CORPORATIONS ACT 2001

CHAPTER 5D - LICENSED TRUSTEE COMPANIES  

PART 5D.3 - REGULATION OF FEES CHARGED BY LICENSED TRUSTEE COMPANIES  

Division 5 - Miscellaneous  

SECTION 601TEA   POWER OF THE COURT WITH RESPECT TO EXCESSIVE FEES  

601TEA(1)   [ Court may review and reduce fees]  

If the Court is of the opinion that fees charged by a licensed trustee company in respect of any estate are excessive, the Court may review the fees and may, on the review, reduce the fees.

601TEA(2)   [ Application]  

Subsection (1) does not apply to fees:


(a) that are charged as permitted by section 601TBB ; or


(b) that relate to a charitable trust and that are charged as permitted by Subdivision A of Division 4 .

601TEA(3)   [ Factors the Court may consider]  

In considering whether fees are excessive, the Court may consider any or all of the following matters:


(a) the extent to which the work performed by the trustee company was reasonably necessary;


(b) the extent to which the work likely to be performed by the trustee company is likely to be reasonably necessary;


(c) the period during which the work was, or is likely to be, performed by the trustee company;


(d) the quality of the work performed, or likely to be performed, by the trustee company;


(e) the complexity (or otherwise) of the work performed, or likely to be performed, by the trustee company;


(f) the extent (if any) to which the trustee company was, or is likely to be, required to deal with extraordinary issues;


(g) the extent (if any) to which the trustee company was, or is likely to be, required to accept a higher level of risk or responsibility than is usually the case;


(h) the value and nature of any property dealt with, or likely to be dealt with, by the trustee company;


(i) if the fees are ascertained, in whole or in part, on a time basis - the time properly taken, or likely to be properly taken, by the trustee company in performing the work;


(j) any other relevant matters.

601TEA(4)   [ How matter comes before Court]  

The Court may exercise its powers under subsection (1) either on its own motion or on the application by or on behalf of a person with a proper interest in the estate.

601TEA(5)   [ Costs when fees reduced by more than 10%]  

If the fees are reduced by more than 10 % , the trustee company must, unless the Court in special circumstances otherwise orders, pay the costs of the review.

601TEA(6)   [ Court's discretion for costs]  

Subject to subsection (5), all questions of costs of the review are in the discretion of the Court.


 

Disclaimer and notice of copyright applicable to materials provided by CCH Australia Limited

CCH Australia Limited ("CCH") believes that all information which it has provided in this site is accurate and reliable, but gives no warranty of accuracy or reliability of such information to the reader or any third party. The information provided by CCH is not legal or professional advice. To the extent permitted by law, no responsibility for damages or loss arising in any way out of or in connection with or incidental to any errors or omissions in any information provided is accepted by CCH or by persons involved in the preparation and provision of the information, whether arising from negligence or otherwise, from the use of or results obtained from information supplied by CCH.

The information provided by CCH includes history notes and other value-added features which are subject to CCH copyright. No CCH material may be copied, reproduced, republished, uploaded, posted, transmitted, or distributed in any way, except that you may download one copy for your personal use only, provided you keep intact all copyright and other proprietary notices. In particular, the reproduction of any part of the information for sale or incorporation in any product intended for sale is prohibited without CCH's prior consent.