Court of equity
A court of equity, also known as an equity court or chancery court, is a court authorized to apply principles of equity rather than principles of law to cases brought before it. These courts originated from petitions to the Lord Chancellor of England and primarily heard claims for relief other than damages, such as specific performance and extraordinary writs. Over time, most equity courts merged with courts of law,[1] and the adoption of various Acts granted courts combined jurisdiction to administer common law and equity concurrently. Courts of equity are now recognized for complementing the common law by addressing its shortcomings and promoting justice.
In the early years of the United States, some states followed the English tradition of maintaining separate courts for law and equity. Others combined both types of jurisdiction in their courts, as the US Congress did for federal courts.[2] United States bankruptcy courts serve as an example of a US federal court that operates as a court of equity. A few common law jurisdictions, such as the U.S. states of Delaware, Mississippi, New Jersey, South Carolina, and Tennessee, continue to preserve the distinctions between law and equity as well as between courts of law and courts of equity. In New Jersey, this distinction is upheld between the civil and general equity divisions of the New Jersey Superior Court.[3]
Nature[edit]
Powers of courts of equity[edit]
The courts of equity in England are recognised for operating in personam, while the common law courts act in rem.[40] This means that the court of equity's jurisdiction constitutes acts only against the conscience of a person or a number of persons, rather than a claim against an item of property.[41] Yet, there are several exceptions to this.
Comparison of the courts of equity[edit]
Australia[edit]
The judicature system has been implemented across Australia, with South Australia being the first to enact it in 1853.[53] Corresponding Acts to the Supreme Court of Judicature Act 1873 (UK) include Supreme Court Act 1935 (SA) ss 17-28, Civil Proceedings Act 2011 (Qld) s 7, Supreme Court Act 1935 (WA) ss 24–25, Supreme Court Act 1986 (Vic) s 29, Supreme Court Civil Procedure Act 1932 (Tas) ss 10–11, Supreme Court Act 1970 (NSW) ss 57–62 and Law Reform (Law and Equity) Act 1972 (NSW).[54]
Despite there being a single Supreme Court of New South Wales with complete jurisdiction within both common law and equity prior to the adoption of the Judicature Act in NSW, they remained being treated as separate courts.[55]