Hickman Estate [2009] JRC 049 (19 March 2009)
- Citation
- [2009] JRC 049
- Status
- Judgment
- Jurisdiction
- Jersey
- Posture
- Representation (estate Administration) / Post Mortem Estate Administration; Application for Moratorium and Undertakings
More details
- Posture
- Representation (estate Administration) / Post Mortem Estate Administration; Application for Moratorium and Undertakings
On this page
Professional case brief
Research organized from the available case record
01
Holding and result
The court imposed a moratorium on proceedings against the immoveable estate based on irrevocable undertakings by the tuteur, life tenant, and principal heir to sell the property, hold proceeds to the court's order, and waive prescription, thereby ensuring fair and equal treatment of creditor claims and avoiding multiplicity of actions.
Court disposition
Moratorium on institution, prosecution, and enforcement of proceedings in respect of the immoveable estate imposed; undertakings by interested parties accepted.
Orders
- Moratorium on proceedings against the immoveable estate of Duncan Hickman imposed.
- Undertakings by tuteur, life tenant, and principal heir to sell property and hold proceeds to court's order accepted.
- Liberty to apply granted to known and unascertained creditors.
02
Material facts
Parties
David Fisher Le Quesne (as Tuteur of Sebastian Hickman)
ApplicantGillian Mary Hickman (life tenant)
Interested PartyDeborah Jane Hemaya (principal heir)
Interested PartyKnown creditors (named respondents)
RespondentAmounts and remedies
- Total Creditor Claims Against Moveable Estate: GBP 7,048,801.42
- Assets in Moveable Estate: GBP 1,695,000
- Value of Immoveable Property (4 Le Champs Des Arbres): GBP 1,000,000
03
Procedural history
Posture
Representation (estate Administration) / Post Mortem Estate Administration; Application for Moratorium and Undertakings
04
Questions and positions
Legal issues
- 01
Whether the court should impose a moratorium on proceedings against the immoveable estate of the deceased
- 02
Whether undertakings by interested parties can regulate creditor claims and avoid multiplicity of actions
- 03
Interpretation of Article 3 of the Loi (1862) relative au partage d'héritages regarding creditor claims
Party arguments
- Applicant
- The tuteur, life tenant, and principal heir recognized the likelihood of creditor claims against the immoveable estate and offered undertakings to facilitate sale and fair distribution, seeking a moratorium to avoid multiple actions and ensure equality among creditors.
- Respondent
- The known creditors were notified and did not oppose the form of the undertaking, recognizing that the proposed process would avoid unnecessary costs and ensure fair treatment of claims.
05
Court’s reasoning
Legal principles
- 01
Loi (1862) relative au partage d'héritages
Article 3 of the Loi (1862) relative au partage d'héritages requires creditors to issue proceedings against the heir within a year and a day of death to preserve security over immoveable estate.
- 02
[2009] JRC 040
The court has inherent jurisdiction to regulate claims against the immoveable estate by imposing a moratorium based on undertakings from interested parties.
06
Ratio, limits and disposition
Ratio decidendi
The court imposed a moratorium on proceedings against the immoveable estate based on irrevocable undertakings by the tuteur, life tenant, and principal heir to sell the property, hold proceeds to the court's order, and waive prescription, thereby ensuring fair and equal treatment of creditor claims and avoiding multiplicity of actions.
Obiter and limits
- There appears to be no authority on whether Article 3 requires final determination of claims within a year and a day, but counsel's view is that issuing proceedings suffices.
- The court's inherent jurisdiction allows regulation of claims to prevent multiplicity and ensure fairness, even absent express argument.
Court disposition
Moratorium on institution, prosecution, and enforcement of proceedings in respect of the immoveable estate imposed; undertakings by interested parties accepted.
- Moratorium on proceedings against the immoveable estate of Duncan Hickman imposed.
- Undertakings by tuteur, life tenant, and principal heir to sell property and hold proceeds to court's order accepted.
- Liberty to apply granted to known and unascertained creditors.
Source and reliance status
Official court record
This page organises the available record for research. Confirm quotations, current status, and subsequent treatment against the official source before relying on the case.
Judgment reading view
Judgment text
The complete available source text.
Court record
Judgment
judgment the commissioner 1. On 9 th March 2009, the Court imposed a moratorium on the institution, prosecution and/or enforcement of proceedings in respect of the immoveable estate of the late Duncan Philip Sebastian Hickman ("Mr Hickman").
