Clyne, Peter Leopold v O'Brien, John William

Case [1984] FCA 247


I N THE FEDERAL COURT O F AUSTRALIA

) )

GENERAL DIVISION BANKRUPTCY DISTRICT

) )

O F THE STATE OF NEW SOUTH

WALES

1 1

AND

THE

AUSTRALIAN

C A P I T A L

)

No.W838 of 1983

TERRITORY

)

No.W929 of 1983

BETWEEN:

PETER LEOPOLD CLYNE

A p p l l c a n t

AND:

J O H N

WILLIAM

O ' B R I E N

-

WILLIAM EDWARD ANDREW and

DEPUTY COMMISSIONER OF

TAXATION

Respondents

ORDER

Judge maklng order :

Beaumont,

J .

Date

o r d e r made:

2 7

J u l y

1 9 8 4 .

Where

made:

Sydney.

THE COURT ORDERS THAT:

1.

T h a t

I n

r e s p e c t

of

t h e

p r o c e e d l n g s

t h e

s u b ~ e c t

o f

t h e

d e c l s l o n

I n

t h e

r e a s o n s

f o r

~ u d g m e n t

d a t e d

1 4

M a r c h

1 9 8 4 ,

o r d e r

t h a t

Petcr

Leopold

Clyne

pay

one-

h a l f o f t h e c o s t s

of

the

Depu

ty

Commlss lone r

o

f

Tasa t lon .

2 .

T h a t

I n

r e s p e c t

of

t h e

p r o c e e d l n g s

t h e

s u b l e c t

of

t h e dec l s lon l n t h e

r e a s o n s

f o r

~ u d g m e n t

d a t e d

2 1

J u n e

1 9 8 4 ,

o r d e r

t h a t

Peter

Leopold

Clyne

pay

two- th l rds

- 2 -

of the costs of the Deputy Commlssloner of Tasatlon.

I N THE FEDERAL COURT OF AUSTRALIA

) )

GENERAL DIVISION BANKRUPTCY DISTRICT

) )

OF THE STATE OF NEW SOUTH WALE?

)

1

AND THE AUSTRALIAN CAPITAL

)

)

No. W838 of

1983

TERRITORY

)

No.

W929 of

1983

BETWEEN:

PETER LEOPOLD CLYNE

A p p l l c a n t

Respondents

CORAM :

Beaumont ,

J .

DATED :

27

J u l y

1 9 8 4

REASONS FOR JUDGMENT

( e x

t e m p o r e )

I n t h l s n a t t e r

a n

a p p l l c a t l o n

h a s

b e e n

made

on

beha l f

o

f

t he

Depu

ty

Commlss lone r

of

T a s a t l o n f o r c o s t s

l n

r e s p e c t

o f

t w o

a s p e c t s

o f

t h e

p r o c e e d l n g s .

The

f l r s t

a p p l l c a t l o n

IS

made

l n r c s p c c t

of

t h e d e c l s l o n t h e s u b l e c t

o f

r e a s o n s

f o r

l u d g m e n t

d a t e d

1 4

March

1984 .

In

t ha t

mat ter ,

It

1 s . I

t h l n k ,

p o s s l b l e

t o

d l v l d e

t h l s

aspcct

of

t h e

p r o c e e d l n g s

I n t o

t w o

s e p a r a t e

p a r t s .

T h e

f n s t

1s

t h e q u e s t l o n

of

w h e t h e r

t h e

C o u r t

h a d

p o w e r

t o

g r a n t

- 2 -

leave

t o

I n t e r v e n e .

The

second

1 s .

assumlng

power,

whe the r

It

w a s

a p p r o p r l a t e

as

a

matter

o f d l s c r c t l o n t h a t

l e a v e

s h o u l d

b e

g r a n t e d .

As

t o t h e f l r s t p o l n t , t h l s

was

a

q u e s t l o n

o f

law

r a l s e d by M r .

Clyne

whlch

w a s

d e c l d e d a d v e r s e l y

t o

h l m a n d

I n my

vlew,

costs s h o u l d

f o l l o w

the

e v e n t

I n

t h a t

b e h a l f .

As

t o t h e s e c o n d p o m t ,

n a m e l y l e a v e t o I n t e r v e n e

I t s e l f ,

I n

t h l s

r e g a r d

t h e C o m m l s s l o n e r

m

a

s e n s e

1s

s e e k l n g

a

n

I n d u l g e n c e

a n d

I n

a n y

e v e n t

h

e

h a d

l l m l t e d

s u c c e s s

I n

t h e

s e n s e

t h a t

I

Imposed a number

o

f

condl t lons

upon

t h a t

l e a v e

b e l n g

g r a n t e d .

On

t h e

w h o l e ,

t h e r e f o r e ,

I

t h l n k

t h a t ,

s o f a r as t h a t

d e c l s l o n ,

b e l n g

t h e

d e c l s l o n

of

1 4 March,

1 s

c o n c e r n e d ,

t h e

p r o p e r

o r d e r

t h a t

I

s h o u l d

make

1s t o o r d e r

t h a t

M r .

