Funds may be paid into Court to the Senior Master by Court order pending the outcome of a proceeding, or until further order of the Court. The funds might represent the disputed proceeds of sale of a property the subject of a Supreme Court proceeding, or moneys held by a third party who is unclear as to who is entitled to the funds.

Such funds are held in Common Fund No. 1, and the funds attract interest at the rate fixed by the Senior Master and the Chief Justice pursuant to s. 113(15) of the Supreme Court Act 1986.

Payment into Court by Court Order

Any payment into Court must be in accordance with the terms of the relevant order, and made by cheque payable to: ‘The Senior Master of the Supreme Court’.

The payment into Court must be accompanied by an authenticated copy of the relevant order, and within any time limit set out in that order. Practitioners are reminded of the operation of Rule 3.02(3) as to the extension of a time limit by consent without the need for a further or amending order.

The contact details of the party making the payment and the other relevant party or parties to the proceeding should also be provided with the cheque and the authenticated order, so that copies of the receipt can be provided to those parties. A copy of the receipt will also be placed on the Court file.

Payment out of dispute funds

Dispute funds paid into Court by Court order and any interest thereon may be paid out by an order of the Supreme Court, or by the written consent of all parties to the proceeding in the circumstance described in Rule 79.02(3).

It is often convenient for the order or agreement to provide for payment to the legal representative of the party or parties, and the payment may be made to a solicitor’s trust account by electronic funds transfer if the bank account details are provided to Funds in Court.

Payment out order

The order or agreement for payment out of the funds must also provide for the payment of any interest paid or accrued on the balance of the account in Common Fund No. 1.

Pursuant to the relevant taxation legislation, the Senior Master must retain an amount sufficient to cover any estimated tax liability, and this should be reflected in the payment out order.

Please see the attached form of order which would be effective to provide for a payment from an account in Common Fund No. 1.

Please direct any enquiries regarding dispute funds held in Common Fund No. 1 to the Solicitor to the Senior Master on 1300 039 390.

Attachment:
Word DocumentPayment Out Order (DOC 22.5KB)