Charging orders under Order 73 of the County Court Civil Procedure Rules 2018 (Vic) are summary procedures directed to the realisation of shares by sale and cannot be used to gain control of a trustee company of a discretionary trust. Shares in a trustee company with only nominal value are not amenable to a charging order where the judgment creditor's purpose is to deploy the shares to control trust distributions rather than to sell them. A secured creditor enforcing a charge over shares in a trustee company has no claim, interest or recourse to the trust assets; creditors seeking security over trust assets must take separate security directly from the trustee.
The full text is available to signed-in members.