Svetozar Spasojevic & Anor v Ilija Vitorovic & Ors [2004] NSWSC 1004 (21
October 2004) Last Updated: 1 November 2004

NEW SOUTH WALES SUPREME COURT

CITATION: Svetozar Spasojevic & Anor v Ilija Vitorovic & Ors [2004] NSWSC
1004



CURRENT JURISDICTION: Equity Division

FILE NUMBER(S): 4731/04

HEARING DATE{S): 18/10/04, 19/10/04

JUDGMENT DATE: 21/10/2004

PARTIES:
Svetozar Spasojevic (First Plaintiff)
Archpriest Father Dragan Saracevic (Second Plaintiff)
Ilija Vitorovic (First Defendant)
Radomir Todorovic (Second Defendant)
Ignjatija Babic (Third Defendant)
Radmila Babic (Fourth Defendant)
Milivoje Gilogrevic (Fifth Defendant)
Desa Gilogrevic (Sixth Defendant)
Stanislav Milojevic (Seventh Defendant)
Radenko Durutovic (Eight Defendant)
Mitar Rebic (Ninth Defendant)
Andrija Kajtez (Tenth Defendant)
Dragica Martic-Pavic (Eleventh Defendant)
Branko Djurichkovic (Twelfth Defendant)


JUDGMENT OF: Brownie AJ

LOWER COURT JURISDICTION: Not Applicable

LOWER COURT FILE NUMBER(S): Not Applicable

LOWER COURT JUDICIAL OFFICER: Not Applicable

COUNSEL:
Mr JJ Fernon SC, Mr AF Fernon (Plaintiffs)
Mr A Ogborne (Defendants)

SOLICITORS:
Joseph P Saad & Co (Plaintiffs)
Matthews Dooley & Gibson (Defendants)



CATCHWORDS:
Voluntary Associations
trust for use of land for religious purposes

ACTS CITED:
Supreme Court Act 1970 (NSW)

DECISION:
Interlocutory injunction granted.


JUDGMENT:


IN THE SUPREME COURT
OF NEW SOUTH WALES
EQUITY DIVISION


Brownie AJ

Thursday 21 October 2004 ex tempore
Revised 27 October 2004


4731/04 Svetozar Spasojevic & Anor v Ilija Vitorovic & Ors


JUDGMENT

1 By notice of motion dated 13 October 2004, the plaintiffs seek 
interlocutory relief against the first eleven named defendants, including 
interlocutory injunctions.

2 The first plaintiff may be the remaining trustee holding land at Blacktown

upon a trust created or recorded in a deed dated 6 July 1978. By that deed 
he, the twelfth defendant and another person (who has since died), declared 
that they held the land in question "upon trust for the members of the St 
Nicholas Free Serbian Orthodox Church, Blacktown according to the rules 
thereof to be sold, leased or mortgaged or otherwise dealt with as the 
members shall from time to time direct". The twelfth defendant has filed a 
submitting appearance.

3 The second plaintiff, Father Saracevic, is or may be the parish priest. He

was appointed, or purportedly appointed, to this position in 1990 and he 
served as if he was the parish priest until February 2004, when either the 
church school congregation or the executive committee of that congregation 
dismissed or purported to dismiss him.

4 It seems that whilst the reasons for that dismissal related to matters 
going either to personal differences between those concerned or to the 
administration of the parish, the furtherance of the litigation has led to 
significant questions being debated, although only at an interlocutory 
level, concerning the constitution of the Free Serbian Orthodox Church 
diocese for Australia and New Zealand: whether there is any bishop who has 
been validly appointed to that diocese, whether the second plaintiff was 
validly appointed as parish priest, and allied questions.

5 It may be as well to emphasise that at this stage it is not my function to

decide these questions. A decision must await the final hearing of the 
litigation when, presumably, there will be a great deal more evidence than 
there is presently available.

6 The present hearing proceeded on the basis that if the applicants show 
there are serious questions to be tried, that is, tried on the final 
hearing, then it will be appropriate to decide, by reference to what is 
conventionally called the balance of convenience, whether any and, if so, 
what injunctions should be granted.

7 It seems that during the period of Communist rule in Yugoslavia various 
Free Serbian Orthodox churches were established - in Western Europe, in 
North America and in Australia and New Zealand. Later, it seems, various 
Free Serbian Orthodox churches merged into one Free Serbian Orthodox Church.

Later still, after the end of the Communist rule in Yugoslavia, there were 
negotiations between the Serbian Orthodox Church and the Free Serbian 
Orthodox Church.

