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[2011] NSWSC 881
Supreme Court of NSW
2011-07-25
Slattery J
Original judgment source is linked above.
EX TEMPORE Judgment 1HIS HONOUR : I have been asked to make consent orders and a declaration in two proceedings, numbered 2010/109397 and 2010/142352, and to resolve a question of costs. The declaration is that the document signed by Keith Joseph Cook dated 1 April 2007 and appearing as Annexure A to the orders, is the last will and testament of Keith Joseph Cook. To make this declaration the Court must examine the evidence and determine under Succession Act 2006, s 8 whether this document formed Keith Cook's will. I will then consider the costs issue.
Keith Cook's Will 2Keith Cook died in unfortunate and violent circumstances in Angeles City in the Philippines in May of 2008. His death was after the commencement of the Succession Act on 1 March 2008, which therefore applies in respect of these proceedings, rather than Probate and Administration Act 1898 (NSW), s 18A: Succession Act , Schedule 1, Clause 3(3). 3The evidence shows that the deceased did not execute the testamentary instrument dated 1 April 2007 with the formalities required by s 6 of the Succession Act . The reason the 1 April 2007 instrument was not compliant with the Succession Act was that a mistake appears to have been made by the testator, his de facto wife and members of their family about the requirements for the execution of wills. 4The deceased executed the April 2007 instrument and the witnesses signed it when it was only an otherwise blank will form. The deceased declared to the witnesses his intention of filling out the contents of the April 2007 instrument later above his signature. One of the persons present at the time, the deceased's de facto wife Ping Zhou, confirms that this is what happened. A completed form of the will was not signed and witnessed by the testator and the witnesses in the presence of each other. The testator did not give his assent to the contents of the whole document at that time. The filling out of the contents of the will at a time after execution does not conform with the requirements of Succession Act , s 6. 5But the events on the date of signature of this April 2007 instrument signify that the deceased wished it to embody his testamentary intention and that he intended it to operate as his will. I will briefly state the applicable legal principles, some more facts and then the reasons why I have reached this conclusion. 6Succession Act s 8 provides as follows:- "When may the Court dispense with the requirements for execution, alteration or revocation of wills? (1) This section applies to a document, or part of a document, that: (a) purports to state the testamentary intentions of a deceased person, and (b) has not been executed in accordance with this Part. (2) The document, or part of the document, forms: (a) the deceased person's will - if the Court is satisfied that the person intended it to form his or her will, or (b) an alteration to the deceased person's will - if the Court is satisfied that the person intended it to form an alteration to his or her will, or (c) a full or partial revocation of the deceased person's will - if the Court is satisfied that the person intended it to be a full or partial revocation of his or her will. (3) In making a decision under subsection (2), the Court may, in addition to the document or part, have regard to: (a) any evidence relating to the manner in which the document or part was executed, and (b) any evidence of the testamentary intentions of the deceased person, including evidence of statements made by the deceased person. (4) Subsection (3) does not limit the matters that the Court may have regard to in making a decision under subsection (2). (5) This section applies to a document whether it came into existence within or outside the State." 7The authorities relevant to the operation of Succession Act , s 8 are conveniently summarised in my decision: In the estate of O'Dell [2010] NSWSC 678 where I stated at [30] to [33] :- "[30] The authorities relevant to s 8 Succession Act were principally decided under its predecessor provision, Probate and Administration Act 1898 (NSW) s 18A. Although their structures differ, there is no difference of substance between Probate and Administration Act 1898 s 18A and Succession Act s 8. The test in s 18A was whether the court "is satisfied that the deceased person intended for the document to constitute the person's will". Under the Succession Act , the question is whether "the Court is satisfied that the person intended [the document] to form his or her will." The near identity of language allows the authorities in respect of the former Act to be used in respect of the later Act. [31] The matter for determination is whether the testator intended the informal document 'to form' his will. The authorities on s 18A Probate and Administration Act 1898 identify three questions that must be asked upon such a determination. Powell JA explained in Hatsatouris v Hatsatouris [2001] NSWCA 408 at [56] these questions are: (a) Is there a document? (b) Does the document embody the deceased's testamentary intention? (c) Did the deceased intend the document, without more, to operate as a will or codicil? [32] In the present case the document is the document which may be the subject of a s 8 Succession Act order. The issues in these proceedings, as they usually do, relate to the second and third of Powell JA's questions in relation to the first version and then the second and third versions. [33] Succession Act s 8 should not be applied with too stringent a requirement of proof that a propounded document otherwise clearly embodying the testamentary intentions of the deceased does constitute his will: Re estate of Masters; Hill v Plummer (1994) 33 NSWLR 446 at 452V per Kirby P. It would be a mistake to regard the third element of Powell JA's elements as requiring evidence that the deceased consciously set his or her mind to the legal formalities for will making. It is now necessary to analyse the evidence. The law in relation to the application of Probate and Administration Acts 18A was by the Court of Appeal in Costa v Public Trustee [2008] NSWCA 223 ." 8Some background assists in applying these principles in the present case. The deceased executed two testamentary instruments, one in May 2002 and the other in April 2007. There were a number of witnesses to these two instruments and a number of persons referred to in them, who are family members or acquaintances. I will briefly explain who they are.
