FEDERAL COURT OF AUSTRALIA
DSE (Holdings) Pty Limited v InterTAN Inc [2004] FCA 1251
DSE (HOLDINGS) PTY LTD v INTERTAN INC AND ANOR
N 3011 of 2002ALLSOP J
22 SEPTEMBER 2004
SYDNEY
IN THE FEDERAL COURT OF AUSTRALIA
NEW SOUTH WALES DISTRICT REGISTRY
N 3011 of 2002
BETWEEN:
DSE (HOLDINGS) PTY LIMITED
APPLICANTAND:
INTERTAN INC
FIRST RESPONDENTINTERTAN CANADA LIMITED
SECOND RESPONDENTJUDGE:
ALLSOP J
DATE OF ORDER:
22 SEPTEMBER 2004
WHERE MADE:
SYDNEY
THE COURT ORDERS THAT:
1.THE COURT DECLARES THAT upon the proper construction of the written agreement entitled "Share Acquisition Agreement" and executed on 10 April 2001, the expression "December Accounts" means or refers to the document entitled: "Corporate Pack - Intertan Australia Subsidiary/Division for the period ending December 2000" and referred to by the parties in these proceedings as "the December Corporate Pack".
2.THE COURT ORDERS THAT judgment be entered in favour of the applicant against the first and second respondents in the sum of $4,208,602.06 inclusive of interest up to and including 22 September 2004.
3.THE COURT ORDERS THAT the first and second respondents pay to the applicant the sum referred to in order 2.
4.THE COURT ORDERS THAT the amended cross-claim be dismissed.
5.THE COURT DISCHARGES orders 3 and 4 made on 9 September 2004.
6.THE COURT ORDERS THAT the first and second respondents pay the applicants costs of the proceedings, including the costs of the amended cross-claim, any reserved costs and the costs of the third party discovery order made against SalomonSmithBarney on 19 December 2002 as agreed or taxed on an indemnity basis save that the costs of three days of hearing are to be paid as agreed or taxed on a party/party basis.
7.THE COURT ORDERS THAT the first and second respondents pay the third party’s costs and expenses of the discovery order made against SalomonSmithBarney on 19 December 2002.
8.If it be necessary, THE COURT ORDERS THAT time for the filing and service of a notice of appeal be extended to a day commencing today, 22 September 2004.
Note: Settlement and entry of orders is dealt with in Order 36 of the Federal Court Rules.
IN THE FEDERAL COURT OF AUSTRALIA
NEW SOUTH WALES DISTRICT REGISTRY
N 3011 of 2002
BETWEEN:
DSE (HOLDINGS) PTY LIMITED
APPLICANTAND:
INTERTAN INC
FIRST RESPONDENTINTERTAN CANADA LIMITED
SECOND RESPONDENT
JUDGE:
ALLSOP J
DATE:
22 SEPTEMBER 2004
PLACE:
SYDNEY
REASONS FOR JUDGMENT
This is an application in relation to the making of final orders consequent upon my reasons published and orders otherwise made on 9 September 2004. Both parties request that I consolidate in today's orders, such orders as are in the nature of final orders that are outstanding. Therefore, in due course, when I pronounce the final orders, I will discharge some of the orders made on 9 September.
The substantive dispute today rests on the issue of whether the applicant should have its costs at a higher level than party/party costs.…
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- Case
- [2004] FCA 1251
- Decision Date
CaseChat Overview and Summary
The legal issues before the court included determining the proper construction of the contract and the meaning of certain terms within it, as well as assessing whether the respondents' conduct in defending the case warranted an indemnity costs order. The court had to consider whether the respondents' actions were in "wilful disregard of known facts or clearly established law" and whether there was a valid offer to settle the case under the court rules.
In delivering judgment, the court found that the term "December Accounts" in the agreement did indeed refer to the specified financial documents. The court also noted that the respondents' conduct did not warrant an indemnity costs order, despite their failure to comply with certain procedural requirements. The court, however, ordered the respondents to pay the applicant's costs on an indemnity basis, except for three days of hearing costs, which were to be paid on a party/party basis. Additionally, the respondents were ordered to pay the costs of a third party in relation to a discovery order.
The final orders of the court included declaring the meaning of the term "December Accounts", ordering judgment in favour of the applicant for a specific sum inclusive of interest, and directing the respondents to pay various costs associated with the proceedings. The court also provided for the possibility of extending the time for filing a notice of appeal if necessary.
Orders
Orders of the court
1. THE COURT DECLARES THAT upon the proper construction of the written agreement entitled "Share Acquisition Agreement" and executed on 10 April 2001, the expression "December Accounts" means or refers to the document entitled: "Corporate Pack - Intertan Australia Subsidiary/Division for the period ending December 2000" and referred to by the parties in these proceedings as "the December Corporate Pack".
2. THE COURT ORDERS THAT judgment be entered in favour of the applicant against the first and second respondents in the sum of $4,208,602.06 inclusive of interest up to and including 22 September 2004.
3. THE COURT ORDERS THAT the first and second respondents pay to the applicant the sum referred to in order 2.
4. THE COURT ORDERS THAT the amended cross-claim be dismissed.
5. THE COURT DISCHARGES orders 3 and 4 made on 9 September 2004.
6. THE COURT ORDERS THAT the first and second respondents pay the applicants costs of the proceedings, including the costs of the amended cross-claim, any reserved costs and the costs of the third party discovery order made against SalomonSmithBarney on 19 December 2002 as agreed or taxed on an indemnity basis save that the costs of three days of hearing are to be paid as agreed or taxed on a party/party basis.
7. THE COURT ORDERS THAT the first and second respondents pay the third party’s costs and expenses of the discovery order made against SalomonSmithBarney on 19 December 2002.
8. If it be necessary, THE COURT ORDERS THAT time for the filing and service of a notice of appeal be extended to a day commencing today, 22 September 2004.
Background
Background to the litigation
Evidence
Evidence Before The Court
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Decision
Reasons for decision
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Ratio Decidendi
Legal Principle Established
Established by: ALLSOP J
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