Brookvista Pty Ltd v Meloni

Case [2009] WASCA 180


JURISDICTION     :   SUPREME COURT OF WESTERN AUSTRALIA

TITLE OF COURT :   THE COURT OF APPEAL (WA)

CITATION:   BROOKVISTA PTY LTD -v- MELONI [2009] WASCA 180

CORAM:   BUSS JA

NEWNES JA

HEARD:   8 SEPTEMBER 2009

DELIVERED          :   19 OCTOBER 2009

FILE NO/S:   CACV 51 of 2009

BETWEEN:   BROOKVISTA PTY LTD (ACN 104 917 384)

First Appellant

CHERYLE EVELYN BANDY
Second Appellant

AND

MARCO MARINO MELONI
PAOLA STEPHANIE LOVI
Respondents

ON APPEAL FROM:

Jurisdiction              :  DISTRICT COURT OF WESTERN AUSTRALIA

Coram  :KEEN DCJ

File No  :CIV 1190 of 2006

Catchwords:

Practice and procedure - Costs - Order by trial judge that defendants pay plaintiffs' costs thrown away by reason of adjournment of trial - Amount of costs fixed by trial judge - Principles to be applied on fixing costs - Whether sufficient information before trial judge to enable costs to be fixed - Whether trial judge took into account irrelevant considerations

Legislation:

Nil

Result:

Appeal allowed

Category:    B

Representation:

Counsel:

First Appellant               :     Mr G E Nairn

Second Appellant          :     Mr G E Nairn

Respondents                 :     Mr J C Hammond

Solicitors:

First Appellant               :     Macdonald Rudder

Second Appellant          :     Macdonald Rudder

Respondents                 :     Hammond Legal

Case(s) referred to in judgment(s):

Australian Coal and Shale Employees' Federation v The Commonwealth (1953) 94 CLR 621

Beach Petroleum NL v Johnson (No 2) (1995) 57 FCR 119

Hadid v Lenfest Communications Inc [2000] FCA 628

Harrison v Schipp [2002] NSWCA 213; (2002) 54 NSWLR 738

House v The King (1936) 55 CLR 499

Naidoo v Williamson [2008] WASCA 179

Nine Films and Television Pty Ltd v Ninox Television Ltd [2006] FCA 1046

Oshlack v Richmond River Council [1998] HCA 11; (1998) 193 CLR 72

Sony Entertainment (Australia) Ltd v Smith [2005] FCA 228; (2005) 215 ALR 788

The Fashion Warehouse Pty Ltd v Pola [1984] 1 Qd R 251

  1. BUSS JA:  I agree with Newnes JA.

  2. NEWNES JA:  This is an appeal against a decision of Keen DCJ, made on 20 April 2009, in which his Honour ordered that the trial of an action in the District Court between the appellants (defendants) and the respondents (plaintiffs) be adjourned and the appellants pay the respondents' costs thrown away by reason of the adjournment, fixed at $25,000.  His Honour ordered that the costs were to be paid on or before 4.00 pm on 4 May 2009, in default of which the appellants' defence be struck out and judgment entered for the respondents for damages to be assessed and costs. 

  3. The appellants seek leave to appeal against the order for the payment of costs in the sum of $25,000.  On 14 May 2009, it was ordered that the application for leave to appeal be heard together with the appeal.

Background

  1. The appellants are the defendants in proceedings in the District Court brought by the respondents.  The proceedings concern the liability of the appellants for what the respondents say is defective timber flooring installed by the appellants in the respondents' residence.  The…

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Brookvista Pty Ltd v Meloni [2009] WASCA 180
Case
[2009] WASCA 180
Decision Date

CaseChat Overview and Summary

In Brookvista Pty Ltd v Meloni, the court dealt with an appeal concerning the awarding of costs following the adjournment of a trial. The plaintiffs, Brookvista Pty Ltd, sought costs that were deemed wasted due to the trial's adjournment. The trial judge had previously ordered that the defendants, Meloni, pay the plaintiffs' wasted costs, and subsequently fixed the amount of these costs. The central legal issues revolved around the principles applicable to the fixing of costs in such circumstances, the sufficiency of the information before the trial judge, and whether the judge considered irrelevant factors in determining the costs.

The court examined whether the trial judge appropriately exercised his discretion in fixing the costs. It was determined that the trial judge had discretion under the relevant legislation to fix the amount of wasted costs, but this discretion was not unfettered. The court held that the trial judge should have considered the factors traditionally relevant to the determination of costs, including the conduct of the parties, the complexity of the case, and the length of the proceedings. The court also assessed whether the trial judge had sufficient information to enable a proper exercise of this discretion and whether the judge took into account irrelevant considerations. The court found that the trial judge had not sufficiently considered the relevant factors and had potentially taken into account irrelevant considerations, leading to an improper exercise of discretion.

The court concluded that the trial judge's order for costs should be set aside and the matter remitted to the trial judge for reconsideration. The court emphasised the importance of considering the traditional factors in determining wasted costs and cautioned against the inclusion of irrelevant considerations in such determinations. Ultimately, the trial judge was directed to reassess the matter with due regard to the principles outlined by the court.

Orders

Orders of the court

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Background

Background to the litigation

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Evidence

Evidence Before The Court

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Decision

Reasons for decision

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Ratio Decidendi

Legal Principle Established

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