Free Serbian Orthodox Church Diocese for Australia and New Zealand Property Trust v Bishop Irinej Dobrijevic (No 3) [2017] NSWCA 109

Free Serbian Orthodox Church Diocese for Australia and New Zealand Property Trust v Bishop Irinej Dobrijevic (No 3) [2017] NSWCA 109

The Property Trust Company was not entitled to indemnification from trust property for its appeal costs as its conduct was unreasonable, particularly in not seeking judicial advice before appeal and mishandling procedural matters. Individual appellants must pay respondents' costs up to 12 April 2016 due to not withdrawing as parties after abandoning particular grounds. Indemnity costs are ordered against the Property Trust Company for costs relating to written submissions and the application to amend the notice of appeal, due to conduct that made the appeal process unnecessarily burdensome.

Parties
First Appellant: Free Serbian Orthodox Church Diocese for Australia and New Zealand Property Trust; Second Appellant: Branko Rupar; Third Appellant: Ratomir Nesic; Fourth Appellant: Ilija Cubrilo; Fifth Appellant: Petar Mandic; First Respondent: Bishop Irinej Dobrijevic; Second Respondent: Serbian Orthodox Church in Australia and New Zealand Properties Ltd; Third Respondent: Attorney General for the State of New South Wales
Jurisdiction
Australia
Judgment Date
25 May 2017
Procedural Posture
Appeal / Costs Determination Following Dismissal of Substantive Appeal
Outcome
Orders for costs and indemnification: appeal dismissed, and specific costs orders made against appellants.
Legal Topics
Trustee Indemnification, Costs, Charitable Trust Management, Appeal Procedure, Indemnity Costs

Case Brief

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Parties

Free Serbian Orthodox Church Diocese for Australia and New Zealand Property Trust

First Appellant

Branko Rupar

Second Appellant

Ratomir Nesic

Third Appellant

Ilija Cubrilo

Fourth Appellant

Petar Mandic

Fifth Appellant

Bishop Irinej Dobrijevic

First Respondent

Serbian Orthodox Church in Australia and New Zealand Properties Ltd

Second Respondent

Attorney General for the State of New South Wales

Third Respondent

Procedural Posture

Appeal / Costs Determination Following Dismissal of Substantive Appeal

  1. 1 Should the Property Trust Company be indemnified from the trust property for its own costs or any costs it is ordered to pay?
  2. 2 Should the individual appellants pay the first and second respondents' costs of the appeal?
  3. 3 On what basis should any costs order be made, including indemnity costs?

Ratio Decidendi

The Property Trust Company was not entitled to indemnification from trust property for its appeal costs as its conduct was unreasonable, particularly in not seeking judicial advice before appeal and mishandling procedural matters. Individual appellants must pay respondents' costs up to 12 April 2016 due to not withdrawing as parties after abandoning particular grounds. Indemnity costs are ordered against the Property Trust Company for costs relating to written submissions and the application to amend the notice of appeal, due to conduct that made the appeal process unnecessarily burdensome.

Court Disposition

Orders for costs and indemnification: appeal dismissed, and specific costs orders made against appellants.

Orders

  • Property Trust Company not entitled to have any costs of appeal paid from trust property; no indemnification from trust fund for appeal costs or costs ordered to pay respondents.
  • Individual appellants pay first and second respondents' costs of appeal up to and including 12 April 2016.