Damjanovic v Sharpe Hume & Co

The plaintiff, Damjanovic, appealed to the Court of Appeal of New South Wales against orders made by Gibb DCJ in the District Court. The dispute concerned the plaintiff's statement of claim, which had been dismissed by the primary judge, who also ordered the plaintiff to pay the defendant's costs on an indemnity basis.

The central legal issues before the Court of Appeal were whether the primary judge had demonstrated apprehended bias by reason of pre-judgment and other conduct during the trial, and how evidence of lies should be characterised in the context of such a trial. The court was required to consider the obligations of a judge in conducting trials and the implications of the primary judge's conduct on the fairness of the proceedings.

The Court of Appeal found that the primary judge's conduct had indeed given rise to a reasonable apprehension of bias. The court reasoned that the judge's interventions and pronouncements during the trial indicated a pre-judgment of the case, which undermined the appearance of impartiality. This conduct, particularly in relation to the characterisation of evidence of lies, led the court to conclude that the trial had not been conducted fairly. Consequently, the court set aside the orders of the primary judge and ordered a new trial before a different judge. The respondents were ordered to pay the appellant's costs of the first trial and the appeal, with a certificate under the Suitors Fund Act.