austlii:cth/FedCFamC1F/2025/923
General information, not legal advice.
FedCFamC1F
2025-12-16
Campton J
Original judgment source is linked above.
Marchant & Marchant (2012) FLC 93-520; [2012] FamCAFC 181
Medlow & Medlow (2016) FLC 93-692;
Ramsey & Ramsey (1983) FLC 91-301; [1982] FamCA 42
Sandos & Sandos [2025] FedCFamC1F 131
Sandos & Sandos (No 2) [2025] FedCFamC1F 635
Strahan & Strahan (2011) FLC 93-466; [2011] FamCAFC 126
Swift & Swift [2020] FamCA 991
Tsiang & Wu and Ors (2019) FLC 93-911; [2019] FamCAFC 128
Zschokke and Zschokke (1996) FLC 92-693; [1996] FamCA 79
FEDERAL CIRCUIT AND FAMILY COURT OF AUSTRALIA (DIVISION 1)
MR PROVENZA (and another named in the Schedule)
(a) $52,500 by way of arrears of spouse maintenance pursuant to Order 1 made on 28 February 2025; and
(b) $7,500 by way of costs pursuant to Order 1 made on 30 June 2025.
(a) In payment of an amount sufficient to discharge the loan secured by way of mortgage over the property, being the P Bank account bearing BSB [...] and Account Number ending...92;
(b) In payment of outstanding council and water rates;
(c) In payment of the real estate agent's commission and costs, advertising and legal expenses of sale;
(d) In payment of the wife's costs incurred in her capacity as trustee;
(e) In payment to the wife of the sums declared pursuant to paragraph 1 of these orders; and
(f) In payment of the balance to the husband.
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 Sandos & Sandos (No 3) has been approved pursuant to subsection 114Q(2) of the Family Law Act 1975 (Cth).
(a) Outstanding periodic spouse maintenance arrears of $52,500 by way of an order made on 28 February 2025 payable by the husband to the wife;
(b) Outstanding costs of $7,500 together with interest thereon by way of an order made on 30 June 2025 payable by the husband to the wife;
(c) A litigation funding order sought by the wife of $100,000; and
(d) To deposit the balance into a controlled monies account to be applied to meet the costs of preserving a real property at V Street, Suburb W ("the [V Street] property") owned by Z Pty Ltd ("[Z Pty Ltd]") and in meeting other liabilities of that corporation.
(a) She has endeavoured unsuccessfully to dissolve the husband's practical role in the management of Z Pty Ltd. She gives evidence as to the husband not responding to her requests for disclosure and documents including tenancy agreements for the Suburb FF property, and as to some of Z Pty Ltd's liabilities.
(b) She has attempted to ensure that Z Pty Ltd meets its liabilities and obligations. She has ascertained that Z Pty Ltd owes in excess of $20,000 to Revenue NSW for a carparking space and owes in excess of $9,000 in outstanding strata fees. She has also ascertained that Z Pty Ltd is engaged in disputes as to rental bonds for the Suburb FF property valued at about $16,000 and has an overdue taxation debt of about $4,000. The husband manages the rental of the Suburb FF property. The wife identifies that in October 2025, the rental income was insufficient to pay expenses. Neither the wife nor Z Pty Ltd have funds available to meet these liabilities.
(c) The City of Sydney Council in late October 2025 advised that Property 1 at V Street poses an immediate safety risk to adjoining properties requiring expeditious attention. The wife seeks to avoid the Council imposing penalties or fines for a failure to comply with the Local Government Act order and foreshadowed the possibility of a Land and Environment Court prosecution.
(d) In November 2025, the wife received notice from the National Australia Bank that Z Pty Ltd's accounts were overdrawn. Bank loans are secured over both the Suburb FF property and Property 1 at V Street.
...