8 On the applicants' case that led to a reconciliation between the two 
churches. On the respondents' case it did not, although there was a 
reconciliation concerning spiritual but not legal or administrative matters.

9 The constitution of the Free Serbian Orthodox Church Diocese for Australia

and New Zealand, as amended and dated 1976, is in evidence and a good deal 
turns upon it. On the respondents' case it governs the relationship of all 
concerned.

10 Article 9 provides that:

"This constitution embraces all legislative and administrative organs of the

Diocese and regulates"

various church authorities and organs which are named, including the 
Diocesan Bishop, the Diocesan Church National Assembly, the Diocesan 
Ecclesiastical Court and various church school congregations.

11 Article 12 provides that:

"Every organ and church committee in the Diocese is subordinated in all 
executive matters directly to the higher executive organs of the Diocese."


12 Articles 15 to 22 deal generally with the position of the Diocesan 
Bishop. Article 16 provides that in the case of a vacancy in the position of

the Bishop, the Diocesan Council and the Diocesan Ecclesiastical Court are 
to continue to manage the Diocese until the newly elected Bishop takes over.

In the meantime, they are to convoke a meeting of the National Assembly 
within six months.

13 Article 17 provides for the election of the Bishop by the National 
Assembly. There is no other provision in the constitution for the 
appointment of a bishop.

14 Paragraph 23 provides that:

"The Church National Assembly is the supreme legislative and supervisory 
body within the Diocese and represents the whole Free Serbians in Australia 
and New Zealand."

15 Succeeding articles contain other provisions as to what it might do.

16 There are then various provisions made concerning the Diocesan Council 
and its committees and concerning the Diocesan Ecclesiastical Court and 
other organs of the church.

17 Article 84 and succeeding Articles deal with the church school 
congregations. Article 84 provides that:

"Each church school congregation is considered an integral part of the Free 
Serbian Orthodox Church Diocese for Australia and New Zealand and, as such, 
is subject to all the statutes of this constitution, church canons and 
others regulations, rules and orders of the Diocesan authorities headed by 
the Diocesan Bishop."

18 Article 94 provides that a church school congregation is to be managed by

various organs, including a managing committee and by the priest-rector. 
There is to be an annual general meeting of the church school congregation 
when its officers are to be elected.

19 Article 102 provides that the domain of work of the general meeting of 
the church school congregation is as listed there. The list does not include

any reference to the possible removal from his position of the parish 
priest.

20 Article 103 is in these terms:

"All misunderstandings and disagreements which might arise in the course of 
the year between the priest and teachers on one side, and the committee of 
the church school congregation on the other, must be submitted for 
consideration to the Diocesan Council. The Diocesan Council, through its 
official Diocesan organs, will investigate and study the matter and submit 
its decision to the committee. The decision of the Diocesan Council is 
final."

21 It may be that the dispute which arose in this case is not covered by 
Article 103. It is a dispute perhaps categorised as a dispute between the 
priest alone and the committee, as distinct from a dispute between the 
priest and the teachers together and the committee. I do not need to decide 
this question.

22 Article 111 and succeeding Articles deal with the position of the 
executive committee, that is to say the executive committee, that seems to 
be also called the managing committee of the church school congregation.

23 Article 111 provides for the election of committee members at the regular

annual general meeting of the church school congregation.

24 Article 117 provides that the committee -

"... is obliged in its entire work and in its decisions to strictly uphold 
the statutes of this constitution and by-laws of its church school 
congregation as well as all the directives of the Diocesan authorities."

25 The provisions of the constitution of the Diocese are to prevail over the

rules of the congregation.

26 Article 118 prescribes the domain of the authority of the executive 
committee by reference to twenty-one numbered paragraphs. Paragraph (4) 
provides that the committee is -

"to execute the decisions of the general meeting and the directions of the 
Diocesan authorities."

27 Paragraph (9) provides that it is, "to propose to the general meeting the

manner of paying the priest," and other matters. There is no provision 
concerning the dismissal of a priest in Article 118.

28 Then there are a series of Articles dealing with the position of the 
parish priest. Article 133 provides:

"The parish priest is considered as such when he has regular, lawful and 
permanent appointment and approval for the assigned parish by the Diocesan 
Bishop; he is the head of the parish and the parish church."

29 Article 134 provides that:

"The parish priest, either permanent or temporary, is appointed by the 
Diocesan Bishop or he may be selected for parish priest by the respective 
church school congregation (by advertisement) and confirmed by the Diocesan 
Ecclesiastical Court."

