Article by Manny Wood published in the Coffs Coast News Of The Area on 3 October 2025.
Helena lived on her rural property for decades with her partner, Lionel. Together, they worked the land and built their home.
When Lionel’s health declined, Helena took on the role of his full-time carer. A combination of caring duties, Lionel’s advancing age and her constant worry over finances left Helena exhausted and struggling to keep up with the payment of expenses.
When Lionel passed away, Helena became the sole owner of the property. With no children and few surviving relatives, Helena was left to face everything on her own.
At that time, two friends and neighbours, Stephen and his wife Mariette, stepped in with what they presented as a solution. They drafted an agreement which said that in exchange for covering some repayments and expenses and assisting with some maintenance on the property, they would gain an immediate one-third interest in the property and the whole property after Helena’s death.
Helena recalled signing the document under financial strain and without proper legal advice. What was framed as help with debts, in reality, tied up her most valuable asset and threatened to undermine the estate she intended to leave to her relatives.
When Helena later updated her Will, she included the property, intending it to be part of her estate. Stephen and Mariette sought to enforce the agreement with the effect that the property would never form part of Helena’s estate, effectively contradicting her Will.
The Court found the agreement to be heavily one-sided. The contributions Stephen and Mariette promised were modest compared to the benefit they were gaining. The Court held that the agreement was unconscionable, given Helena’s age, financial stress and lack of advice when the agreement was signed.
The Court also pointed to the Contracts Review Act, which gives the Court the right to refuse to enforce agreements that are unjust.
On that basis, the agreement was set aside, the Woolgoolga property was confirmed to form part of Helena’s estate and would be distributed in line with her Will.
Thank you to Ellysha Laklem, for her assistance with this column.
Email Manny Wood, Principal Solicitor and Accredited Specialist in Wills and Estates at TB Law at manny@tblaw.net.au or call on (02) 66 487 487.
This fictional column is not legal advice.
