Agosti & Agosti

The case of Agosti & Agosti involved a dispute between the applicant, Ms Agosti, and the respondent, Mr Agosti, regarding property settlement and associated costs within the context of family law. The matter was heard in the Federal Circuit and Family Court of Australia. Ms Agosti sought an order for costs under section 117(2) of the Family Law Act 1975, arguing that she had bettered the sum offered in a prior compromise by Mr Agosti. The legal issues the court had to address involved whether Ms Agosti was entitled to costs despite the increase in property value between the time of the offer and the trial, and whether the offer was adequately framed to allow for a proper assessment of the financial risk of proceeding with litigation.

The court found that the offer was not defective and that the increase in property value between the rejection of the offer and the trial did not negate Ms Agosti’s entitlement to costs if she bettered the sum offered. The court emphasised that the value of real estate can increase between the rejection of an offer and the date of the trial, but this alone should not deny a party their costs if they achieve a better outcome at trial or arbitration. The court held that the offer was clear enough for Ms Agosti to assess the financial risk and that the sum she received in the arbitral award exceeded the amount offered, satisfying the criteria under section 117(2A)(f) of the Family Law Act 1975. The court concluded that Ms Agosti was entitled to a costs order and directed that her party/party costs be assessed by a registrar, with the assessment to be completed by 22 November 2021, and paid by 7 December 2021.