Re Robinson, W.I. v Ex parte Bray, C.C. & Ors [1995] FCA 134

Re Robinson, W.I. v Ex parte Bray, C.C. & Ors [1995] FCA 134

The court found no agreement for sale and no credible evidence of consideration; the transfers to the applicant were settlements for no consideration and void against the trustee. Applicant is liable to pay the trustee the $35,200 value realised from later sales of the properties.

Parties
Applicant/respondent: Celia Crews Bray; First Respondent/applicant (trustee): Charles Philippe Louis Nilant; Second Respondent (official Receiver): John Francis Sherwood
Jurisdiction
Australia
Judgment Date
08 February 1995
Procedural Posture
Bankruptcy / Judgment After Hearing of Applications to Set Aside/ Enforce S 139 ZQ Notice
Outcome
Mrs Bray's application to set aside the notice under s 139ZQ dismissed; trustee's application to enforce notice allowed; Mrs Bray to pay the trustee's costs.
Legal Topics
Transfers Void Against Trustee, S 120 Bankruptcy Act, Value of Property Received, Consideration in Property Transfers
Bankruptcy Transfers Void Against Trustee S 120 Bankruptcy Act Value of Property Received Consideration in Property Transfers

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Parties

Celia Crews Bray

Applicant/respondent

Charles Philippe Louis Nilant

First Respondent/applicant (trustee)

John Francis Sherwood

Second Respondent (official Receiver)

Procedural Posture

Bankruptcy / Judgment After Hearing of Applications to Set Aside/ Enforce S 139 ZQ Notice

Legal Issues

  1. 1 Whether transfers of land by the bankrupt to his mother were for consideration or were settlements void against the trustee under s 120(1) of the Bankruptcy Act
  2. 2 What value should be used for the property for purposes of a s 139ZQ notice

Ratio Decidendi

The court found no agreement for sale and no credible evidence of consideration; the transfers to the applicant were settlements for no consideration and void against the trustee. Applicant is liable to pay the trustee the $35,200 value realised from later sales of the properties.

Court Disposition

Mrs Bray's application to set aside the notice under s 139ZQ dismissed; trustee's application to enforce notice allowed; Mrs Bray to pay the trustee's costs.

Orders

  • Application of Mrs Bray to set aside notice under section 139ZQ dismissed
  • Application of the trustee to enforce the notice allowed