austlii:cth/FedCFamC1A/2025/144
General information, not legal advice.
FedCFamC1A
2025-08-19
Schonell JJ
Original judgment source is linked above.
Australian Coal and Shale Employees' Federation v Commonwealth (1953) 94 CLR 621; [1953] HCA 25
Bahonko v Sterjov (2008) 166 FCR 415; [2008] FCAFC 30
CDJ v VAJ (1998) 197 CLR 172; [1998] HCA 67
Clifton and Stuart (1991) FLC 92-194; [1990] FamCA 154
Concrete Pty Ltd v Parramatta Design & Developments Pty Ltd (2006) 229 CLR 577; [2006] HCA 55
Coulton v Holcombe (1986) 162 CLR 1; [1986] HCA 33
Dakin & Dakin [2012] FamCAFC 120
Edwards v Noble (1971) 125 CLR 296; [1971] HCA 54
Fox v Percy (2003) 214 CLR 118; [2003] HCA 22
Hsiao v Fazarri (2020) 270 CLR 588; [2020] HCA 35
Kioa v West (1985) 159 CLR 550; [1985] HCA 81
Krupin & Krupin (No 2) [2024] FedCFamC1A 146
Macarthur & Macarthur (No 3) [2024] FedCFamC1A 35
Markusson & Markusson [2024] FedCFamC1A 196
Metwally v University of Wollongong (1985) 60 ALR 68; [1985] HCA 28
Navickas & Fried (No 2) [2025] FedCFamC1A 80
Neil v Nott (1994) 121 ALR 148; [1994] HCA 23
Newett & Newett (No 2) (2021) FLC 94-051; [2021] FedCFamC1A 11
Noetel and Quealey (2005) FLC 93-230; [2005] FamCA 677
OP v TP (Conduct of Counsel) (2002) 30 Fam LR 281; [2002] FamCA 1155
Prior and Prior (2002) FLC 93-105; [2002] FamCA 327
Re Minister for Immigration and Multicultural and Indigenous Affairs; Ex parte Lam (2003) 214 CLR 1; [2003] HCA 6
Re Refugee Tribunal; Ex parte Aala (2000) 204 CLR 82; [2000] HCA 57
Robinson Helicopter Co Inc v McDermott (2016) 331 ALR 550; [2016] HCA 22
Royal Guardian Mortgage Management Pty Ltd v Nguyen (2016) 332 ALR 128; [2016] NSWCA 88
Stead v State Government Insurance Commission (1986) 161 CLR 141; [1986] HCA 54
SZBYR v Minister for Immigration and Citizenship (2007) 235 ALR 609; [2007] HCA 26
Tapp v Australian Bushmen's Campdraft & Rodeo Association Ltd (2022) 273 CLR 454; [2022] HCA 11
TKWJ v The Queen (2002) 212 CLR 124; [2002] HCA 46
Vines v Australian Securities and Investments Commission (2007) 233 FLR 1; [2007] NSWCA 75
Warren v Coombes (1979) 142 CLR 531; [1979] HCA 9
Note: The form of the order is subject to the entry in the Court's records.
Note: This copy of the Court's Reasons for judgment may be subject to review to remedy minor typographical or grammatical errors (r 10.14(b) Federal Circuit and Family Court of Australia (Family Law) Rules 2021 (Cth)), or to record a variation to the order pursuant to r 10.13 Federal Circuit and Family Court of Australia (Family Law) Rules 2021 (Cth).
Part XIVB of the Family Law Act 1975 (Cth) makes it an offence, except in very limited circumstances, to publish an account of proceedings that identify persons, associated persons, or witnesses involved in family law proceedings.
IT IS NOTED that publication of this judgment by this Court under the pseudonym MacCallion & MacCallion has been approved pursuant to subsection 114Q(2) of the Family Law Act 1975 (Cth).
HIS HONOUR: Yes. Look, understood. [The appellant], you might recall on the last occasion the solicitor for the [respondent] was proposing that the three properties in [Suburb E] and [Suburb F] be valued. And - so, an application has been made to the court, and an affidavit has been filed to say that funding for the valuations has been obtained from Legal Aid. What's your position in relation to whether the property should be valued?
[THE APPELLANT]: Thank you, your Honour. So, I guess, with the passage of time, between the trial and now, there is no doubt that the values would have increased. However, there is also the debt equation on the other side that has also increased. So, obviously, you can't sort of have one side of the equation going up, and the other part - the other side of the equation remaining as it was. Obviously, whilst I am in custody, the debts have been building, too, because I haven't had a chance to pay them off.
And, likewise, the debt information that I did provide the court at the time of the trial, due to the rush and then the hastiness of having to get information into the court quickly, all the debt information was actually dated information. So it was really just an opportunity to provide a benchmark - or basic information to show the court that these are the debts that I did have, you know, from some time ago that I still actually owed. And there is actually more interest on top of those current debts. So unless the valuer can backdate a valuation, it's obviously not going to match up with the debt side of the equation.