Sale of [Suburb Y]
- Within twenty-one (21) days from the date of these Orders, the Husband shall do all acts and things and sign all documents necessary to cause the property situated at and known as [X Street], [Suburb Y] ("the [Suburb Y] property") to be listed for sale in accordance with the sale conditions contained in Order 3 below, and for the proceeds of sale to be distributed in the following manner and priority:
2.1 In payment of the agent's commission, advertising and legal expenses of sale;
2.2 In payment of outstanding council and water rates;
2.3 In discharge of the loan secured by way of mortgage over the [Suburb Y] property, being the [P Bank] account bearing BSB [...] and Account Number [...92], with the categorisation of any arrears as at the time of settlement to be determined at final hearing;
2.4 In payment to the Wife via the Coleman Greig Lawyers Trust Account, Coleman Greig Lawyers Pty Ltd Law Practice Trust Account, BSB: [...], Account Number [...13] ("the CG solicitor's trust account"):
2.4.1 Unpaid Costs Order made on 30 June 2025 in the amount of $7,500, together with interest pursuant to the Federal Circuit and Family Court of Australia (Family Law) Rules 2021 (Cth) with such sum to be categorised as a partial property settlement of the Husband;
2.4.2 Unpaid spousal maintenance pursuant to order 1 of the orders made on 28 February 2025 in the amount of $1,500 each Monday from 14 April 2025 to-date less any payments made by the Husband from the date of these orders if applicable (see notation A) with such sum to be categorised as a partial property settlement of the Husband;
2.4.3 A sum sufficient to discharge the GG Company debt owing by the Wife; and
2.4.4 A sum of $150,000 $100,000 by way of interim costs to the Wife;
2.5 The balance, if any, to be held in an interest-bearing controlled monies account by Coleman Greig Lawyers on behalf of the parties pending further Order or agreement between the parties (subject to order 3 and 4 below).
3.1 The Wife, in her capacity as Director of [Z Pty Ltd], shall be at liberty to apply those funds to preserve the property of [Z Pty Ltd], including but not limited to [Property 1 at V Street], [Suburb W] (as contemplated by order 13 of the orders made on 24 September 2025).
Payments from Controlled Monies Account
4. That, for the purposes of order 2.5 above:
4.1 The Wife's solicitor shall notify the Husband in writing of the payments pursuant to order 2.4 above being made ("the payment date");
4.2 In the event that, on the first Monday following the payment date the Husband has not complied with order 1 of the orders made on 28 February 2025, then:
4.2.1 The sum of $100,000, or the remaining proceeds following payments pursuant to orders 2.1 to 2.4 are made, whichever is lesser, shall remain in the CG trust account;
4.2.2 The balance, if any, shall be deposited in an interest-bearing controlled monies account;
4.2.3 The Wife's solicitor shall, from the funds retained pursuant to order 4.2.1 above, be permitted to, on the Monday which immediately follows the Husband's default, pay to the Wife via her nominated bank account the sum of $1,500 each Monday in satisfaction of the Husband's obligations pursuant to order 1 of the orders made on 28 February 2025;
4.2.4 For the purposes of order 4.2.3 above:
(a) These orders act as sufficient authority for the accounts department of Coleman Greig Lawyers to process the payments contemplated by order 4.2.3 above;
(b) The Wife's solicitor shall provide a monthly trust account statement to the Husband confirming the payments made pursuant to order 4.2.3;
4.2.5 Such payments are to be categorised as a partial property settlement of the Husband;
4.3 In relation to the preservation of the property of [Z Pty Ltd], the following shall occur:
4.3.1 That the Wife's solicitor shall notify the Husband in writing of any and all expenses, payments, fees, charges, penalties or liabilities that are or become owing by [Z Pty Ltd], which exceed the available balance of the Account ending [...69], including but not limited to:
(a) Any funds loaned to [Z Pty Ltd] by the Wife by way of meeting any expenses upfront, such loan to be deemed repayable in full immediately;
(b) Any and all mortgage arrears;
(c) Any and all overdrawn amounts on the Account ending [...69];
(d) All costs arising from compliance with the Order issued by the City of Sydney Council on [...] August 2025 in respect to [Property 1 at V Street], [Suburb W];
(e) Any and all strata levies; and
(f) Any and all taxation liabilities;
4.3.2 That in the event that the Husband fails to confirm in writing full payment of any liability referred to in order 4.3.1, including documentary proof of payment, within twenty-four (24) hours of the payment falling due or of the Wife's request (whichever is later), then:
(a) The amount/s payable, as stated within the Wife's request, shall be distributed from the Coleman Greig Lawyers' Controlled Monies Account into the CG trust account, and thereafter paid to the payee, as identified in the Wife's request; and
(b) These orders act as sufficient authority for the accounts department of Coleman Greig Lawyers to process the payments contemplated by order 4.3.2(a) above; and
(c) The Wife's solicitor shall provide proof of the payments contemplated by order 4.3.2(a) within seven (7) days of such payment occurring; and
(d) Such payments are to be categorised as a partial property settlement of the Husband.
