Downer EDI Limited v Gillies (No 2)

In *Downer EDI Limited v Gillies (No 2)*, the New South Wales Court of Appeal considered consequential orders and costs following an appeal concerning a dispute between Downer EDI Limited and Mr Gillies. The primary dispute involved a payment made by Downer to Mr Gillies under a contract, with a portion remitted to the Australian Taxation Office.

The Court was required to determine the correct calculation of judgment interest and the appropriate orders for costs at first instance and on appeal. Specifically, the court had to consider the application of the *Civil Procedure Act 2005* (NSW) regarding the commencement date for judgment interest and how to allocate costs given the mixed success of the parties.

The Court reasoned that the judgment interest should be calculated from the date of the original orders made by the court below, as provided by section 101 of the *Civil Procedure Act 2005* (NSW), noting that section 101(3) would not apply given the likely protracted nature of payment. Regarding costs, the Court ordered that Mr Gillies should have his costs at first instance without discount, as a fundamental attack on his honesty had failed. For the appeal, the Court determined that Mr Gillies should pay 20 percent of Downer's costs, acknowledging that Downer had been successful on issues that occupied slightly more time and preparation. The Court directed the parties to provide short minutes of orders within seven days.