Diamond v Birdon Contracting Pty Limited

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Land and Environment Court


of New South Wales


CITATION: Diamond & Anor v Birdon Contracting Pty Limited & Anor [2007] NSWLEC 92
PARTIES:

FIRST APPLICANT:
Neville Diamond

SECOND APPLICANT:
Mark Richardson

FIRST RESPONDENT:
Birdon Contracting Pty Limited

SECOND RESPONDENT:
Hawkesbury City Council
FILE NUMBER(S): 40900 of 2006
CORAM: Lloyd J
KEY ISSUES: Costs :- security for costs - relevant principles
LEGISLATION CITED: Environmental Planning and Assessment Act 1979 s 123
Land and Environment Court Act 1979 s 63
CASES CITED: KP Cable Investments Pty Ltd v Meltglow Pty Limited (1995) 56 FCR 189;
Melville v Craig Nowlan & Associates Pty Ltd (2002) 54 NSWLR 82
DATES OF HEARING: 07/11/2006
EX TEMPORE JUDGMENT DATE: 7 November 2006
LEGAL REPRESENTATIVES:

FIRST APPLICANT:
N Diamond in person
SOLICITORS:
N/A

SECOND APPLICANT:
N/A

FIRST RESPONDENT:
J J Webster SC and A M Pickles (barrister)
SOLICITORS:
Russell C Byrnes

SECOND RESPONDENT:
N/A


JUDGMENT:

- 6 -

      IN THE LAND AND
      ENVIRONMENT COURT
      OF NEW SOUTH WALES

      Lloyd J

      Tuesday, 7 November 2006

      LEC No. 40900 of 2006

      DIAMOND & ANOR v BIRDON CONTRACTING PTY LIMITED & ANOR [2007] NSWLEC 92

      EX TEMPORE JUDGMENT

1 HIS HONOUR: The first respondent Birdon Contracting Pty Limited, applies by notice of motion for an order for security for costs in relation to proceedings brought by the applicants relating to a sand mining operation conducted on land at Singleton Road, Colo Heights (Tinda Park). The proceeding are brought under s 123(1) of the Environmental Planning and Assessment Act 1979, which enable any person to bring proceedings in the Court for an order to remedy or restrain a breach of the Act, whether or not any right of that person has been or may be impinged by or as a consequence of that breach. The applicants allege that the sand mining operation is being conducted unlawfully.

2 The first applicant, Mr Neville Diamond who appears in person, is an undischarged bankrupt. He says that he has the written authority of the second applicant, Mr Mark Richardson, to appear as his agent. There is no evidence before me, however, of any written authorisation by Mr Richardson as required by s 63 of the Land & Environment Court Act 1979. Accordingly I must assume that Mr Diamond only represents himself.

3 There is evidence from the first respondent’s solicitor, Mr Gregory Miles of Russell C Byrnes solicitors, giving an estimate of the first respondent’s costs of the proceedings. In his affidavit sworn on 12 October 2006, Mr Miles sets out his estimate of these costs as follows:

          6. It is my opinion that if this matter were to proceed to trial the days involved in the hearing would be at least 4 or more days and a days [sic] view. I have been instructed to engage Senior Counsel and a junior and I estimate the costs of preparation and hearing will exceed $40,000 for my client alone.

          7. In making the above assessment I have estimated Senior Counsel’s fees at…

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Details
Case
[2007] NSWLEC 92
Decision Date

CaseChat Overview and Summary

In Diamond v Birdon Contracting Pty Limited, the applicant, Neville Diamond, along with Mark Richardson, brought proceedings against Birdon Contracting Pty Limited and Hawkesbury City Council under section 123(1) of the Environmental Planning and Assessment Act 1979, alleging unlawful sand mining. Birdon Contracting Pty Limited applied for security for costs in relation to these proceedings. The case was heard by Lloyd J in the Land and Environment Court of New South Wales.

The primary legal issue before the Court was whether Birdon Contracting Pty Limited was entitled to an order for security for costs under section 69(3) of the Land and Environment Court Act 1979. Lloyd J considered the relevant principles for granting such security, drawing from the case of KP Cable Investments Pty Ltd v Meltglow Pty Limited and the subsequent interpretation by the New South Wales Court of Appeal in Melville v Craig Nowlan & Associates Pty Ltd.

Lloyd J applied the principles as modified by the Court of Appeal in Melville, focusing on whether the application was brought promptly, the strength of the case, and whether the application was oppressive. Lloyd J found that the application was brought promptly and that the case was arguable. The Court rejected the notion that the application would deny an impecunious citizen the right to litigate, as per the reasoning in Melville. The Court concluded that the application for security for costs should be granted.

The formal orders of the Court were that the applicants must provide security for costs in the sum of $50,000.00 or a bank guarantee in the same amount. In default of providing such security, the application would be permanently stayed or stayed until further order of the Court. The costs of the notice of motion were to be paid by the first applicant.

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