Keith Cook's Family and the 2002 Will 9Ping Zhou was born in China in 1949 shortly before the People's Republic of China was proclaimed but emigrated to Australia. She has two younger sisters Yan Zhou and Fang Zhou. 10The deceased was married in the early 1960s and had two daughters, Deborah and Sharon, by that marriage. He met Ping Zhou in the early 1990s. 11The execution of the will on 26 May 2002 is of some relevance in ascertaining the intention of the deceased in relation to the April 2007 instrument. The 26 May 2002 will gave the whole of his estate to Ping Zhou. It was an uncomplicated will which made no other dispositions of property and appointed Vincent Zang, the son of Ping Zhou by her earlier marriage, as executor. It appears on the evidence to have been executed in accordance with the requirements for the making of a valid will. The witnesses were Fang Zhou and Hai Han Zhang. Fang Zhou is the youngest sister of Ping Zhou. Hai Han Zhang was in 2002 the girlfriend of Vincent Zang.
The 1 April 2007 Instrument 12The parties established the circumstances of the execution of the testamentary instrument dated 1 April 2007. First, there is the question of the date of the instrument. It seems clear from the evidence that in fact it was not executed on 1 April 2007 but was executed on 31 March 2007 and that a mistake was made in relation to its dating. It will be convenient in these reasons to simply describe it, as I will, as the "1 April 2007 instrument", as that is the date that it bears. 13Yan Zhou and Fang Zhou, the two younger sisters of Ping Zhou witnessed the 1 April 2007 instrument. It was essentially the same in its primary gift as the earlier will. But it contemplated the possibility that Ping Zhou might predecease Keith Cook, in which case the estate was given to the 3 children, described as, "our three children". Sharon, Deborah and Vincent are the children of the respective prior marriages of the deceased and Ping Zhou. The 2007 will (Exhibit A in these proceedings) is as follows:- "This is the last will and Testament of me, KEITH JOSEPH COOK of [address not published] BALGOWLAH in the State of NEW SOUTH WALES
Embody Testamentary Intention and Operate as a Will 19Does "the instrument" embody the deceased's testamentary intention and did the deceased intend "the instrument" to operate as a will? There are eight matters that seem to me to be strong indicators that both these inferences should be drawn. 20Firstly, the events of 26 May 2002 when the first will was made, show that the deceased was well aware of the proper formalities of will making and carried them through when he had the time to do so. The only difference in 2007 that stopped him from satisfying those formalities was that he was short of time. 21Second, there is a strong consistency between the content of the later will and the earlier will, the giving of the estate to Ping Zhou being the central feature of the document. The fact that the 2002 will was executed with the proper formalities with that gift assists the inference that the 1 April 2007 instrument with that same gift: (1) embodies the deceased's testamentary intentions; and, (2) that it was to operate as a will. 22Third, the 1 April 2007 instrument was written up by the deceased with the formal language that was provided for in the instructions in the will kit from which it was taken, showing that he was seeking to follow a set of instructions to make a will. 23Fourth, arrangements were made by the deceased and Ping Zhou and her two sisters all to go through with a witnessing ceremony, which indicates that the deceased (and Ping Zhou) did wish to engage in the formalities consistent with the making of their wills. Not just one will, but two wills were made as part of this occasion. This was all attended by the degree of ceremony which, in my view, clearly infers that the document was designed to embody the deceased's testamentary intention and to operate as a will. 24Fifth, the lack of compliance with Succession Act , s 6 in the form of the 1 April 2007 instrument is well explained by the parties' evidence that they made a mistake about the formal requirements for the execution of a valid will. 25Sixth, the deceased described the 1 April 2007 instrument as his "will", especially when he was talking about it to Ping Zhou, after he had executed it. He adopted it as his will. 26Seventh, the deceased's intention, as expressed to Ping Zhou, was that her sister Yang Zhou should be the custodian of the 1 April 2007 instrument. She was apparently to be specially trusted to undertake this task. Some effort was made to at least plan for the 1 April 2007 instrument, described as his "will", to be placed into Yang Zhou's hands for safe keeping. This is also a basis to infer that it embodied the deceased's testamentary intention and that he intended it to operate as a will. As it turned out, the deceased was not able to put this intention into effect before he died in May 2008. But that does not detract from the inference from these arrangements that he was planning for the safe custody of his will. 27Finally, before the ceremony took place among the deceased, Ping Zhao and her sisters, on 31 March 2007 they described themselves as planning for the making of the deceased's and Ping Zhao's "wills". 28For all these reasons I infer that the 1 April 2007 instrument does embody the deceased's testamentary intention and was intended to operate as a will. I will make the declarations set out in the consent orders.
