St John v St John [2021] NSWSC 399

St John v St John [2021] NSWSC 399

Annie Mary St John's letter of 21 December 2017 manifested an immediate intention to relinquish her interest in maintenance payments from the estate and was a valid surrender, thereby accelerating and vesting the children's remainder interests. The s 81(1) application fell away because Bhakti Manning was not refusing to accept her legacy. Judicial advice was unnecessary: the executors had power to appropriate the Mullaway property without Bhakti's consent, provided equality and practical matters such as tax, valuation and costs were addressed, and they also had power to decide what interim distribution or retention was appropriate. As between the executors and Bhakti, the executors failed...

Jurisdiction
Australia
Judgment Date
20 April 2021
Procedural Posture
Succession Administration Proceedings Seeking Judicial Advice and Other Orders Concerning Administration of an Estate / Principal Judgment After Hearing of Summons in the Equity Jurisdiction
Outcome
Declaration made; proceedings otherwise dismissed; plaintiffs ordered to pay the second defendant's costs of the proceedings.
Legal Topics
['administration Proceedings' 'judicial Advice' 'surrender or Disclaimer of Testamentary Interest' 'appropriation of Estate Property' 'interim Distribution of Residue' 'executor Indemnity and Inter Partes Costs']
['succession' 'trusts and Equity' 'costs'] ['administration Proceedings' 'judicial Advice' 'surrender or Disclaimer of Testamentary Interest' 'appropriation of Estate Property' 'interim Distribution of Residue' 'executor Indemnity and Inter Partes Costs']

Case Brief

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Procedural Posture

Succession Administration Proceedings Seeking Judicial Advice and Other Orders Concerning Administration of an Estate / Principal Judgment After Hearing of Summons in the Equity Jurisdiction

Legal Issues

  1. 1 ["Whether Annie Mary St John's letter dated 21 December 2017 was a valid and effective surrender of her interest in the estate and accelerated the remainder interests of the children." 'Whether an order under Trustee Act 1925 (NSW), s 81(1) should be made permitting establishment of a trust for Bhakti Manning if she refused to accept payment of residue.' 'Whether judicial advice under Trustee Act 1925 (NSW), s 63 should be given that the executors would be justified in appropriating the Mullaway property to Rosemary Anne St John, Richard Baldwin St John and Jill St John with an adjustment for Bhakti Manning.' 'Whether judicial advice should be given that the executors would be justified in retaining a fund to meet potential claims by Bhakti Manning concerning administration of the estate.' "Whether the executors should pay Bhakti Manning's costs inter partes."]

Ratio Decidendi

Annie Mary St John's letter of 21 December 2017 manifested an immediate intention to relinquish her interest in maintenance payments from the estate and was a valid surrender, thereby accelerating and vesting the children's remainder interests. The s 81(1) application fell away because Bhakti Manning was not refusing to accept her legacy. Judicial advice was unnecessary: the executors had power to appropriate the Mullaway property without Bhakti's consent, provided equality and practical matters such as tax, valuation and costs were addressed, and they also had power to decide what interim distribution or retention was appropriate. As between the executors and Bhakti, the executors failed...

Court Disposition

Declaration made; proceedings otherwise dismissed; plaintiffs ordered to pay the second defendant's costs of the proceedings.

Orders

  • ["Declare that by executing the instrument dated 21 December 2017 which is referred to in [18] of the Court's reasons for judgment, the first defendant effected an immediate surrender of her interest in the estate and a vesting of the remainder interests in the beneficiaries entitled thereto." 'Order that the...