Bullivant and Holt

The proceedings involved an application by the applicant against the respondent, with the decision being made by Faulks DCJ. The core of the dispute concerned the division of assets, specifically the valuation and distribution of a business and property. The court was required to determine the appropriate costs orders to be made following the judgment.

The legal issues before the court were primarily related to the application of Calderbank offers and their impact on cost orders. The court had to consider whether either party had made a settlement offer that justified a departure from the usual rule that costs follow the event. Specifically, the court examined an offer made by the applicant and a subsequent offer made by the respondent, assessing their terms and whether they reflected a realistic valuation of the assets in dispute. The court also had to consider how to apportion costs between the different issues litigated, namely the determination of the domestic relationship and the quantum of the settlement.

Faulks DCJ reasoned that neither party's Calderbank offer was sufficiently compelling to warrant an order for costs in their favour. The applicant's offer was not met, and the amount she ultimately received was significantly less than her offer. The respondent's offer regarding the business valuation was deemed tactical and not reflective of the true value, while his later offer concerning the property also failed to nominate a determined outcome with sufficient accuracy. Consequently, the court found it inappropriate to base cost orders on these offers. To avoid further expense, the court determined that the issue of the domestic relationship constituted 60 per cent of the proceedings and preparation, with the determination of quantum accounting for the remaining 40 per cent.

The court ordered that the respondent pay 60% of the applicant’s costs of and incidental to the proceedings on a party/party basis, to be paid within thirty days of agreement or assessment. The matter was otherwise removed from the pending cases list.