Clarkson v State Bank of New South Wales Ltd - Costs

In this case, Clarkson sought an order that the State Bank of New South Wales be deprived of its costs in proceedings which it had defended successfully. Clarkson had been an unsuccessful plaintiff in the proceedings. Clarkson had rejected a settlement offer made by the bank. The legal issues before the court were whether the bank, having been successful, should be deprived of its costs and whether Clarkson, having rejected the settlement offer, should be ordered to pay the bank's costs on an indemnity basis.

The court found that the bank should not be deprived of its costs. The court found that the bank's defence had been reasonable in the circumstances. The court found that, on the facts, there was no basis to deprive the bank of its costs. The court found that the bank's costs were not excessive. The court found that the settlement offer was not such that it would have been unconscionable for Clarkson to reject it. The court found that, having rejected the settlement offer, Clarkson should be ordered to pay the bank's costs on an indemnity basis.

The court ordered Clarkson to pay the bank's costs on an indemnity basis. The court did not order the bank to be deprived of its costs.