30 The position of "temporary priest" is not immediately directly relevant. 
It is clear that a priest who is to be permanently appointed must be 
appointed by either the Diocesan Bishop or selected by the congregation, 
with that selection confirmed by the Ecclesiastical Court.

31 Article 135 provides:

"The post of parish priest may be vacated by:

(1) death of the parish priest;

(2) transfer on his request, by Ecclesiastical Court's decree or by call of 
duty;

(3) loss of calling on the ground of valid sentence by the qualified 
Diocesan authorities;

(4) regular resignation of position."

32 Article 138 provides:

"The church school congregation has no right to, without knowledge and 
approval of the Diocesan Bishop, either to dismiss a priest or to bring 
another one."

33 There are other provisions limiting the circumstances in which one priest

may lawfully serve in the parish of another.

34 Article 141 provides that:

"The parish priest in his work is under the direct control of his Diocesan 
Bishop."

35 Article 142 provides:

"All grievances, accusations and questions in dispute by church school 
congregations and individuals against the parish priest must be submitted to

the Diocesan Bishop who shall review the matter(s) in question and resolve 
them within his own discretion and his designed rights, or submit to the 
Ecclesiastical Court or to the Diocesan Council, which shall depend on the 
particular characteristics of the accusations. The decision by either of the

said organs shall be final."

36 I take it that the word "designed" should be "designated".

37 There was an annual general meeting of the church school congregation of 
the St Nicholas Church at Blacktown on 1 February 2004. In summary, the 
respondents assumed, although perhaps they were not formally elected to, 
positions on the executive council of the church school congregation. It is 
not necessary to decide any questions about this.

38 At the end of that process words were said to the effect that the second 
plaintiff, the parish priest, had to go. He said words to the general effect

that only the Bishop, the Council or the church court could dismiss him. In 
other words, words were said to the general effect that the executive 
committee or the church school congregation, or the two of them together, 
could do this. These words, about which there is some dispute, appear to 
have triggered the litigation, although presumably a good deal was thought 
about and perhaps spoken about before the meeting commenced.

39 On 8 February Father Saracevic attended the church and conducted the 
usual Sunday service. After that service the first defendant delivered to 
the second plaintiff a letter purporting to dismiss him, purportedly on the 
authority of the annual general meeting held on 1 February, but recording 
that "we" - that is the first defendant as president of the executive 
committee, and the second defendant, as its secretary - confirmed that 
decision.

40 The letter recorded that the decision at the annual general meeting had 
been conveyed to His Eminence Bishop Milutin and to his deputy, Father 
Djurdjurevic, and later it said that the second plaintiff should report the 
matter to Bishop Milutin for his consideration.

41 To state matters briefly, the second plaintiff and Bishop Milutin 
asserted that the church school congregation and the executive committee had

acted beyond the limits of their authority and that the purported dismissal 
was a nullity.

42 The respondents obtained the assistance of police and prohibited entry of

the second plaintiff into the church. He appealed to the church authorities.

Generally speaking they supported his position, culminating in a decision of

the Ecclesiastical Court on 4 May. There were then some further 
communications but the respondents refused to hand over the keys to the 
church and associated buildings.

43 There was some delay, perhaps occasioned by reason of the absence 
overseas for some weeks of Bishop Milutin. There were attempts made to deal 
with the funds of the parish church held at the bank. The second plaintiff 
caused the locks on the church buildings to be changed, but then the 
respondents caused them to be changed again. Then the litigation commenced 
and the present notice of motion was filed.

44 Paragraph 1 of that document seeks an order that the first to the tenth 
respondents deliver to the plaintiffs, until further order, possession of 
the land in question; and paragraph 2 seeks leave to issue a writ of 
possession in respect of that land.

45 Paragraph 3 seeks orders against the eleven respondents, restraining them

from interfering with the performance by the second plaintiff of the Holy 
sacraments of the Free Serbian Orthodox Church, including certain named 
rituals and from teaching at the church school. I should add that one of the

duties of the priest is to act as a teacher at that school.

46 Paragraph 3 of the notice of motion does not say so explicitly, but the 
hearing proceeded on the basis that this was an application for the order in

question, not on a permanent basis but until further order.

47 It seems that it was not until some time after 8 February that anyone 
took any point to the effect that Bishop Milutin had not been validly 
appointed as a Bishop of the Free Serbian Orthodox Church. It seems that 
nobody perceived any possible point then that the second plaintiff had not 
been validly appointed as a priest.

