HATWELL v HATWELL [2018] NZHC 3064

HATWELL v HATWELL [2018] NZHC 3064

Because the former trustee was demonstrably incapacitated within the meaning of the Act, final beneficiaries consented, an independent trustee remained to protect interests, and the incapacity prevented execution of transfer documents, the Court had jurisdiction under s 52(1)(b)(i) Trustee Act 1956 and was justified in dispensing with service and making vesting orders to record the current trustees as registered proprietors; the Registrar-General was authorised to record the transfers and costs were payable from trust assets.

Citation
[2018] NZHC 3064
Parties
Plaintiff Current Trustee of the Southern Trust: John Leonard Hatwell; Plaintiff Current Trustee of the Southern Trust: Hobbs Rose Trustee Company Limited; Defendant Former Trustee of the Southern Trust: Joyce Evelyn Hatwell; Defendant Former Trustee of the Southern Trust: John Leonard Hatwell; Defendant Former Trustee of the Southern Trust: Hobbs Rose Trustee Company Limited
Court
High Court
Jurisdiction
New Zealand
Judgment Date
23 November 2018
Procedural Posture
Application for Vesting Orders Under the Trustee Act 1956 / Judgment on the Papers (application Under Part 18 High Court Rules)
Outcome
Application granted. Service dispensed with; vesting orders made in favour of the plaintiffs (John Leonard Hatwell and Hobbs Rose Trustee Company Limited) over specified Te Awamutu properties; Registrar-General of Land authorised to record transfers; reasonable costs to be met from Southern Trust assets.
Legal Topics
Vesting Orders, Trustee Removal, Service Dispensation, Capacity/incapacity, High Court Rules Part 18, Trustee Act 1956 S 52

Case Brief

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Parties

John Leonard Hatwell

Plaintiff Current Trustee of the Southern Trust

Hobbs Rose Trustee Company Limited

Plaintiff Current Trustee of the Southern Trust

Joyce Evelyn Hatwell

Defendant Former Trustee of the Southern Trust

John Leonard Hatwell

Defendant Former Trustee of the Southern Trust

Hobbs Rose Trustee Company Limited

Defendant Former Trustee of the Southern Trust

Procedural Posture

Application for Vesting Orders Under the Trustee Act 1956 / Judgment on the Papers (application Under Part 18 High Court Rules)

  1. 1 Whether service of the proceedings could be dispensed with under High Court Rules Part 18
  2. 2 Whether the jurisdictional requirements of s 52(1)(b)(i) Trustee Act 1956 were met
  3. 3 Whether vesting orders were necessary and appropriate given a trustee's incapacity and inability to execute documents

Ratio Decidendi

Because the former trustee was demonstrably incapacitated within the meaning of the Act, final beneficiaries consented, an independent trustee remained to protect interests, and the incapacity prevented execution of transfer documents, the Court had jurisdiction under s 52(1)(b)(i) Trustee Act 1956 and was justified in dispensing with service and making vesting orders to record the current trustees as registered proprietors; the Registrar-General was authorised to record the transfers and costs were payable from trust assets.

Court Disposition

Application granted. Service dispensed with; vesting orders made in favour of the plaintiffs (John Leonard Hatwell and Hobbs Rose Trustee Company Limited) over specified Te Awamutu properties; Registrar-General of Land authorised to record transfers; reasonable costs to be met from Southern Trust assets.

Orders

  • Service of the proceedings is dispensed with as to any party.
  • Vesting in the plaintiffs John Leonard Hatwell and Hobbs Rose Trustee Company Limited as trustees of the Southern Trust of the right title and interest of the defendants Joyce Evelyn Hatwell, John Leonard Hatwell and Hobbs Rose Trustee Company Limited in the following properties: Identifier SA60A/63 (Lot 2 DP 64936...