C l y n e

p a y

o n e

h a l f

o

f

t h e

c o s t s

of

the

Deputy

Commlss

loner

o f

Taxat lon .

I

have

endeavoured

I n t h i s r e s p e c t

t o

l s o l a t e

f l r s t

of

a l l t h e

l ega l

p o l n t s

o n

t h e

o n e

h a n d

a n d

t h e

l e a v e

t o

l n t c r v c n e

o n

t h e

o t h e r ,

and It seems t o m e a f a n way o f

d o l n g

t h a t

IS

t o g l v e

t h e

C o m m l s s l o n e r

h a l f

h l s

costs

I n

t h a t

r e s p c c t .

T h e

C o m m l s s l o n e r

a l s o

a p p l l e s

f o r

c o s t s

I n

r e s p c c t

o f

t h e s u b s t a n t l v e a p p l l c a t l o n I t s e l f

w h l c h

was

t h e s u b l e c t

o f

r e a s o n s

f o r

l u d g m e n t

d a t e d

2 7

J u n e

1 9 8 4 .

I n

t h l s

matter,

as I had

fo re shadowed

l n

my

r e a s o n s

f o r

J u d g m e n t

d a t e d

1 4 March

1 9 8 4 ,

the

Deputy

Commlss

loner

appeared

a t

I t s

own r l s k as t o

c o s t s .

I

h a d

I n

m l n d

I n

e x p r e s s i n g

t h l s

r e s e r v a t l o n

a t

t h a t

s t a g e

t h a t ,

as

I

saw

I t , t h e

t r u s t c c s

- 3 -

h a d t h e p r l m a r y r e s p o n s l b l l l t y f o r

t h e c o n d u c t o f

o p p o s l t l o n ,

I f

It was t h o u g h t

a p p r o p r l a t e .

t o

t h e

a p p l l c a t l o n .

As

e v e n t s

h a v e

t u r n e d

o u t ,

t w o

matters

h a v e

o c c u r r e d :

f l r s t ,

t h e

D e p u t y

C o m m l s s l o n e r

h a d

t h e

s u b s t a n t l a l

c o n d u c t

of

t h e r u n n l n g o f

t h e o p p o s l t l o n

case,

and

s econd ly ,

Mr.

Clyne

had

a t l e a s t some

l l m l t e d success

I n

t h e

a p p l l c a t l o n .

On

t h e

w h o l e ,

t h e r e f o r e ,

I

a m of

t h e

v l e w

t h a t

t h e a p p r o p r l a t e o r d e r t h a t

I

s h o u l d

make

1s

t h a t

I

s h o u l d o r d e r

t h a t

M r .

C l y n e

p a y

t w o - t h u d s

o f

t h e

c o s t s of

the

Deputy

Commlss loner

of

T a x a t l o n

of

t h e

p r o c e e d l n g s ,

t h e

S u b J e C t

of

t h e

r e a s o n s

f o r

J u d g m e n t

d a t e d 2 7

June

1 9 8 4 .

I

s o o r d e r .

I

h e r e b y c e r t l f y

t h a t

t h l s

a n d t h e p r e c c d l n g t w o

( 2 )

pages

a r e a

t r u e

c o p y h e r e l n

o f

t h e

r e a s o n s

for

Judgment

o

f

the

Honourable

M r .

J u s t l c e Bcaumont.

Details
AGLC
Clyne, Peter Leopold v O'Brien, John William [1984] FCA 247
Case
[1984] FCA 247
Decision Date

CaseChat Overview and Summary

In the Federal Court of Australia, in the matter of Peter Leopold Clyne v John William O'Brien and William Edward Andrew and the Deputy Commissioner of Taxation, the court heard an application for costs in respect of two aspects of the proceedings. The first application concerned the decision of the court regarding the power to grant leave to intervene, and the appropriateness of granting leave as a matter of discretion. The second application related to the substantive application itself, where the Deputy Commissioner of Taxation sought costs.

The court found that the question of the court's power to grant leave to intervene was a question of law, which was decided adversely to the applicant, and thus, costs should follow the event in that behalf. The court also found that the Commissioner was seeking an indulgence and had limited success in the application, with the court imposing a number of conditions upon the granting of leave. Therefore, the court ordered that the applicant, Mr. Clyne, pay one-half of the Deputy Commissioner of Taxation's costs in respect of the decision dated 14 March 1984.

In respect of the substantive application, the court found that the Deputy Commissioner appeared at their own risk as to costs, and that the trustees had the primary responsibility for the conduct of opposition, if thought appropriate, to the application. The court noted that the Deputy Commissioner had the substantial conduct of the running of the opposition case, and that Mr. Clyne had at least some limited success in the application. Therefore, the court ordered that Mr. Clyne pay two-thirds of the Deputy Commissioner of Taxation's costs of the proceedings, the subject of the reasons for judgment dated 27 June 1984.

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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