Coffee and a Case Note

James d'Apice

I’m Australian lawyer, James d’Apice. Coffee and a Case Note began as a video series where I sip a coffee and chat about recent legal cases. This is the audio version! I hope it brings you value.

  1. May 22

    Warren v Whittaker [2026] NSWSC 470

    “Who pays the legal fees for the property sale and the partnership windup?”___A recent, short decision concerned a s 66G application for the sale of a property and a winding up of the partnership that owned it: [2]In 1991 the partnership was formed between a sibling, some companies, and the deceased. The parties to the proceedings were the partners and some of the deceased’s children: [3]In 2022 the deceased died.At the time of the hearing, the deceased’s stake in the property was held by the deceased’s executors: [4]An accusation of “foot-dragging” on the part of the Ds coloured the Ps’ approach: [8]The Ps commenced proceedings seeking the appointment of s 66G trustees and for the winding up of the partnership: [2]The parties reached agreement that the orders sought ought to be made: [5]Unresolved was the question of legal costs: [6]The Ps took the view that the Ds’ foot-dragging conduct was unreasonable, thereby inviting the litigation. Based on this – the Ps said – the Ps should have their costs from residue but the Ds should not: [8]The Ds said the normal position ought to be maintained, that their conduct did not warrant a departure from it (noting the negotiations engaged in over the course of the matter): [9]The Court considered the usual position as to costs in a s 66G application and a partnership dissolution – absent an alternative order the parties’ costs be paid from residue: [10] – [12]Having considered the evidence tendered by both parties detailing their interactions over the course of years the Court was not satisfied that the usual costs order ought to be departed from: [14]Following some argument about a suggestion that proceeds ought to be paid into a controlled monies account, the Court ordered that the proceeds ought to be paid into Court: [16] – [21]___If you made it this far please consider giving my firm Gravamen a follow on your favourite platform! www.gravamen.com.au

    6 min
  2. Apr 14

    Deemhire Pty Limited [2026] NSWSC 318

    “The appointor is dead. Long live the appointor!” ___ G was born in 1923 and died in 2011. Before death G enjoyed business success and made a succession plan: [5] G had 4 children and a number of grandchildren: [15] – [20] The trust was settled by deed in 1986 with G appointor and settlor. P was (and remained) the trustee: [44] and [48] The property of the trust was real property of some value and some publicly traded shares: [76] G’s plan included a trust with unusual aspects, and without clear reasons: [9] The structure was odd: (i) the trust’s terms caused the range of benefs to be reduced on G’s death; (ii) G’s role as appointor had no path for a successor on G’s death; and (iii) G failed to let their family and advisers know their reasons for this approach: [7] P came to Court in 2025 seeking amendments to the trust deed pursuant to s 86A: [10] P’s proposed amendments included dealing with the appointor issues and the breadth of beneficiaries: [13], [14] The wording of the trust deed will dictate the nature of each appointor’s role: [26], [33] The role of appointor is an administrative power dictated by each trust deed: [26] – [36] No fiduciary duty attaches to the role of appointor. The Court considered contrasting authorities regarding how an appointor’s powers – to be used in good faith and for the benefs as a whole, or for the appointor’s benefit (perhaps in their capacity as benef): [41] – [43] The trust deed had no provision dealing with the death of the appointor: [51] G was the named appointor. The deed dictated various tasks the appointor could perform, and various matters referable to the appointor’s life: [60] E.g. (i) the number of benefs was reduced after G’s death; (ii) the trustee could validly distribute income to Cos whose board included G; and (iii) the trust could only be varied during G’s life: [61] The provenance of the trust deed was not clear with some suggestion the deed was a “standard precedent”: [71] – [74] In certain circs the Court can appoint an appointor pursuant to its inherent jurisdiction: [91] – [97] (Respectfully) Excellent consideration was given to the statutory underpinning of the Sup Ct’s power to amend trusts: [106] – [150] After reviewing various jurisdictions’ evolving position on the point, the Court found the Sup Ct had that power to insert an appointor: [167] The Court noted it had the power to widen the pool of benefs and a discretion to approve proposed arrangements or amendments to trusts: [171], [172] The Court resolved its inherent jurisdiction would be exercised in this case to appoint the appointors contended for by P: [182] Having heard evidence that restoring the beneficiary class to its “pre-G’s death” position would be beneficial for family harmony, the Court made the amendment to that effect: [188] – [197] ___ Please follow James d'Apice, Gravamen, and Coffee and a Case Note on your favourite platform! www.gravamen.com.au

    6 min
  3. Mar 31

    Lamrock Place Property Pty Limited [2026] NSWSC 52

    “I was not 2.01% oppressive!” ___ TeeCo had 2 directors, each a 50% shareholder and Dir; half the units were held by P (one of the directors, who held that interest as trustee) and D3 (a company related to the other director, A): [2] – [6] P’s spouse acted as P’s agent throughout: [7] P sued seeking s 233 sale orders. A cross-claimed seeking s 233 sale orders and alleging a breach of duty by P: [8], [9] The relevant property had a value of $4.74m: [10] A JV was struck between P and A to buy the property: [20] – [27] TeeCo was soon after incorporated and exchanged contracts: [29] – [31] An attempt to finance the purchase failed: [32] – [55] The sale completed with bridging finance obtained by A, and funds provided by P: [65] Discussions about finance continued. Due to A’s self-employed status and delays with tax returns, an “on-loan” arrangement was struck to deal with A’s bridging loan: [66] – [75] P got the finance and on-lent to TeeCo with a 2.01% margin, putting this to A and proceeding on that basis: [80], [81] In time, A grew dissatisfied with the margin: [87] – [90] A said they had thought the 2.01% margin was a lender-required necessity. On learning it was not, A objected: [100] – [107] P pressed for funding to pay TeeCo’s strata levies and other costs. A resisted. The Owners Corp sued: [108] – [128], [145] The parties fell into dispute, A asserting P had engaged in “profiteering” with the 2.01% margin: [130] – [144] Each party was critical of the other’s evidence: [152], [153] A alleged inter alia that P (incl by their spouse) breached their duties to TeeCo and to A by suggesting the 2.01% was a necessity: [179], [180], [184] The evidence showed the parties initially contemplated A’s side paying 4.5%. The lender lent to P at its rate (later confirmed at 2.49% - leaving the 2.01% margin for TeeCo to pay): [214] – [216] Relevantly, this arrangement was discussed with the idea of a prompt refinance being the goal of both: [221] Key issue: whether P represented to A that the lender *required* the margin that was eventually applied: [233] A was unable to convince the Court that P induced A into their misapprehension that the lender *required* a margin of 2.01%: [244] This was fatal to both A’s oppression claim and breach of duty claim: [246] This left P to progress their oppression claims against A in relation to failures to engage with payment of levies, delaying finance for the project with slowness in getting tax returns etc: [255] A’s failure to engage with P about TeeCo’s debts was oppressive: [276], [277] Some of P’s other complaints about A were not oppressive: [286], [295] Noting the deadlock, the Court resolved the relief should bring the relationship to an end: [305] A’s attempt to seek an order that they buy the property was not made in part due to A’s oppressive conduct: [333] P got their buyout orders: [344] ___ If you made it this far please head to www.gravamen.com.au #auslaw #coffeeandacasenote #gravamen

    12 min
5
out of 5
2 Ratings

About

I’m Australian lawyer, James d’Apice. Coffee and a Case Note began as a video series where I sip a coffee and chat about recent legal cases. This is the audio version! I hope it brings you value.

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