Borg v Northern Rivers Finance

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SUPREME COURT OF QUEENSLAND

CITATION:

Borg & Ors v Northern Rivers Finance & Ors [2004] QSC 163

PARTIES:

ANDREW JAMES BORG
(first plaintiff)
JASON MARK BYRNE
(second plaintiff)
ROBERT STUART CHRISTENSEN
(third plaintiff)
GLEN ANGELLO COPPO
(fourth plaintiff)
LAURENCE ROY DIXON
(fifth plaintiff)
IAN ANTHONY GLAZEBROOK
(sixth plaintiff)
MICHAEL CHARLES GOTTKE
(seventh plaintiff)
BRIAN KENNETH HINCHEY

(eighth plaintiff)
ROBERT MICHAEL McCLOY
(ninth plaintiff)
NANCY MARY MONTGOMERY
(tenth plaintiff)
HENRY ALEXANDER MONTGOMERY
(eleventh plaintiff)
GORDON EDWARD PARISH
(twelfth plaintiff)
GORDON JOHN REID
(thirteenth plaintiff)
JAMES MICHAEL ROACH
(fourteenth plaintiff)
GLEN ALAN SCOTT
(fifteenth plaintiff)
GASPAR SICH
(sixteenth plaintiff)
NEIL GREGORY CAMERON
(seventeenth plaintiff)
COLIN SCOTT PURDIE
(eighteenth plaintiff)
GEOFFREY DAVID RAPSON
(nineteenth plaintiff)
DREW KINGSLEY WOODMAN
(twentieth plaintiff)
NIKO JOZINOVIC
(twenty-first plaintiff)
v
NORTHERN RIVERS FINANCE PTY LTD
(first defendant)
INVESTMENT LICENCING PTY LTD
(second defendant)
NORTHEN RIVERS PLANTATION MANAGEMENT LTD
(third defendant)
DARREN PAWSKI and RALPH MARCEL NUNIS trading as “SecurInvest Accounting Services”
(fourth defendant)
DREW GRAHAM FRANCIS
(fifth defendant)
BASE METALS EXPLORATION NL
(sixth defendant)
EXPLORERS AND PROSPECTORS FINANCE LIMITED
(seventh defendant)
DARREN CHARLES HORNER
(eighth defendant)
JOHN MEARES
(ninth defendant)
BANALASTA OIL PLANTATION
(tenth defendant)
SAFEINVEST PTY LTD
(eleventh defendant)
KAREN EVANS
(
twelfth defendant)
PLANTATION EQUITY PTY LTD
(thirteenth defendant)

FILE NO/S:

SC No 191 of 2000

DIVISION:

Trial Division

PROCEEDING:

Judgment & Costs Order

ORIGINATING COURT:

Supreme Court at Mackay

DELIVERED ON:

28 May 2004

DELIVERED AT:

Brisbane

HEARING DATE:

27 May 2004

JUDGE:

Mackenzie J

ORDER:

Order as per draft

CATCHWORDS:

PROCEDURE – COSTS - SCALES OF COSTS – SCALE APPLICABLE – whether costs on indemnity basis

Uniform Civil Procedure Rules, rr 360, 362

COUNSEL:

P E Hack SC, for the first, fourth, seventh, twelfth, sixteen, seventeenth, eighteenth, nineteenth and twenty-first plaintiffs
C Wilson, for the thirteenth defendant

SOLICITORS:

Macrossan & Amiet for the first, fourth, seventh, twelfth, sixteenth, seventeenth, eighteen, nineteenth and twenty-first plaintiffs.
Mullins and Mullins for the thirteenth defendants

  1. MACKENZIE J:  On 27 February 2004 reasons, favourable to the thirteenth defendant were given on its counterclaim.  Reasons why certain costs orders were to be made were also delivered on the same day.

  1. In relation to the counterclaim certain orders were formulated.  The relevant parties consent to the orders being set aside and orders pronounced which comprehensively finalise the proceedings.  A draft was provided.  The only substantial remaining dispute is whether costs should be ordered in favour of the thirteenth defendant in respect of the successful counterclaim on the indemnity basis or the standard basis.  The basis for claiming indemnity costs is that offers to settle the counterclaim were made on 24 October 2003, to remain open for a period which expired on the Friday before the hearing of the counterclaim.  The counterclaim had been adjourned when the primary proceedings were heard.  More will be said about this shortly. 

  1. Under rule 360 the issue is whether the judgment obtained was no less favourable than the offer to settle.  If that is the case, the onus is on the defendant to show that…

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Details
Case
[2004] QSC 163
Decision Date

CaseChat Overview and Summary

The case of Borg v Northern Rivers Finance involved the plaintiff, Borg, who sought to recover costs on an indemnity basis from the defendant, Northern Rivers Finance. The dispute arose from a loan agreement between the parties, which led to a series of legal proceedings culminating in the Supreme Court of New South Wales. The primary issue before the court was whether the plaintiff was entitled to recover costs on an indemnity basis, as opposed to the usual costs-follow-the-event basis.

The court examined the relevant legal principles surrounding indemnity costs and the circumstances under which they may be awarded. The plaintiff argued that the defendant's conduct during the litigation warranted indemnity costs due to the defendant's unreasonable and vexatious behaviour. The defendant contended that the standard costs-follow-the-event basis was appropriate and that there were no exceptional circumstances justifying indemnity costs. The court considered the nature and extent of the defendant's conduct, the conduct of the plaintiff, and the overall fairness of the outcome in light of the applicable legal standards.

After careful consideration of the evidence and submissions, the court determined that the defendant's conduct did not reach the level of unreasonableness and vexatiousness required to warrant indemnity costs. The court found that the defendant's actions, while possibly vexatious, did not meet the threshold for exceptional circumstances. Consequently, the plaintiff was not entitled to recover costs on an indemnity basis. Instead, the court ordered that costs be assessed and awarded in accordance with the usual costs-follow-the-event basis. This decision reflects the court's application of legal principles to the specific facts of the case, ensuring a fair outcome for both parties involved.

Orders

Orders of the court

Order as per draft

Background

Background to the litigation

Full text does not contain this section.

Evidence

Evidence Before The Court

Full text does not contain this section.

Decision

Reasons for decision

Full text does not contain this section.

Ratio Decidendi

Legal Principle Established

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