In the matter of Hercules Car Parking Systems (Victoria) Pty Ltd [2018] NSWSC 409

In the matter of Hercules Car Parking Systems (Victoria) Pty Ltd [2018] NSWSC 409

Because Hercules Car Parking Systems (Victoria) Pty Ltd was removed as trustee upon liquidation, no replacement trustee appeared to have been appointed, and the company's former trustee right of indemnity against trust assets survived its removal, the liquidator was appointed without security as receiver and manager of the assets and undertaking of the Hercules Car Parking Systems Unit Trust to enforce that indemnity, with distributions to creditors or beneficiaries requiring further direction of the Court except for the specified release to Element Five Pty Limited.

Jurisdiction
Australia
Judgment Date
05 March 2018
Procedural Posture
Corporations Winding Up Application by Liquidator of Former Trustee Company for Appointment as Receiver and Manager of Trust Assets / Ex Tempore Principal Judgment and Orders
Outcome
Liquidator appointed without security as receiver and manager of the assets and undertaking of the Hercules Car Parking Systems Unit Trust, with powers under (CTH) Corporations Act 2001 ss 477(2) and 506(1), subject to restrictions on distribution and with liberty and leave reserved as ordered.
Legal Topics
['winding Up' 'liquidators' "trustee Company's Right of Indemnity" 'appointment of Receiver and Manager' 'trust Assets']
['corporations' 'trusts' 'equity'] ['winding Up' 'liquidators' "trustee Company's Right of Indemnity" 'appointment of Receiver and Manager' 'trust Assets']

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Procedural Posture

Corporations Winding Up Application by Liquidator of Former Trustee Company for Appointment as Receiver and Manager of Trust Assets / Ex Tempore Principal Judgment and Orders

Legal Issues

  1. 1 ["Whether the liquidator of a company formerly trustee of a unit trust should be appointed receiver and manager of the trust assets to enforce the company's right of indemnity after the company was removed as trustee on liquidation." 'Whether the receiver should be permitted to distribute proceeds of realisation of trust assets to creditors or beneficiaries without further direction of the Court.' 'Whether the receiver may release specified car park systems components to Element Five Pty Limited upon terms negotiated by the receiver.']

Ratio Decidendi

Because Hercules Car Parking Systems (Victoria) Pty Ltd was removed as trustee upon liquidation, no replacement trustee appeared to have been appointed, and the company's former trustee right of indemnity against trust assets survived its removal, the liquidator was appointed without security as receiver and manager of the assets and undertaking of the Hercules Car Parking Systems Unit Trust to enforce that indemnity, with distributions to creditors or beneficiaries requiring further direction of the Court except for the specified release to Element Five Pty Limited.

Court Disposition

Liquidator appointed without security as receiver and manager of the assets and undertaking of the Hercules Car Parking Systems Unit Trust, with powers under (CTH) Corporations Act 2001 ss 477(2) and 506(1), subject to restrictions on distribution and with liberty and leave reserved as ordered.

Orders

  • ['Christopher John Palmer of Suite 1 Level 9/66 Clarence Street, Sydney, New South Wales, be appointed without security as receiver and manager (the receiver) of the assets and undertaking of the Hercules Car Parking Systems Unit Trust ABN 279 667 419 45.' 'The receiver has in respect of the trust property the...