred Fulham [2002] NSWSC 629 Attorney General (NSW) v Perpetual Trustee Co Limited (1940) 63 CLR 209 Berry v International Committee of the Red Cross (WA Supreme Court, 24 November 1986) BC 8691001 Boyes v Cook (1880) 14 ChD 53 Commissioner of Stamp Duties (QLD) v Livingston [1965]AC 694 Commissioners for Special Purposes of the Income Tax v Pemsel [1891] AC 531 Cooper v Stuart (1889) 14 App Cas 286 Coorey v Coorey (NSW Supreme Court 22 February 1986, unreported) Cram Foundation v Corbett-Jones and Anor [2006] NSWSC 495 Damberg v Damberg (2001) 52 NSWLR 492 Dobrijevic v Free Serbian Orthodox Church, Diocese for Australia and New Zealand Property Trust [2015] NSWSC 637 Fell v Fell (1922) 31 CLR 268 Goldwyn v Mazal [2003] NSWSC 427 Hadaway v Hadaway [1955] 1 WLR 16 Hatzantonis v Lawrence Cox [2003] in NSWSC 914 Hunter Region SLSA Helicopter Rescue Services Limited v Attorney General for NSW (2000) NSWSC 456 In re Bennett, deceased; Sucker v Attorney General [1960] 1 Ch 18 In re WM (a person alleged to be of unsound mind) (1903) 3 SR (NSW) 552; 20 WN (NSW) 124 In re-Wright; Blizard v Lockhart [1954] Ch 347 In re-Wright; In re-Slevin; Slevin v Hepburn [1891] 2 Ch 237 Independent Commission Against Corruption (NSW) v Cunneen [2015] HCA 14; 89 ALJR 475 IR v AR [2015] NSWSC 1187 Kytherian Association of Queensland v Sklavos (1958) 101 CLR 56 Livingston v Commissioner of Stamp Duties (QLD) (1960) 107 CLR 411 Lockrey v Ferris [2011] NSWSC 179; 8 ASTLR 529 Lovett v Permanent Trustee Co Limited (unreported, the NSW Court of Appeal, 24 March 1987) McCormack v Stevens [1978] 2 NSWLR 517 McLean v Attorney General (NSW) [2002] NSWSC 371 McLean v Burns Philip Trustee Co Pty Ltd (1985) 2 NSWLR 623 Moggridge v Thackwell (1803) 7 Ves 36 32 ER 15 National Antivivisection Society v Inland Revenue Commissioners [1948] AC at P 74 Paice v Archbishop of Canterbury (1807) 14 Ves 364; 33 ER 560 Parry v Haisma [2012) NSWSC 290] Perpetual Trustee Co Limited v Wright (1987) 9 NSWLR 18 Perpetual Trustee Co v MacKenzie (1917) 17 SR (NSW) 660 Phillips v Roberts 1975] 2 NSWLR 207 Public Trustee v Attorney General (NSW) (1997) 42 NSWLR 600 Re AAA; Report on a Protected Person's Attainment of the Age of Majority [2016] NSWSC 805 Re Conroy (1973) 35 DLR (3d) 752 Re Estate Morgan [2015] NSWSC 184 Re Eve [1986] 2 SCR 388 at 407-411; (1986) 31 DLR (4th) 1 Re Frieda and Geoffrey [2009] NSWSC 133; 40 Fan LR 608 Re Tyrie, deceased (No. 1) [1972] VR 168 Re-Victoria [2002] NSWSC 647; 29 Fan LR 157 Smith v West Australian Trustee and Executor & Agency Co Limited (1950) 81 CLR 320 Secretary, Department of Health and Community Services v JWB and SMB (Marion's Case) (1992) 175 CLR 218 Stratton v Simpson (1970) 125 CLR 138 Taylor v Taylor (1911) 10 CLR 218 The Sydney Homoeopathic Hospital v Turner (1959) 102 CLR 188 Uniting Church in Australia Property Trust (NSW) v Monsen [1978] 1 NSWLR 575 at 591 Texts Cited: Blackstone's Commentories on the Laws of England (1st ed, 1765-1769; 9th "received" ed, 1783), Volume 