48 Initially the respondents, in substance, claimed to have been justified 
in dismissing the second plaintiff and when their attention was drawn to the

provisions of the 1976 Diocesan constitution, they said, in substance, that 
since Bishop Milutin had not been validly appointed, there was a vacancy in 
the position of Bishop and therefore Article 138 authorised the church 
school congregation and/or the executive committee to dismiss the priest.

49 If I had to decide the present application by reference to this argument,

I would decide it in favour of the applicants. If one reads the constitution

as a whole, as one must, it seems clear that the role of church school 
congregations is limited in so far as they might have any right to dismiss a

priest. That right is limited to acting with the knowledge and approval of 
the Diocesan Bishop.

50 On the respondents' case, if there is vacancy in the position of the 
Bishop, then the congregation can act on its own. This does not seem to me 
to be correct. See the general framework of the constitution and 
particularly Articles 9, 12, 84, 103, 133, 135, 138 and 142. Of these, 
Article 135 seems, at least so far as the matter has so far been argued, to 
be the most significant. It limits to four situations the circumstances in 
which the post of the parish priest may be vacated.

51 I should have thought that Article 138 was added by way of emphasis and 
for clarity. It seems to me, on a fair reading of the Article itself, as 
well as the constitution as a whole, to limit the right of congregations and

not to give them some additional implied right to act on the occasion of a 
vacancy in the position of Bishop.

52 So far as the evidence goes, it seems that all concerned, including the 
respondents, recognised Bishop Milutin as the Bishop and the second 
plaintiff as the parish priest, until some time after the dispute arose.

53 Given the findings I have just made, I will deal shortly with the other 
questions that were argued. There is some evidence, sufficient for present 
purposes but obviously insufficient for the purposes of a final hearing, 
concerning the creation of a hierarchal synod representing three Dioceses of

the Free Serbian Orthodox Church, one in Australia and New Zealand, one in 
the United States and Canada and the other in Western Europe.

54 There is some evidence about negotiations between the Free Serbian 
Orthodox Church and the Serbian Orthodox Church. There was a meeting in 
Chicago in 1984 of representatives of the dioceses I have mentioned of the 
Free Serbian Orthodox Church. There is a question about what was resolved 
there.

55 In 1988 there was a meeting of the National Assembly of the Australian 
and New Zealand Diocese of the Free Serbian Orthodox Church. It seems there 
was a resolution passed there, in substance, for the formation of a new 
world-wide Free Serbian Orthodox Church under the leadership of Metropolitan

Iriney, who was the Bishop for the United States and Canadian Diocese. That 
resolution was passed subject to some conditions.

56 There is a dispute now as to whether those conditions had been met, and 
the evidence about that is the subject of contention. It is inappropriate 
that I express any view at all about this topic except the view that on the 
present evidence, unsatisfactory as it would be in a final hearing, the 
applicants have demonstrated that there is a serious question to be tried.

57 The present evidence is generally of a hearsay nature and, I repeat, 
entirely unsatisfactory for the purpose of a final decision. Each of the 
propositions that Bishop Milutin was not validly appointed as a bishop and 
the second plaintiff not validly appointed as a priest, turn ultimately upon

the circumstance that Bishop Milutin was appointed not in a way provided for

by the 1976 constitution of the Australian and New Zealand Diocese. Rather, 
he was appointed, or purportedly appointed, by Metropolitan Iriney. If 
Bishop Milutin's appointment was invalid, then so was the appointment of the

second plaintiff.

58 I consider that the applicants have demonstrated a sufficient case for 
present purposes concerning these questions, but this is not a necessary 
foundation for my judgment.

59 The respondent suggested that the applicants had been guilty of delay, 
leading to the proposition that as a matter of discretion no injunction 
should be granted. I do not accept this. There was, I think, no relevant 
delay at all until after the decision of the Ecclesiastical Court in May. 
There was then a delay of some weeks, perhaps explained by the absence from 
Australia of the Bishop. It seems that there were then communications, if 
not discussion, about the possible resolution of the dispute.

60 There was then an attempt at self-help by the applicants, followed by the

respondents themselves resorting to self-help. The proceedings were then 
commenced and thereafter proceeded, it seems, with reasonable diligence. The

applicants agreed to the respondents taking a reasonable time to take 
reasonable steps. I see nothing in that that would lead to the refusal of 
injunctive relief. There is no suggestion of any prejudice or change in 
position.

61 The occasion for the present application appears to be that the patriarch

of the Serbian Orthodox Church, who is also recognised as the spiritual head

of the Free Serbian Orthodox Church, is coming to Australia for a short 
time, arriving later this month. It may be that the patriarch will wish to 
visit St Nicholas Church if, but only if it is, in the eyes of the church 
authorities, being administered in a regular manner.