4.4 This order also applies if the Wife is appointed trustee for sale pursuant to order 8 below.
Sale Conditions
- That for the purposes of the sale of the [Suburb Y] property pursuant to Order 2, the following conditions of sale must apply:
5.1 The Husband is to engage such real estate agent ("agent") and solicitor/conveyancer ("conveyancer") as agreed between the parties in writing, and failing agreement within seven (7) days from the date of these Orders:
5.1.1 The Wife shall nominate three (3) agents and three (3) conveyancers; and
5.1.2 Within forty-eight (48) hours of the Wife making such nominations, the Husband shall select one agent and one conveyancer; and
5.1.3 In the event the Husband does not confirm his selection in accordance with Order 5.1.2, the Wife shall select one agent and one conveyancer.
5.2 These Orders operate as authority for the Wife to correspond with the agent and conveyancer, and should it be necessary, the Husband shall do all acts and things and sign all documents to ensure that the Wife is included in any and all correspondence to and from the agent and conveyancer within twenty-four (24) hours of such correspondence occurring;
5.3 The method of sale shall be as agreed between the parties in writing and failing agreement, as recommended by the agent, and the Husband must follow all reasonable recommendations of the agent ("the First Listing");
5.4 The listing price (or reserve price if sold at auction) shall be as agreed between the parties in writing and failing agreement, shall be in accordance with the valuation report issued by [HH Group], $800,000 ("the First Listing Price");
5.5 The sale price shall be as agreed between the parties in writing and the Husband shall be restrained from accepting any offers without the express written consent of the Wife unless such offer is within 95% of the listing or reserve price;
5.6 The contract of sale shall provide for completion within forty-two (42) days after the date of the contract unless otherwise agreed between the parties in writing;
5.7 The Husband shall ensure that the Wife is notified of the progress of the sale including but not limited to:
5.7.1 Notifying the Wife of any offers made to purchase within four (4) hours of receiving such offer;
5.7.2 Notifying the Wife of all inspections and open homes.
5.8 The Husband shall co-operate in every way in relation to the marketing and sale of the [Suburb Y] property, including, but not limited to:
5.8.1 Allowing inspection at all times reasonably requested by the agent;
5.8.2 Making the key readily available to the agent;
5.8.3 Ensuring that the [Suburb Y] property is clean, neat and in good order at the time of any inspection or is being photographed for marketing purposes.
5.9 In addition to order 5.7, this Order acts as authority for the agent and conveyancer to provide to the Wife copies of all correspondence and documents in relation to the sale of the [Suburb Y] property, including but not limited to:
5.9.1 notice of any change in the auction reserve price;
5.9.2 formal offers made by potential purchasers of the property, including any sale updates;
5.9.3 the Contract for Sale; and 5.9.4 all documents in relation to the disbursement of sale proceeds including the settlement adjustment sheet.
