Wright v Stevens [2018] NSWSC 548

Supreme Court New South Wales

Medium Neutral Citation: Wright v Stevens [2018] NSWSC 548 Hearing dates: 6 – 7 December 2017; 1 February 2018 (additional written submissions) Date of orders: 03 May 2018 Decision date: 03 May 2018 Jurisdiction: Equity Before: Hallen J Decision: The answers to the questions posed as issues are summarised at [335].

The Court stands the matter over to a date to be appointed to make final orders and to determine any outstanding issues, including how the costs of the proceedings should be borne. Catchwords: TRUSTS and TRUSTEES - Trust created by Will - Whether private discretionary trust or charitable trust - Powers, duties of trustee of Trust - Potential object of exercise of discretionary power of appointment - Whether has a right to seek information, seek inspection of documents in the possession of the Trustee and accounts - Approach the Court should take to application by a potential object of exercise of discretionary power for an order directing trustee to disclose information and permit inspection of documents relating to the Trust – Whether duty to account to potential object of exercise of discretionary power of appointment - Trustee resisted claim for information, inspection of documents and accounts. Legislation Cited: Associations Incorporation Act 2009 (NSW) Charitable Trusts Act 1993 (NSW) Corporations Act 2001 (Cth) Probate and Administration Act 1898 (NSW) Statute of Charitable Uses 1601 Trustee Act 1925 (NSW) Uniform Civil Procedure Rules 2005 (NSW) Cases Cited: AIT Investment Group Pty Ltd v Markham Property Fund (No 2) Pty Ltd [2015] NSWSC 216 Application by Stevens [2016] NSWSC 1523 ASIC v Carey (No 6) (2006) 153 FCR 509; [2006] FCA 814 Attorney-General (NSW) v Perpetual Trustee Co (Ltd) (1940) 63 CLR 209 Avanes v Marshall (2007) 68 NSWLR 595; [2007] NSWSC 191 Brady Street Developments Pty Ltd v M E Asset Investments Pty Ltd [2013] NSWSC 1755 Breen v Williams (1996) 186 CLR 71; [1996] HCA 57 Byrnes v Kendle (2011) 243 CLR 253; [2011] HCA 26 Chaine-Nickson v Bank of Ireland [1976] IR 393 Chief Commissioner of Stamp Duties (NSW) v Buckle (1998) 192 CLR 226; [1998] HCA 4 College of Law Pty Ltd v Attorney General of NSW [2009] NSWSC 1474 Commissioner of Taxation (Cth) v Bargwanna (2012) 244 CLR 655; [2012] HCA 11 Commissioners for Special Purposes of Income Tax v Pemsel [1891] AC 531 Coorey v George (Supreme Court (NSW), Powell J, 27 February 1986, unrep) CPT Custodian Pty Ltd v Commissioner of State Revenue (2005) 224 CLR 98; [2005] HCA 53 Crociani & Ors v Crociani & Ors (Jersey) [2015] WTLR 975; [2014] UKPC 40 Cypjayne Pty Ltd v Sverre Rodskog [2009] NSWSC 301 Deutsch v Trumble [2016] VSC 263 Dura (Australia) Constructions Pty Ltd v SC Land Richmond Pty Ltd [2007] VSC 272 Erceg v Erceg [2017] 1 NZLR 320; [2017] NZSC 28 Fairbairn v Varvaressos (2010) 78 NSWLR 577 Fay v Moramba Services Pty Ltd [2009] NSWSC 1428 Federal Commissioner of Taxation v Vegners (1989) 90 ALR 547; [1989] 89 ATC 5274 Fell v Fell (1922) 31 CLR 268; [1922] HCA 55 Fischer v Nemeske Pty Ltd (2016) 257 CLR 615; [2016] HCA 11 Gartside v Inland Revenue Commissioners [1968] AC 553 Goodman v Mayor of Saltash (1882) 7 App Cas 633 Hancock v Rinehart [2015] NSWSC 646 Hartigan Nominees Pty Ltd v Rydge (1992) 29 NSWLR 405 Jones (Liquidator) v Matrix Partners Pty Ltd, in the matter