Mary Alice Hughes by her Tutor NSW Trustee & Guardian v Hughes [2011] NSWSC 729

Mary Alice Hughes by her Tutor NSW Trustee & Guardian v Hughes [2011] NSWSC 729

Dr Hughes, as attorney, was entrusted with authority under a power of attorney to deal with his mother's property, but failed to account for or pay over the proceeds of sale apart from a partial payment, constituting a breach of fiduciary duty. He holds the proceeds on trust for the plaintiff, entitling her to judgment for the unpaid sum.

Parties
Plaintiff: Mary Alice Hughes; Defendant: Anthony Thomas Hughes
Jurisdiction
Australia
Judgment Date
01 July 2011
Procedural Posture
Principal Judgment / Ex Tempore Judgment Following Non Appearance of Defendant at Trial
Outcome
Judgment for the plaintiff.
Legal Topics
Principal and Agent, Power of Attorney, Fiduciary Duty, Proceeds of Sale, Trusts
Equity Contracts Principal and Agent Power of Attorney Fiduciary Duty Proceeds of Sale Trusts

Case Brief

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Parties

Mary Alice Hughes

Plaintiff

Anthony Thomas Hughes

Defendant

Procedural Posture

Principal Judgment / Ex Tempore Judgment Following Non Appearance of Defendant at Trial

Legal Issues

  1. 1 Whether Dr Hughes, as attorney, is accountable to the plaintiff for the proceeds of sale of her property under a power of attorney.
  2. 2 Whether Dr Hughes acted in breach of his fiduciary duty under the power of attorney.

Ratio Decidendi

Dr Hughes, as attorney, was entrusted with authority under a power of attorney to deal with his mother's property, but failed to account for or pay over the proceeds of sale apart from a partial payment, constituting a breach of fiduciary duty. He holds the proceeds on trust for the plaintiff, entitling her to judgment for the unpaid sum.

Court Disposition

Judgment for the plaintiff.

Orders

  • Declaration that the defendant holds $293,510.14 on trust for the plaintiff.
  • The defendant must pay the plaintiff $293,510.14.