Craven v Globe Valley Pty Ltd

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DISTRICT COURT OF QUEENSLAND

CITATION:

Craven v Globe Valley Pty Ltd & Ors [2018] QDC 155

PARTIES:

GORDON JAMES CRAVEN

(Plaintiff/Respondent)

v

GLOBE VALLEY PTY LTD

(First defendant/Applicant)

and

PETER ROSS HEGARTY

(Second defendant/Applicant)

and

DEBORAH HEGARTY

(Third defendant/Applicant)

and

SEBASTIAN JAMES HEGARTY

(Fourth defendant)

and

THOMAS ROSS HEGARTY

(Fifth defendant)

and

SHELI BOWMAN

(Sixth defendant)

FILE NO/S:

228/18

DIVISION:

Civil

PROCEEDING:

Application

ORIGINATING COURT:

Brisbane

DELIVERED ON:

10 August 2018

DELIVERED AT:

Brisbane

HEARING DATE:

28 March 2018

JUDGE:

Williamson QC DCJ

ORDER:

1.   The Plaintiff provide security for the First, Second and Third defendants’ costs of the proceeding in the amount of $10,000 in a form satisfactory to the registrar by 4pm on 24 August 2018; and

2.   Costs be reserved.

CATCHWORDS:

PROCEDURE – COSTS – SECURITY FOR COSTS –where defendants seek an order for security for costs under r 620(1) of the Uniform Civil Procedure Rules 1999 (Qld) – where the plaintiff is impecunious – where an order for security will stifle the pursuit of the plaintiff’s claim – whether justice of the case requires the making of the order – whether plaintiff engaging in vexatious mode of litigation against defendants

COUNSEL:

N Ferrett for the First, Second and Third Applicants/ Defendants

The Respondent/ Plaintiff appeared on his own behalf

SOLICITORS:

Archibald & Brown for the First, Second and Third Applicants/ Defendants

The Respondent/ Plaintiff appeared on his own behalf

Introduction

  1. On 23 January 2018, Mr Craven commenced proceedings in this Court by way of Claim and Statement of Claim against six defendants. The Claim seeks general and aggravated damages for defamation and injunctive relief to restrain the publication of material, and to compel the publication of apologies. An application is made in the proceedings by the First to Third defendants (‘the Applicants’) for security for costs under r.670(1) of the Uniform Civil Procedure Rules 1999 (Qld) (‘UCPR’). The issue to be determined is whether the justice of the case requires the making of the order in the amount of $10,000.

  1. For the reasons that follow, I am satisfied the justice of the case requires the making an order for security for costs[1]. The application is allowed and I order as follows:

(a)the Plaintiff provide security for the First, Second and Third Defendant’s costs of the proceeding in the amount of $10,000 in a form satisfactory to the Registrar by 4pm on 24 August 2018; and

(b)costs be reserved.

[1]r 671(h) of the UCPR.

Background

  1. The Applicants are involved in the floristry industry. Two of the Applicants (the Second and Third Defendants) are associated with a company known as Ready Flowers Pty Ltd. In March 2009, Mr Craven commenced proceedings against this company and a second defendant, Mr Owen, in the Federal Magistrates Court[2]. In that proceeding, Mr Craven purported to sue in the capacity of “an average consumer”[3] and alleged both defendants had breached State and Federal consumer protection laws.

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Details
Case
[2018] QDC 155
Decision Date

CaseChat Overview and Summary

The case of Craven v Globe Valley Pty Ltd involved a legal dispute in the Queensland Civil and Administrative Tribunal. The plaintiff, Craven, sued Globe Valley and several other defendants over a property transaction. The defendants sought an order for security for costs under rule 620(1) of the Uniform Civil Procedure Rules 1999 (Qld), given that the plaintiff was impecunious. The court was required to decide whether it was just for the plaintiff to provide security for the costs of the proceeding and whether the plaintiff was engaging in a vexatious mode of litigation against the defendants.

The court considered the plaintiff's financial situation, the merits of the plaintiff's claim, and the potential for the plaintiff to pursue the claim without financial prejudice. The court noted that the plaintiff had previously been involved in other litigation that was found to be vexatious. However, the court also considered the potential impact of an order for security on the plaintiff's ability to pursue the claim. Ultimately, the court found that it was just for the plaintiff to provide security for the defendants' costs in the amount of $10,000, given the plaintiff's financial situation and the potential for the claim to be vexatious.

The court ordered that the plaintiff provide security for the First, Second, and Third defendants’ costs of the proceeding in the amount of $10,000 in a form satisfactory to the registrar by 4pm on 24 August 2018. The court also reserved costs. The court's decision highlights the importance of considering both the financial situation of a plaintiff and the potential for a claim to be vexatious when deciding whether to order security for costs.

Orders

Orders of the court

1. The Plaintiff provide security for the First, Second and Third defendants’ costs of the proceeding in the amount of $10,000 in a form satisfactory to the registrar by 4pm on 24 August 2018; and

2. Costs be reserved.

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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