2. Following the Court's approval of a procedure to enable the executor of the moveable estate of Mr Hickman to deal with competing claims of the creditors ( [2009] JRC 040 ), Mr Le Quesne, as tuteur of Sebastian Peter Philip Hickman, brought his own representation in relation to the immoveable estate of Mr Hickman.
3. As recited in that judgment, there are currently claims totalling £7,048,801.42 against the moveable estate which has assets of some £1,695,000 to meet those claims.
4. Mr Hickman owned 4 Le Champs des Arbres, in the parish of St Lawrence ("the property") and by his last will in relation to his immoveable estate, he devised the life interest to his widow Gillian Mary Hickman and the reversion to his son, Sebastian Peter Philip Hickman. His principal heir at law is his sister, Deborah Jane Hemaya. The will was registered on 24 th June 2008. The property has been valued at approximately £1m.
5. As the moveable estate is insolvent, the creditors will wish to have recourse to the immoveable estate. Article 3 of the Loi (1862) relative au partage d'héritages provides as follows:- "Celui qui aura une créance ou autre réclamation vers la succession d'une personne décédée laissant des héritages, et dont la créance ou réclamation n'aura pas été poursuivie vers le défunt et l'Acte de la Cour Royale enregistré dans le Livre des Obligations, devra, afin de conserver une garantie sur les héritages appartenant audit défunt, faire, dans l'an et jour de la mort de son débiteur, sa réclamation juridique vers l'héritier et faire enregistrer l'Acte de la Cour Royale dans le Livre des Obligations, sous peine d'être évincé de sa garantie sur les héritages de ladite succession, et que sa créance soit considérée comme une simple dette vers les héritiers." 6. The period of a year and a day from the date of Mr Hickman's death expires on 3 rd May 2009. Whilst there appears to be no authority on the point, it was the view of counsel (expressed in the proceedings brought by the executor) that what is required under Article 3 is the issuing of proceedings against the heir before the expiration of a year and a day, not that such proceedings must be finally determined by then. It would not be feasible for unliquidated claims which were contested to be finally determined within that period.
7. The tuteur, life tenant and principal heir recognized the likelihood of the creditors wishing to have recourse to the immoveable estate to meet any deficiency in the moveable estate and in order to avoid a multiplicity of actions against them before 3 rd May 2009, offered undertakings to the Court in consideration of the Court imposing a moratorium on the bringing of such claims. The undertaking of the tuteur (given with the consent of his electeurs and two Jurats) is in the following terms (those of the life tenant and principal heir being in similar terms):- "I DAVID FISHER LE QUESNE, as Tuteur of SEBASTIAN HICKMAN, undertake the following: 1. I will use my best endeavours to sell the property. Should I fail to sell the property within what I regard as a reasonable time or for what I regard as a reasonable consideration, I shall refer the matter to the court.
2. I shall hold the property and/or all proceeds from the sale of the property after payment of court fees/stamps and reasonable estate agent and conveyancing fees: (1) to the order of the court; (2) to satisfy: (a) any court order for the payment of costs; and (b) any deficit of the movable estate of Duncan Hickman in accordance with the procedure described in Schedule 3 of the act of court dated 29 January 2009 (or as it may be amended); 3. Subject to any court order to the contrary, I waive Sebastian Hickman's right to plead prescription in relation to any creditor who wishes to institute proceedings against him in relation to the immovable estate of Duncan Hickman.
4. These undertakings are irrevocable save to the extent that they may be changed by order of the court." 8. The known creditors who are named as respondents to the representation have been notified of the representation and the form of the undertaking has either been agreed or not opposed. Clearly it is in the interest of all of the creditors that the cost of their bringing individual claims against the heir should be avoided and that their claims against the immoveable estate should be dealt with in a manner which is fair and which will ensure equality between them, subject to those claims which have preference in law. That is achieved through the undertaking which will bring about the sale of the immovable estate and the application of the net proceeds of sale to the moveable estate to the extent necessary to meet any deficiency therein.
9. Although the matter was not the subject of argument before the Court, we were satisfied that the Court had the inherent jurisdiction to regulate claims against those interested in the immoveable estate of Mr Hickman by imposing a moratorium and this on the basis of the undertakings given by those interested in the immoveable estate to the Court for the benefit of the creditors. By so doing, the Court prevents a multiplicity of claims and ensures both fairness and equality of treatment. We granted liberty to apply both to the known creditors (who are respondents to the representation) and to unascertained creditors. Authorities Hickman Estate [2009] JRC 040 . Loi (1862) relative au partage d'héritages. Page Last Updated: 14 Feb 2017 BAILII: Copyright Policy | Disclaimers | Privacy Policy | Feedback | Donate to BAILII
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