Louise Lewis v Schon Gregory Condon as trustee of the bankrupt estate of Colleen Anne Rayhill (No 2) [2013] NSWSC 126

Louise Lewis v Schon Gregory Condon as trustee of the bankrupt estate of Colleen Anne Rayhill (No 2) [2013] NSWSC 126

The plaintiff, as a potential object of a discretionary trust, had no standing to bring proceedings against a third party to establish that the property was trust property. No exceptional circumstances were established, not all identifiable potential beneficiaries were before the Court, and no new trustee had been appointed to bring the claim. The proceedings were therefore dismissed for lack of standing.

Jurisdiction
Australia
Judgment Date
22 February 2013
Procedural Posture
Equity Division Proceedings Concerning Bankruptcy and Trust Property / Supplementary Judgment After Earlier Reasons, Determining Standing and Res Judicata Issues
Outcome
Proceedings dismissed on the basis that the plaintiff does not have standing to bring proceedings.
Legal Topics
['property Held by Trustee in Bankruptcy' 'discretionary Trust Beneficiaries' 'standing to Sue Third Parties' 'appointor Incapacity Due to Bankruptcy' 'res Judicata' 'privity']
['bankruptcy' 'equity' 'trusts' 'estoppel'] ['property Held by Trustee in Bankruptcy' 'discretionary Trust Beneficiaries' 'standing to Sue Third Parties' 'appointor Incapacity Due to Bankruptcy' 'res Judicata' 'privity']

Case Brief

Summary, issues, holding and outcome

More case intelligence is available

Unlock the full research layer for this judgment.

Full judgment text Downloadable case file Legal principles 1 Authorities cited 2 Party arguments 2 Amounts and remedies 1
Sign in to unlock

Procedural Posture

Equity Division Proceedings Concerning Bankruptcy and Trust Property / Supplementary Judgment After Earlier Reasons, Determining Standing and Res Judicata Issues

Legal Issues

  1. 1 ['Who is the current trustee of the trust' 'Whether Mrs Lewis ceased to be the Appointor by reason of bankruptcy' 'Whether a potential beneficiary under a discretionary trust has standing to bring proceedings against a third party' 'Whether the declaration made by Nicholas J gives rise to a res judicata against Robana and the plaintiff' 'Whether Robana was a privy of the plaintiff' 'Whether Mr Condon was estopped from asserting res judicata']

Ratio Decidendi

The plaintiff, as a potential object of a discretionary trust, had no standing to bring proceedings against a third party to establish that the property was trust property. No exceptional circumstances were established, not all identifiable potential beneficiaries were before the Court, and no new trustee had been appointed to bring the claim. The proceedings were therefore dismissed for lack of standing.

Court Disposition

Proceedings dismissed on the basis that the plaintiff does not have standing to bring proceedings.

Orders

  • ['Proceedings dismissed on the basis that the plaintiff does not have standing to bring proceedings' 'The parties to be heard on the issue of costs']