62 The respondents submitted that it would be inappropriate to grant any 
relief because what the applicants seek is not the preservation of the 
status quo until the final hearing, but the restoration of an earlier 
position, that is to say, the position before 1 February or thereabouts or 
before the dismissal and the effective exclusion from the church buildings 
of the second plaintiff. It is often said that the function of a court 
granting an interlocutory injunction is to preserve the status quo until the

final hearing, but that is not necessarily the position.

63 Section 66(4) of the Supreme Court Act provides that:

"The Court may, at any stage of proceedings, on terms, grant an 
interlocutory injunction in any case in which it appears to the Court to be 
just or convenient so to do."

64 See also Patrick Stevedores Operations (No 2) Pty Limited v Maritime 
Union of Australia (1998) 195 CLR 1 at 59 and Liquorland Australia Pty 
Limited v Anghie [2001] VSC 362.

65 I note the usual undertaking as to damages given to the Court by the 
plaintiffs by their counsel. I consider that I should make an order in terms

of paragraph 3 of the notice of motion, but with the insertion of the words 
"until further order". I do not consider that it is appropriate to make 
orders in terms of paragraphs 1 and 2, although it may be that some 
modification of order 1 is appropriate.

66 I have come to this view because of the terms of the trust and by 
reference to the constitution or rules of the St Nicholas Free Serbian 
Orthodox Church, Blacktown, as well as by reference to the Diocesan 
constitution. The land is held on trust, essentially for the purpose of 
religious functions and ancillary activities. Although some services were 
held in the church in the period up to July, this was perhaps in breach of 
the terms of the constitution, but in any event what is called for is the 
celebration of mass each week as well as the holding of other services when 
appropriate. It seems to me that the applicants are on strong ground in 
saying that this should be done, that is to say, mass should be celebrated 
each week and other rituals performed when appropriate.

67 As it seems to me at the moment, the applicants do not need and are not 
entitled to possession of the land as if the owners in fee simple and it is,

therefore, inappropriate to make an order in terms of paragraph 1 of the 
notice of motion.

68 I invite the parties to confer with a view to agreeing, if possible, 
about what form of access, if any, should be ordered or whether it should be

sufficient to make an order in terms of order 3, amended in the way I have 
mentioned, and giving the parties liberty to apply. It would seem to be 
right to say that perhaps a great deal of costs can be saved if the matter 
can be agreed upon today.

69 I note the usual undertaking as to damages given by the plaintiffs to the

Court by the plaintiffs' counsel. I make an order in terms of paragraph 3 of

the notice of motion filed on 13 October 2004. I grant liberty to either 
party to apply on 48 hours notice. I decline to make an order in terms of 
paragraphs 1 and 2. I decline to make an order at this stage that the 
respondents give to the applicants, or either of them, the keys to the 
church and the church buildings generally.

70 I wish to make it clear that I do that on the basis that in the context 
of this litigation I regard the respondents as members of the executive 
committee of the church school congregation, bound by the constitution both 
of the Australian and New Zealand Diocese of the Free Serbian Orthodox 
Church and the constitution of the St Nicholas Free Serbian Orthodox Church 
at Blacktown.

71 The order that I make in terms of paragraph 3 of the notice of motion is 
to enable the second plaintiff, Father Saracevic, to perform the Holy 
sacraments of the church, including the saying of mass and officiating at 
weddings, funerals, baptisms and other church occasions and, if the occasion

should arise, from teaching at the church school.

72 I wish to make it clear to the respondents that if they do not co-operate

in a proper and reasonable way in allowing Father Saracevic to perform those

sacraments and if the occasion arises, from teaching at the church school, 
then it may well be that I, or whoever the other judge is who hears the next

round, if there is one, might order them to pay the costs occasioned by the 
parties having to come back to court. I do not make a formal order on that 
now because I do not think I have enough information before me to do it.

73 I think the respondents must do what is reasonably necessary to enable 
the sacraments to be administered in a way which members of the church would

regard at proper.

74 The respondents are to pay the applicants' costs of the motion.

I certify that paragraphs 1 -74
are a true copy of the reasons
for judgment herein of
the Hon. Acting Justice Brownie
given on 21 October 2004 ex tempore and
revised on 27 October 2004


___________________
Susan Piggott
Associate

27 October 2004

mailto:[EMAIL PROTECTED]

LAST UPDATED: 28/10/2004




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