5.10 In the event that the [Suburb Y] property has not been sold within eight (8) weeks from the First Listing, then the Husband shall, within seven (7) days from that period lapsing and at eight (8) week intervals thereafter, do all acts and things and sign all documents necessary to list the [Suburb Y] property for sale by auction, with a reserve price of 5% less than the First Listing Price and thereafter 5% less than the previous reserve price, unless otherwise agreed between the parties in writing ("Revised Reserve Price"); and
5.11 In the event that bidding at the auction does not reach the Revised Reserve Price, the Husband be at liberty to negotiate through the agent with the highest bidders or any other interested person; and
5.12 The Husband shall be restrained from entering into contracts for sale of the [Suburb Y] property without the express written consent of the Wife unless at a price within 97.5% of the Revised Reserve Price.
6.1 The Husband shall be solely responsible for all outgoings including mortgage repayments, water and council rates, utilities and insurances and shall make all such payments as and when they fall due and the husband hereby indemnifies the Wife in respect of all liabilities incurred prior to the date of settlement;
6.2 The Husband shall be restrained from further encumbering or drawing credit against the [Suburb Y] property, including accessing any overdraft, except with the express written consent of the Wife.
- The Husband shall provide a copy of these orders to the real estate agent and conveyancer and the Wife shall also be at liberty to do so.
Trustee for Sale
- That, in the event of non-compliance with order 2 above such that the [Suburb Y] property is not listed for sale within thirty (30) days of expiration of the time period at order 2 above, the Wife shall be appointed as trustee for sale of the [Suburb Y] property and:
8.1 The [Suburb Y] property shall vest in the Wife;
8.2 The Wife shall sell the [Suburb Y] property for the best possible price;
8.3 Upon settlement the Wife shall then give effect to orders 2.1 to 2.6 2.5 above.
- That in the event either party refuses or neglects to execute any deed, document or instrument necessary to give effect to all or any of these Orders, then the Registrar of the Court shall be appointed pursuant to section 106A of the Family Law Act 1975 (Cth) to execute such deed, document or instrument in the name of the said party and do all acts and things necessary to give validity and operation to the deed, document or instrument upon the Registrar being provided with verification of such refusal or failure by way of affidavit.
- That the Husband shall be responsible for the Wife's costs of and incidental to this Application on an indemnity basis.
(a) First, establishing that s 80(1)(h) is enlivened. The test is not confined to "compelling circumstances_"_. Subject to the interests of justice, the usual approach in respect of s 79 is a once and for all order (see Swift & Swift [2020] FamCA 991 at [16]). That said, more is required than the mere fact that upon a final hearing the party seeking the order would receive the property sought (Marchant & Marchant [2012] FamCAFC 181; (2012) FLC 93-520). The "overarching considering" as to the appropriateness of the exercise of an interim property power by the Court must be answered in the affirmative in the interests of justice; and
(b) The second step requires regard to be had to the "usual matters in a s 79 determination" and therefore some assessment of s 79 factors. Given it is an imprecise exercise in the making of these orders, any discretion ought be:
(i) Conservative so as to ensure the final property outcome is not compromised;
(ii) That the remaining property is sufficient to meet the legitimate expectations of both parties at the final hearing; and
(iii) The interim or partial order is capable of being reversed or adjusted if it is subsequently considered necessary to do so.
(a) A position of relative strength on the part of the respondent;
(b) A capacity on the part of the respondent to meet his or her own legal costs; and
(c) Inability on the part of the applicant to meet his or her legal costs.
CONSIDERATION - INJUNCTIONS FOR THE PRESERVATION OF PROPERTY OR PARTIAL PROPERTY SETTLEMENT
(a) To provide to Z Pty Ltd (by way of a loan) to secure and make Property 1 at V Street safe;
(b) To avoid incurring losses by way of fines, penalties and costs directed from the Sydney City Council;
(c) To progress her decision as to whether to remediate and rectify or to demolish the dilapidated building;
(d) To meet secured debt obligations; and
(e) To meet other liabilities relating to the Suburb FF property.
I certify that the preceding sixty-three (63) numbered paragraphs are a true copy of the Reasons for Judgment of the Honourable Justice Campton.