3, chapter 27, pages 427-428 Chantal Stebbings, "Re Earl of Sefton (1898)", chapter 15 in C&P Mitchell (eds), Landmark Cases in Equity (Hart Publishing, Oxford, 2012) pages 460 and 468 n 82 Chitty, A Treatise on the Law of the Prerogatives of the Crown (1820), Chapter 9, Section 2, pages 161-162 Dal Pont, Law of Charity (Lexis Nexis Butterworths, Australia, 2010), pages 75-78; [3.55] Daniell's Chancery Practice (8th ed, 1914), Volume 1, pages 34-35 and 48 D.M. Kerly, An Historical Sketch of the Equitable Jurisdiction of the Court of Chancery (Cambridge University Press, 1890), pages 26 and 49-57 Fonblanque, A Treatise of Equity (1st ed, 1792-1793), Volume 2, Part 2, Chapter 1, pages 205-208 Gino Dal Pont, Charity Law in Australia and New Zealand (Oxford UP, Melbourne, 2000), pages 26-29; 259-260 H. Picarda, The Law and Practice Relating to Charities (Bloomsbury Professional, England, 4th ed, 2010), pages 728-729, 479 Hansard (Parliamentary Debate) in the Legislative Council of NSW on 11 March 1993 HWR Wade and HL Cryer, Annual Survey of Commonwealth Law, 1974 (Butterworths, London, 1975), page 514 JD Heydon and ML Leeming (eds) Jacobs' Law of Trusts in Australia (Lexis Nexis Butterworths, Sydney, 7th ed, 2006), paragraphs [1006]-[1016]. Jordan, Administration of the Estates of the Deceased Persons (3rd ed, 1948, Sydney Law School) pages 42-44 J.T. Bigge, Report of the Commissioner of Inquiry on the Judicial Establishments of New South Wales and Van Diemen's Land (ordered by the House of Commons to be printed, 21 February 1823) LA Sheridan and VTH Delany, The Cy-pres Doctrine (London, 1959), pages 17 and 140 Lives of the Lord Chancellors (1845), at page 13 of volume 1 ML Smith, The Early Years of Equity in the Supreme Court of NSW (1998) 72A LJ 799, 804. Meagher, Gummow and Lehane, Equity: Doctrines and Remedies (Lexis Nexis Butterworths, Australia, 5th ed, 2015), paragraph [1-115], [1.120]–[1.140] Nygh's Conflict of Laws in Australia (9th ed, Lexis Nexis, Australia, 2014), chapter 17 PW Young, C Croft and ML Smith, On Equity (Law Book Co, Sydney, 2009), paragraph [6.360] Sir Frederick Jordan, Select Legal Papers (Legal Books, Sydney 1983) Spence, The Equitable Jurisdiction of the Court of Chancery (1846-1849), Volume 1, Chapter II, pages 588-589; Volume 2, chapter 6, pages 246-247 Storey, Commentaries on Equity Jurisprudence (1st English ed, 1884), paragraph1186, 1190 Story, Commentaries on Equity Jurisprudence (1st Eng ed, 1884), Chapter 32, paragraphs 1187-1191 Tudor on Charities (10th ed, 2015), paragraph [13-008] Young, Croft and Smith, On Equity (2009), paragraph [6.500] note 297 Category: Principal judgment Parties: Plaintiff: Paul Michael Russell (Executor) First Defendant: Attorney General of NSW Second Defendant: Theocharis ("Theo") Polykarpou (father of deceased) Third Defendant: Efpraxia ("Effie") Polykarpou (mother of deceased) Representation: Counsel: Plaintiff: G McNally SC First Defendant: H El Hage Second and Third Defendants: CJ Bevan