Costs 29I turn now to the issue of costs. The parties have compromised both sets of proceedings. But there is a lack of complete agreement between them. The parties disagree about how a term as to costs in the settlement correspondence should be interpreted and have put before the Court competing arguments about their agreement. 30The Court can consider this kind of issue within these proceedings to ensure finality of the proceedings: Civil Procedure Act 2005 (NSW), s 73. Despite earlier doubts about the jurisdiction, the Court is now able to decide, in the one proceedings, the terms upon which the proceedings have been settled. 31In proceedings 2010/142352 Deborah Middleton and her sister seek grant of administration of the estate on the basis that the deceased died intestate by reason of the deficiencies that I have described earlier in these reasons. In the alternative they sought relief under Family Provision Act 1982 (NSW) against the estate of the deceased. In those proceedings Ping Zhou cross-claimed, seeking administration of the estate on the basis that the deceased was intestate, and in the alternative, relief under the Family Provision Act . 32In the parallel proceedings 2010/109397, the plaintiffs were Mr Vincent Zang and Ms Yang Zhou. In those proceedings they sought probate of the deceased's will of 26 April 2002. Ms Middleton was joined as a defendant and she also cross-claimed in those proceedings to advance a claim almost identical to the one which she prosecuted as plaintiff in proceedings 2010/142352. 33The costs issue arise out of the form of two letters that were to be exchanged to achieve the settlement of the proceedings. The first of the two is a letter of 9 June 2011 from Messrs Esplins, solicitors who were acting for Ms Middleton, to Coleman & Greig Solicitors & Notaries who were acting for Mr Zang and Ping Zhou. The letter was quite lengthy and is set out in full below:- "WITHOUT PREJUDICE SAVE AS TO COSTS Dear Madam RE: ESTATE OF THE LATE KEITH JOSEPH COOK SUPREME COURT PROCEEDINGS NO. 2010/109397 SUPREME COURT PROCEEDINGS NO. 2010/142352 We refer to the above two proceedings and the estate of Keith Joseph Cook ("the estate"). We are instructed to make the following alternative offers of compromise, with the intention that any one of the offers only may be accepted; Offer 1
Conclusions and Orders 57In the matter of 2010/109397 I make orders in accordance with the short minutes of order, which are initialled, dated and placed with the papers, which are the following:- 1.Declares that pursuant to section 8 of the Succession Act 2006 (NSW) the document signed by Keith Joseph Cook dated 1 April 2007 appearing as annexure 'A' to these orders is the last will and testament of Keith Joseph Cook. 2.Grants Probate of the will dated 1 April 2007 referred to in order 1 above to Yan Zhao, the second plaintiff. 3.The plaintiffs provide to the defendant a written undertaking from Ping (Penny) Zhao: (i)that she acknowledges that her will dated 25 July 2011 appearing as annexure 'B' to these orders is in effect; (ii)that if a question arises in the future about the validity of her will dated 25 July 2011, she will execute a new will in the same terms; (iii)that she will not change her will dated 25 July 2011 or such later will as is made in accordance with paragraph (ii) above; and (iv)the property at 41 Boyle Street, Balgowlah in the State of New South Wales 2093 (folio identifier 1/962787) will not be sold or encumbered in any way. 4.Deborah Middleton's costs of these proceedings be borne by the estate on a solicitor-client basis. 5.The Cross claim is dismissed. 58In the matter of 2010/142352 I make orders in accordance with the short minutes of order, which are initialled, dated and placed with the papers, which are:- 1.The proceedings are dismissed. 2.The Cross-Summons is dismissed. 3.Deborah Middleton's and Sharon Cook's costs of these proceedings be borne by the estate on a solicitor-client basis.
Further Communications with the Parties took place about the form of Order 2. 59The Court has communicated with the parties about Order 2 which by consent was varied on 15 August 2011 to provide:- 2. Refer these proceedings to the Registrar in Probate with a view to the Registrar proceeding in accordance with the Rules of Court to the grant of Probate of the document the subject of declaration 1."
DISCLAIMER - Every effort has been made to comply with suppression orders or statutory provisions prohibiting publication that may apply to this judgment or decision. The onus remains on any person using material in the judgment or decision to ensure that the intended use of that material does not breach any such order or provision. Further enquiries may be directed to the Registry of the Court or Tribunal in which it was generated. Decision last updated: 16 August 2011
Vincent Zang
Deborah Middleton; The estate of Keith Joseph Cook, late of Balgowlah
[2011] FMCA 264
(1995) 184 CLR 301
(1988) 14 NSWLR 698
(1994) 33 NSWLR 446