Halloran and Sealark Pty Ltd and Ors v Minister Administering National Parks and Wildlife Act 1974

The application of this principle to a contract to assign a purely equitable interest gives rise to considerable difficulty. If as a result of the application of the principle the vendor is trustee of the interest, absolutely and indefeasibly, for the purchaser, then has not the contract been completed and is not the interest vested in the purchaser? What further assurance is either necessary or possible? But if that is the result, does it follow that such a contract amounts to a disposition of a subsisting equitable interest so as to be ineffective, by reason of [in Victoria s. 53(1)(c) of the Property Law Act], unless in writing signed by the vendor? Alternatively, is [s.53(1)(c)] inapplicable, because the assignment occurs by way of the creation of a constructive trust, by virtue of [s.53(2)]? See generally Waters , op. cit., pp. 108-16.

138. On balance, and having regard to the extensive line of authorities referred to by Phillips JA, and elsewhere, I am prepared to accept that a constructive trust of the land came into existence upon completion of the first transaction between Sealark and the trustee and that there was an immediate disposition of the trustee's interest to Pacinette in the final transaction.