Cheng v Farjudi

In the matter of *Cheng v Farjudi*, the New South Wales Court of Appeal considered an appeal from a judgment of the District Court of New South Wales. The dispute arose from an altercation between the plaintiff, Mr Farjudi, and the defendant, Mr Cheng, which resulted in findings of assault and battery against Mr Cheng. The appeal concerned the trial judge's award of damages, specifically the inclusion of exemplary damages and an award for future out-of-pocket expenses.

The Court of Appeal was required to determine whether the trial judge erred in awarding exemplary damages. This involved considering whether the conduct of Mr Cheng, which had been subject to sanction by the criminal law, constituted a "substantial punishment" such that exemplary damages were inappropriate. The court also had to assess whether the conduct of the civil proceedings themselves provided a separate and appropriate basis for an award of exemplary damages, particularly in light of Mr Cheng's plea of guilty in the criminal proceedings. Furthermore, the appeal questioned whether there was a proper evidentiary basis for the trial judge's award of future out-of-pocket expenses.

The Court of Appeal found no error in the trial judge's factual findings regarding the assault and battery. Regarding exemplary damages, the court held that the criminal sanction imposed on Mr Cheng did not preclude an award of exemplary damages in the civil proceedings, as the criminal penalty was not of a magnitude that could be considered a "substantial punishment" for the purposes of preventing a civil award. The court also determined that the conduct of the civil proceedings, including Mr Cheng's approach to the litigation, provided a sufficient basis for the award of exemplary damages. The appeal was dismissed, with the Court of Appeal making a minor correction to the judgment sum awarded at trial.