HIS HONOUR: [The appellant], I think it's entirely appropriate that you be permitted to provide some information about the amount of the mortgages because, I agree with you, if the properties have gone up, then it's relevant to know what the mortgages are over the properties. So if you were permitted to file further evidence about what the mortgages are, what's your position in relation to the properties being valued?
[THE APPELLANT]: I don't have a - I don't have a problem with that at all. But also - there is also the outstanding rates and water rates and credit cards that are still being owed as well, personal loans that have all got to be considered as part of the pool of the assets and liabilities. But I am happy to provide any information that is required to sort of get a better snapshot of the current position.
HIS HONOUR: Yes. All right. Okay. Look, thank you. I will have another chat to [Mr D]. So what I am inclined to do, [Mr D], is to allow the valuations to be undertaken. As I said to [the appellant], I think it's entirely appropriate that he be permitted to adduce some evidence about the value of the mortgages.
He is talking about other debts as well. If something wants - has to be done about that, there will need to be an application brought. All right. So that's a matter for you and [the appellant].
(Transcript 10 October 2024, p.5 line 9 to p.6 line 19)
[MR D]: No. Only just one other question, sir, in that matter, and that was that [the appellant] indicated that there are outstanding rates and, you know, other expenses. I think it perhaps would be appropriate that the order be extended to allow the provision of that information as well. If it was limited solely to the mortgage, then that might be construed as related solely to the mortgage payments some and no other debts.
HIS HONOUR: As I said to you, if you have instructions to provide further information about those debts, then you will need to bring a Form 2 application, supported by an affidavit.
(Transcript 10 October 2024, p.8 lines 3-15)
[THE APPELLANT]: Sorry, Mr - Mr - [primary judge]. I do apologise. I just wanted to just say that I haven't been able to - I mean, I - I recall the last hearing that we had was before Christmas, and I was required, or [Mr D] was required, or the office was required to collate a whole bunch of other documents and debts, which I - I - I had done, and, since then, I have not heard from anyone. I have not heard from the court, from [Mr D], from the office, to be able to get these into you. So I was - I was waiting and - and trying to call these other guys with all this information that's pertinent to the matter.
HIS HONOUR: So - - -
[THE APPELLANT]: All the bank statements, and the - and the - the other debts that you wanted - that - that we talked about. Do you remember?
HIS HONOUR: Look, I do. There were two aspects to that, [the appellant]. One was that you had permission to provide the court with further information about what the mortgages were.
[THE APPELLANT]: Yes.
HIS HONOUR: That was specifically ordered. In relation to the balance of any other debts, the position was that there needed to be a formal application brought by you to update the court about any further figures of those debts. So that - - -
[THE APPELLANT]: Yes. Well, as I said, like, I - I do apologise for cutting in.
HIS HONOUR: Yes. That application wasn't brought.
[THE APPELLANT]: Okay. Because, again, I haven't had contact from my solicitors regarding that, but I've had - you know, I've - I've - I've sought accounting advice and everything, because there's also capital gains tax that needs to be considered, which will have to be paid if the properties are sold.
HIS HONOUR: Yes.
[THE APPELLANT]: So there's substantial costs that will affect the net balance, and we are looking - it's easy to say, "Sell this and sell that, and arrive at a figure", but there's - there's agent's costs, there's capital gains tax that needs to be applied, etcetera, etcetera. We're talking three - three - probably three, $400,000 worth of additional costs.
(Transcript 5 March 2025, p.8 line 49 to p.9 line 50)
(a) H Street, Suburb F: $550,000
(b) 2 J Street, Suburb E: $625,000
(c) 1 J Street, Suburb E: $660,000
(a) CBA mortgage #...: $77,032
(b) CBA mortgage #... for the J Street properties: $337,749
(c) WBC mortgage #... for H Street: $264,508
(d) Company K settlement sum loan: $30,000
The judicial officer erred in law in determining the assets and liabilities of the parties pursuant to s 79, relying on updated evidence as to the parties' real properties, while assuming that the parties' corresponding liabilities remain constant, in circumstances where his Honour knew that the appellant was incarcerated, and that the determination of the parties' net assets would not reflect the true position, sounding in a denial of procedural fairness.
The [appellant] went into custody [in October 2023]. He filed no documents in response to any of the applications that were brought or in response to orders that I made subsequent to the trial. Initially, it was unclear whether he had been released on bail and there was then some confusion about his earliest eligibility date for release. Notwithstanding his incarceration, I consider that the [appellant] was afforded procedural fairness and had a proper opportunity to be heard in relation to the various applications brought by the ICL and the [respondent]. He continued to be represented by his solicitor and, on occasion, he participated in the listings by audio link from prison.
