01/10/2021 - 14:26

Marc Cardaci's widow wins battle for estate

01/10/2021 - 14:26

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The widow of former CFC Group chief Marc Cardaci has been appointed executor of his estate, ending a four-year long court battle with her former brother-in-law.

The widow of former CFC Group chief Marc Cardaci has been appointed executor of his estate, ending a four-year long bitterly fought court battle with her former brother-in-law.

Marc Cardaci had been spearheading CFC Group of businesses for seven years before his passing, a company co-founded by his father in the 1970s.

The CFC Group of businesses has grown significantly over the past five decades, ranking in Business News' Data & Insights database as WA's tenth largest private company by revenue with assets totalling $410 million.

The pair had been married just over three years when he lost his battle with cancer in November 2015.

While the CFC heir did not hold a personal direct interest in the group, he held a minority indirect interest through a discretionary trust.

The Supreme Court heard the two legal actions launched by Marc Cardaci’s wife Mae Cardaci regarding her late husband’s estate and control of two trusts in his name between March and October last year.

During last year’s hearings, the court was told the legal action came after Marc Cardaci’s brother and the company’s current executive chairman Philip Cardaci issued a settlement offer of $2 million to relinquish any interest or entitlements under Marc Cardaci's estate, two trusts and any Cardaci family entity. 

According to the judgement, Mae Cardaci claimed that the offer was later revised to include a large boat and a Maserati car in her husband's possession prior to his death.

But Philip Cardaci claimed he made the offer in his personal capacity.

In a judgement handed down in the Supreme Court this morning, Justice Rene Le Miere removed Philip Cardaci as executor of his brother’s estate, instead appointing Mae Cardaci to be the trustee of two trusts and executor.

Mae Cardaci’s claims for damages, however, were rejected.

Justice Le Miere found that Philip Cardaci did not breach his duties as executor by making the settlement offer.

Philip Cardaci was appointed and remains guardian of Marc Cardaci’s discretionary trust.

In a statement released this afternoon, a CFC Group spokesperson said some aspects of the decision were “disappointing” and indicated the company may still pursue an appeal. 

“There are some aspects of the decision that are surprising and disappointing, which are being reviewed to consider the appropriate steps going forward, which may include an appeal,” the spokesperson said.

“The decision has no impact on the operation, management and control of the CFC Group, all of which continue to operate as usual.”

Philip Cardaci thanked his family and employees of the CFC Group for their support since the death of his brother.

Marc Cardaci’s fortune was estimated to be worth about $40 million at the time of his passing.

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