Hewitt v McClymont [2024] NSWSC 715

Hewitt v McClymont [2024] NSWSC 715

The defendant, having not responded to proceedings, failed to explain or defend apparent misappropriations of trust funds and asset disposal. The risk to enforcement of any judgment was established, warranting removal as trustee and a freezing order limited to the quantum of unexplained withdrawals plus assessed legal costs.

Parties
Plaintiff: Geoffrey Hewitt; Defendant: Scott Fain McClymont
Jurisdiction
Australia
Judgment Date
11 June 2024
Procedural Posture
Application for Summary Judgment and Interlocutory Relief / Final Orders After Hearing; Ex Tempore Judgment
Outcome
Plaintiff's application granted; defendant removed as trustee; freezing order made for $810,000.
Legal Topics
Mareva/freezing Order, Trustee Removal, Unexplained Withdrawal of Trust Funds
Equity Mareva/freezing Order Trustee Removal Unexplained Withdrawal of Trust Funds

Case Brief

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Parties

Geoffrey Hewitt

Plaintiff

Scott Fain McClymont

Defendant

Procedural Posture

Application for Summary Judgment and Interlocutory Relief / Final Orders After Hearing; Ex Tempore Judgment

Legal Issues

  1. 1 Whether the defendant should be removed as trustee of the Geoffrey Hewitt Super Fund
  2. 2 Whether a freezing order should be granted and in what amount

Ratio Decidendi

The defendant, having not responded to proceedings, failed to explain or defend apparent misappropriations of trust funds and asset disposal. The risk to enforcement of any judgment was established, warranting removal as trustee and a freezing order limited to the quantum of unexplained withdrawals plus assessed legal costs.

Court Disposition

Plaintiff's application granted; defendant removed as trustee; freezing order made for $810,000.

Orders

  • Defendant Scott McClymont removed as trustee of the Geoffrey Hewitt Super Fund.
  • Anne Hewitt appointed as replacement trustee.