of Killarnee Civil & Concrete Contractors Pty Ltd (in liq) [2018] FCAFC 40 Kafataris v Deputy Commissioner of Taxation [2008] 172 FCR 242; [2008] FCA 1454 Kauter v Hilton (1953) 90 CLR 86; [1953] HCA 95 Kennon v Spry (2008) 238 CLR 366; [2008] HCA 56 King v Perpetual Trustee Company Limited (1955) 94 CLR 70; [1955] HCA 70 Kinsela v Caldwell (1975) 132 CLR 458; [1975] HCA 10 Korda v Australian Executor Trustees (SA) Ltd (2015) 255 CLR 62; [2015] HCA 6 Ku‑ring‑gai Municipal Council v The Attorney‑General (1954) 55 SR (NSW) 65 Latimer v Commissioner of Inland Revenue [2004] 3 NZLR 157 Lea v Mo-Mont Pacific [2016] NSWSC 809 Lewis v Tamplin [2018] EWHC 777 (Ch) Marley v Rawlings [2015] AC 129 McDonald v Ellis (2007) 72 NSWLR 605; [2007] NSWSC 1068 McGarvie Smith Institute v Campbelltown MC (1965) 11 LGRA 321 McNeill v Hearing & Balance [2007] NSWSC 942 McPhail v Doulton [1971] AC 424 Morice v Bishop of Durham (1804) 9 Ves Jun 399; 32 ER 656 Newell; Muriniti v De Costi [2018] NSWCA 49 O'Rourke v Darbishire [1920] AC 581 Palmer v Ayres (2017) 259 CLR 478; [2017] HCA 5 Perpetual Trustee Co Ltd v Wright (1987) 9 NSWLR 18 Radmanovich v Nedeljkovic [2001] NSWSC 492 Randall v Lubrano (Supreme Court (NSW), Holland J, 31 October 1975, unrep) Rauch v Maguire [2010] 2 NZLR 845 Re Dion Investments Pty Ltd (2014) 87 NSWLR 753; [2014] NSWCA 367 Re Estate Schwartz, Deceased; Application of Gellert; Gellert v Bentwood and Schwartz [2015] NSWSC 1484 Re Fairbairn [1967] VR 633 Re Hodgson; Nowell v Flannery [1936] 1 Ch 203 Re Lauer; Corby v Lyttleton [2017] VSC 728 Re Londonderry's Settlement [1965] Ch 918 Re Williams; Williams v Williams [1897] 2 Ch 12 Rinehart v Welker (2011) 93 NSWLR 311; [2011] NSWCA 403 Rouse v IOOF Australia Trustees Limited (1999) 73 SASR 484; [1999] SASC 181 Russo v Aiello (2003) 215 CLR 643; [2003] HCA 53 Schmidt v Rosewood Trust Ltd [2003] 2 AC 709; [2003] UKPC 26 Silkman v Shakespeare Haney Securities Ltd [2011] NSWSC 148 Spellson v George [1987] 11 NSWLR 300 Spellson v Janango Pty Ltd (Supreme Court (NSW), Hodgson J, 8 December 1987, unrep) Spotlight Stores Pty Ltd v Federal Commissioner of Taxation (2004) 55 ATR 745; [2004] FCA 650 Stamoulos v Constantinidis; Constantinidis v Constantinidis [2017] NSWSC 1808 Thompson v Federal Commissioner of Taxation (1959) 102 CLR 315 Towns v Wentworth [1858] 11 Moo PC 526; (1858) 14 ER 794 Trust Co (Nominees) Ltd v Banksia Securities Ltd (recs and mgrs apptd) (in liq) [2016] VSCA 324 Vegners v Federal Commissioner of Taxation (1991) 21 ATR 1347; (1991) 91 ATC 4213 Verge v Somerville [1924] AC 496 Viljoen v Hayes [2017] NSWSC 801 Youyang Pty Ltd v Minter Ellison Morris Fletcher (2003) 212 CLR 484; [2003] HCA 15 Texts Cited: I Hardingham and R Baxt, in Discretionary Trusts (2nd ed, 1984) J C Campbell, "Access by trust beneficiaries to trustees' documents information and reasons" (2009) 3 J Eq 97 J D Heydon and M J Leeming, Jacobs' Law of Trusts in Australia (LexisNexis, 8th ed, 2016) P Brereton, "A Trustee's Lot Is Not a Happy One", [2010] NSWJSchol 23 Category: Principal judgment Parties: Nicholas Delpratt Wright (Plaintiff) Beryl Joan Stevens (first Defendant) Attorney-General of New South Wales (second Defendant) Representation: Counsel: Ms P M Lane (Plaintiff) Mr P Blackburn-Hart SC and Mr S Fitzpatrick (first Defendant) Dr C Mantziaris and Ms K Boettcher (second Defendant)