Federal Court of Australia

Hannover Life Re of Australasia Ltd v Minister for Families and Communities (No 3) [2023] FCA 207

ORDERS

THE COURT ORDERS THAT:

1.    In support of order 1 of the orders of the Court made on 10 February 2023 access not be granted to the affidavit of Ben Beeby dated 6 October 2022 (Beeby affidavit) on the Court file without full redaction of the names of the persons referred to in paragraphs 6, 7, 8 and 9 of that affidavit.

2.    Noting order 1 of the orders of the Court dated 10 February 2023, for the purposes of these proceedings, the following persons are to be known as set out below:

(a)    The deceased policyowner referred to in paragraphs 6(a) and 9 of the Beeby affidavit be known as Aaron.

(b)    The estranged wife of the deceased policyowner referred to in paragraphs 6(a) and 7(a) of the Beeby affidavit be known as Beth.

(c)    The late de facto partner of the deceased policyowner referred to in paragraphs 6(b) and 7(b) of the Beeby affidavit be known as Carol.

(d)    The minor daughter of the deceased policyowner and his late de facto partner referred to in paragraph 7(c) of the Beeby affidavit be known as Daphne.

(e)    The children of the deceased policyowner and his estranged wife referred to in paragraph 8 of the Beeby affidavit be known as Emily and Francis.

3.    Until further order, pursuant to rule 9.24(1) of the Federal Court Rules 2011 (Cth), the Minister for Families and Communities (the Minister) represent the interests of both Daphne, the minor daughter of the deceased policyowner and his late de facto partner, and the interests of the estate of the late de facto partner, Carol, for the purpose of these proceedings only.

4.    The Minister take steps to notify Beth, the estranged wife of the deceased policyowner, and Emily and Francis, the children of the marriage between the deceased policyowner and his estranged wife, of the subject matter of these proceedings, and their potential interest in these proceedings, by 4:00pm on 14 April 2023.

5.    The Minister take steps to notify the maternal aunt of the minor daughter Daphne named on page 62 of exhibit BB-1 to the Beeby affidavit of the subject matter of these proceedings by 4:00pm on 14 April 2023.

6.    The Minister file an affidavit setting out the steps taken by the respondent in compliance with orders 4 and 5 by 4:00pm on 19 April 2023.

7.    Any external correspondence engaged in as a consequence of orders 4 and 5 or documents filed in relation to this matter by any party be copied to the amicus curiae, Mr Matt Karam.

8.    The proceedings be stood over for case management before Justice Jackman at 9:30am on 20 April 2023.

Note:    Entry of orders is dealt with in Rule 39.32 of the Federal Court Rules 2011.

REASONS FOR JUDGMENT

ALLSOP CJ:

1    This matter concerns an application by an insurer for a declaration that, upon the payment of certain monies into Court, the insurer be discharged from any liability that may have arisen under a life insurance policy pursuant to s 215 of the Life Insurance Act 1995 (Cth). The circumstances of the making of that application and my views as to its merit are described in Hannover Life Re of Australasia Ltd v Minister for Families and Communities [2023] FCA 80. On 17 February 2023, I made orders declaring that once the balance of the benefit owed under the relevant life insurance policy less the amount fixed for the insurer’s costs had been paid into Court, the insurer was to be discharged from any liability in relation to any amount that may have arisen in respect of the policy pursuant to subsection 215(2) of the Life Insurance Act: see Hannover Life Re of Australasia Ltd v Minister for Families and Communities (No 2) [2023] FCA 106.

2    On 3 March 2023, the applicant insurer paid into Court the amount of $209,737.00 in accordance with the orders of the Court of 17 February 2023. Having done so, the insurer was excused from appearing at the case management hearing conducted on 10 March 2023.

3    There remains before the Court the question of the disposition of the funds paid into Court by the insurer. The names of relevant persons are suppressed by order of this Court as a consequence of previous orders made by the State Coroner. The relevant persons have been given fictitious pseudonyms.

4    The Minister for Families and Communities was named as a respondent to the insurer’s originating application on the basis that the Minister represents the interests of Daphne, the daughter of the deceased policyowner, Aaron, and his late de facto partner, Carol. The Minister has indicated that Daphne is the sole beneficiary of Carol’s estate. Accordingly, the Minister seeks an order that for the purposes of these proceedings only, the Minister represent the interests of the estate of Carol (in addition to representing the interests of Daphne) pursuant to rule 9.24(1) of the Federal Court Rules 2011 (Cth).

5    There is no evidence currently before the Court as to the will or personal representative of Carol or any steps undertaken by the Minister to ascertain whether such a will or personal representative exists.

6    It appears at present that the interests of the estate of Carol and the interests of her daughter Daphne, the only child of the relationship between Carol and the deceased policyowner Aaron, are identical. However, it is possible that this may not be the case and that a conflict of interest exists or could later arise. If a conflict of interest were to become apparent, the interests of the estate of Carol ought to be represented by another person. I am content to make an order that the Minister represent the estate of Carol until further order.

7    In the complex circumstances of this case where real questions of equity and the potential operation of the forfeiture rule arise, it is appropriate that the Minister take steps to notify others who may have an interest in these proceedings, including the deceased policyowner’s estranged wife, Beth, and the children of her marriage to the deceased policyowner, Emily and Francis. I will therefore make orders that this be done within an appropriate timeframe.

8    As the minor daughter of the deceased policyowner and his late de facto partner, Daphne, is in the care of the Minister, I also consider it appropriate that her living relative, her maternal aunt, identified by the Minute of Care Order as having an interest in her care, be notified of the proceedings.

9    In view of my impending retirement from the bench, these proceedings will be stood over for a case management hearing before Justice Jackman. I consider it to be particularly important in the circumstances of this case that these proceedings be conducted diligently but efficiently. A further case management hearing should be conducted as soon as reasonably practicable.

Associate:

Dated:    10 March 2023