Re Perpetual Trustee Company Limited [2010] NSWSC 1403

Re Perpetual Trustee Company Limited [2010] NSWSC 1403

It was appropriate to give the advice because the proposed settlement compromised a claim concerning trust property, Perpetual had obtained legal advice supporting the reasonableness of settlement, there were significant litigation risks, possible inconsistent judgments, costs and delay, and the master trust deed empowered Perpetual to rely on legal advice, compromise claims and act without consulting noteholders. Orders under s 71 were justified because the proceeding was non-adversarial, disclosure created a real risk the settlement would not proceed and would prejudice bondholders, and the restrictions were temporary.

Jurisdiction
Australia
Judgment Date
24 November 2010
Procedural Posture
Application for Judicial Advice Under S 63 of the Trustee Act 1925 (nsw) / Judicial Advice Given and Reasons for Orders Under S 71 of the Civil Procedure Act 2005 (nsw)
Outcome
Judicial advice given; orders made under s 71 of the Civil Procedure Act 2005 (NSW).
Legal Topics
['judicial Advice to Trustee' 'trust Administration' 'settlement of Trust Property Claim' 'anti Deprivation Rule' 'confidentiality and Closed Court Orders']
['equity' 'trusts' 'civil Procedure'] ['judicial Advice to Trustee' 'trust Administration' 'settlement of Trust Property Claim' 'anti Deprivation Rule' 'confidentiality and Closed Court Orders']

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 1 Amounts and remedies 1
Sign in to unlock

Procedural Posture

Application for Judicial Advice Under S 63 of the Trustee Act 1925 (nsw) / Judicial Advice Given and Reasons for Orders Under S 71 of the Civil Procedure Act 2005 (nsw)

Legal Issues

  1. 1 ['Whether it was appropriate to give judicial advice that it was reasonable for Perpetual to be bound by and perform the proposed settlement agreement.' 'Whether Perpetual could act on legal advice and settle without consulting noteholders under the master trust deed.' 'Whether orders should be made under s 71 of the Civil Procedure Act 2005 (NSW) for the proceedings to be conducted in the absence of the public and for documents not to be accessed before 18 May 2011.']

Ratio Decidendi

It was appropriate to give the advice because the proposed settlement compromised a claim concerning trust property, Perpetual had obtained legal advice supporting the reasonableness of settlement, there were significant litigation risks, possible inconsistent judgments, costs and delay, and the master trust deed empowered Perpetual to rely on legal advice, compromise claims and act without consulting noteholders. Orders under s 71 were justified because the proceeding was non-adversarial, disclosure created a real risk the settlement would not proceed and would prejudice bondholders, and the restrictions were temporary.

Court Disposition

Judicial advice given; orders made under s 71 of the Civil Procedure Act 2005 (NSW).

Orders

  • ['Perpetual was advised that it was reasonable to be bound by and perform the proposed Termination and Settlement Deed and Settlement Payment Deed.' 'The business of the court in relation to the proceedings was ordered to be conducted in the absence of the public.' 'All documents filed in the proceedings or produced...