The Judicial Officer erred in fact in determining the value of the asset pool available to the parties in failing to have regard for the updated values relating to the debts of the parties including but not limited to the amounts outstanding in relation to the home loans the subject of mortgages encumbering the various properties registered in the sole name of the appellant and noting that the appellant provided important and essential information to such determination to the solicitors acting for him at the time, namely [B Lawyers] (having been appointed by Legal Aid WA), but that the solicitors in question: -
(a) did not take the steps required to appropriately put the appellant's case to the Court since the trial took place in July 2023;
(b) did not engage with the appellant in any meaningful way between October 2023 and 27 February 2025; and
(c) did not file any documents in response to the various applications made by the respondent (the applicant in the primary proceedings) to reopen the proceedings, in circumstances where it was both appropriate and essential to ensure a just and equitable outcome, to do so.
(Amended Notice of Appeal filed 5 June 2025)
... Nor can the availability of further evidence relevant to the issues in the appeal be treated as equivalent to a ground of appeal, proof of which prima facie entitles the appellant to a new trial. The power to admit the further evidence exists to serve the demands of justice. Ordinarily, where it is alleged that the admission of new evidence requires a new trial, justice will not be served unless the Full Court is satisfied that the further evidence would have produced a different result if it had been available at the trial. Without that condition being satisfied, it could seldom, if ever, be in the interests of justice to deprive the respondent of the benefit of the orders made by the trial judge and put that person to the expense, inconvenience and worry of a new trial.
The failure to have adduced the evidence before the primary judge will be a variable factor, the weight of which will depend upon all the other factors pertinent to the case. Where the evidence has been deliberately withheld, the failure to call it will ordinarily weigh heavily in the exercise of the discretion. In other cases, the failure to call the evidence even if it could have been discovered by the exercise of reasonable diligence may be of little significance. No invariable rule concerning the failure to call the evidence can or should be laid down in view of the wide discretion conferred on the court by the section.
...
The question, therefore, is not whether the proceedings were conducted in such an incompetent manner so as to generate a miscarriage of justice, but rather whether the further evidence sought to be adduced, if accepted, would demonstrate that the order under appeal is erroneous...
Without therefore being required to determine the question of the incompetence of counsel, we observe that from a general consideration of the transcript and the way the matter proceeded, it would be difficult to infer that counsel was incompetent or, to fairly put it another way, that counsel was not acting on instructions...
What does appear from the transcript of the proceedings at trial is that while there were manifest deficiencies in the evidence, her Honour was aware of them and it is by no means clear that they could be attributed to counsel. Much of the evidence given by the husband was difficult to follow and lacking in particularity, as her Honour found. Two matters in particular suggest that the deficiencies in the evidence lay with the husband rather than his counsel.
...
- ...the question is, initially at least, not whether evidence that might have been available was or was not called, nor why, but whether, if evidence is now available, and if accepted, it would demonstrate that the order under appeal is erroneous and the Court's power to admit the evidence as part of its remedial powers should be exercised...
I recall speaking to [Mr D] on a couple of occasions prior to the commencement of the trial on 17 July 2023, however, I was under the impression that he was an employee of [Mr C], working under his direction and guidance. I recall that, on the first day of the trial, [Mr C] was not at Court, and this is when I met [Mr D] in person for the first time...
I have now received some information from [Mr D] and [Mr M] (previous lawyers from [B Lawyers]) and both corroborate what you have said - that it was [Mr C] who was 'advising' you all along except that he did not appear for you at the final hearing of the matter.
(Affidavit of the appellant filed 16 July 2025, p.53)
I am not quite clear about [Mr C's] involvement in this matter but it seems that [Mr M] and [Mr D] were doing the majority of the work.
(Affidavit of the appellant filed 16 July 2025, p.56)
(a) [H Street, Suburb F]: water $11,636.34; rates $5,806.82;
(b) [2 J Street, Suburb E]: water $7,662.87; rates $6,176.37;
(c) [1 J Street, Suburb E]: water $7,867.45; rates $6,244.92;
(d) and a total land tax balance of $4,363.55 for the Suburb E properties.
I certify that the preceding one hundred and nineteen (119) numbered paragraphs are a true copy of the Reasons for Judgment of the Honourable Justices Aldridge, Harper & Schonell.
(1953) 94 CLR 621
(2008) 166 FCR 415
(1998) 197 CLR 172
(2006) 229 CLR 577
(1986) 162 CLR 1
(1971) 125 CLR 296
(2003) 214 CLR 118
(2020) 270 CLR 588
(1985) 159 CLR 550
(1985) 60 ALR 68
(1994) 121 ALR 148
(2002) 30 Fam LR 281
(2003) 214 CLR 1
(2000) 204 CLR 82
(2016) 331 ALR 550
(2016) 332 ALR 128
(1986) 161 CLR 141
(2007) 235 ALR 609
(2022) 273 CLR 454
(2002) 212 CLR 124
(2007) 233 FLR 1
(1979) 142 CLR 531
(1936) 55 CLR 499
(2000) 203 CLR 194
(2000) 203 CLR 172
(1967) 10 FLR 203