FARQUHAR v NUNNS [2013] NZHC 1670

FARQUHAR v NUNNS [2013] NZHC 1670

The Court dismissed the removal application because the evidence did not establish misconduct, illegitimate hostility or real risk that the administrators' continuation would prevent proper execution of the estate; the deceased's choice of executors must be respected; the 'expedience' threshold was not met and any...

Source-derived case information.

Citation
[2013] NZHC 1670
Parties
Plaintiff: Helen Margaret Farquhar; First Defendants: Vikki Jane Nunns and Holly Rebecca Clarke (as trustees and executors of the estate of Roger Gordon Clarke); Second Defendant: Shirley Florence Jeffery
Court
High Court
Jurisdiction
New Zealand
Judgment Date
3 July 2013
Procedural Posture
Proceedings Under Family Protection Act 1955 and Law Reform (testamentary Promises) Act 1949 Including Related Equitable and Property (relationships) Act Claims / Summary Application to Remove Executors and Trustees (hearing and Judgment)
Outcome
Application to remove Ms Nunns and Ms Clarke as executors and trustees dismissed
Legal Topics
Removal of Executors and Trustees, Conflict of Interest Between Fiduciary Duties and Beneficiary Interests, Family Protection Act Claims, Testamentary Promises, Constructive/resulting Trust, Case Management and Jurisdictional Transfer
Succession Trusts and Trustees Family Law Equity Civil Procedure Removal of Executors and Trustees Conflict of Interest Between Fiduciary Duties and Beneficiary Interests Family Protection Act Claims +3 more

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Parties

Helen Margaret Farquhar

Plaintiff

Vikki Jane Nunns and Holly Rebecca Clarke (as trustees and executors of the estate of Roger Gordon Clarke)

First Defendants

Shirley Florence Jeffery

Second Defendant

Procedural Posture

Proceedings Under Family Protection Act 1955 and Law Reform (testamentary Promises) Act 1949 Including Related Equitable and Property (relationships) Act Claims / Summary Application to Remove Executors and Trustees (hearing and Judgment)

  1. 1 Whether it is expedient to remove executors/trustees who are also principal beneficiaries due to alleged conflict of interest and partiality
  2. 2 Whether alleged hostility or conduct of administrators prejudices beneficiaries or amounts to misconduct warranting removal
  3. 3 Application of the 'expedience' test under Administration Act 1969 s21 and Trustee Act 1956 s51

Ratio Decidendi

The Court dismissed the removal application because the evidence did not establish misconduct, illegitimate hostility or real risk that the administrators' continuation would prevent proper execution of the estate; the deceased's choice of executors must be respected; the 'expedience' threshold was not met and any unfounded conduct can be addressed by costs orders at the substantive hearing.

Court Disposition

Application to remove Ms Nunns and Ms Clarke as executors and trustees dismissed

Orders

  • Application to remove administrators dismissed
  • Questions of costs reserved to the trial Judge