Dunstan v Rickwood (No 2)

Case [2007] NSWCA 266


Reported Decision: (2007) DFC 95-407

New South Wales


Court of Appeal


CITATION: Dunstan v Rickwood (No 2) [2007] NSWCA 266
HEARING DATE(S): On the papers.
 
JUDGMENT DATE: 

28 September 2007
JUDGMENT OF: Beazley JA at 1; Ipp JA at 2; McColl JA at 3
DECISION: The appellant to pay the respondent’s costs of the trial from August 2004.
CATCHWORDS: FAMILY LAW AND CHILD WELFARE – De facto relationships – costs – costs of property adjustment proceedings under Property (Relationships) Act 1984 – whether “starting position” in cases under the Act that each party should pay its own costs – HELD – cannot confine discretion conferred by s 98, Civil Procedure Act 2005 and UCPR 42.1 by adopting “starting position” principle – costs should follow the event - PROCEDURE – costs – indemnity costs – offers made did not comply with offer of compromise rules, nor constitute a Calderbank letter – whether party acted so unreasonably as to warrant award of indemnity costs – HELD - no
LEGISLATION CITED: Civil Procedure Act 2005
Land and Environment Court Act 1979
Legal Profession Act 2004
Property (Relationships) Act 1984
Family Law Act 1975 (Cth)
District Court Rules 1973
Supreme Court Rules 1970
Uniform Civil Procedure Rules 2005
CASES CITED: Bruinsma v Menczer (1995) 40 NSWLR 716
Calderbank v Calderbank [1976] Fam 93
Dunstan v Rickwood [2007] NSWCA 147
Fordyce v Fordham & Anor (No 2) [2006] NSWCA 362
Ghunaim v Bart (No 2) [2006] NSWCA 82
Hyman v Rose [1912] AC 623
Jones v Bradley (No 2) [2003] NSWCA 258
Kardos v Sarbutt (No 2) [2006] NSWCA 206
Leichhardt Municipal Council v Green [2004] NSWCA 341
Oshlack v Richmond River Council [1998] HCA 11; (1998) 193 CLR 72
Rolls Royce Industrial Power (Pacific) Ltd (Formerly John Thompson (Australia) Pty Limited) v James Hardie & Co Pty Ltd (Pacific) Limited [2001] NSWCA 461; (2001) 53 NSWLR 626
Sydney City Council v Geftlick and Ors [2006] NSWCA 280
Von Zonneveld v Seaton [2005] NSWSC 175
Williamson v Mig Aero Pty Ltd (McLelland J, 15 March 1991, unreported)
PARTIES: Ross Dunstan (Appellant)
Julie Anne Rickwood (Respondent)
FILE NUMBER(S): CA 40031 of 2007
COUNSEL: G Brszstowski SC (Appellant)
R Maurice (Respondent)
SOLICITORS: Crowley Clifford Simpson (Canberra) (Appellant)
Lessli Strong & Associates (Canberra) (Respondent)
LOWER COURT JURISDICTION: District Court
LOWER COURT FILE NUMBER(S): DC 942/2005
LOWER COURT JUDICIAL OFFICER: Goldring DCJ
LOWER COURT DATE OF DECISION: 14 December 2006



                          CA 40031/07
                          DC 942/05

                          BEAZLEY JA
                          IPP JA
                          McCOLL JA

                          Friday 28 September 2007

Dunstan v Rickwood (No 2)

1 BEAZLEY JA: I agree with McColl JA

2 IPP JA: I agree with McColl JA

3 McCOLL JA: The parties were in a de facto relationship for nine years. The relationship ended in 2002. By proceedings commenced on 24 April 2003 the appellant sought a property adjustment pursuant to s 20 of the Property (Relationships) Act 1984 (the “Act”). He claimed an order that the respondent pay him $280,000 in consideration for which he would transfer…

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AGLC
Dunstan v Rickwood (No 2) [2007] NSWCA 266
Case
[2007] NSWCA 266
Decision Date

CaseChat Overview and Summary

This matter concerned an appeal from a decision of the Family Court of Australia regarding costs in property adjustment proceedings under the *Property (Relationships) Act 1984* (NSW). The dispute arose between the parties, Dunstan and Rickwood, following the breakdown of their de facto relationship.

The primary legal issues before the Court of Appeal were whether the trial judge erred in their approach to awarding costs, specifically concerning the application of a "starting position" that each party should bear their own costs in such proceedings. The court was also required to determine whether the respondent had acted unreasonably to warrant an award of indemnity costs, and whether any offers made by the parties complied with the rules for offers of compromise or constituted a valid *Calderbank* letter.

The Court of Appeal held that the discretion conferred by s 98 of the *Civil Procedure Act 2005* (NSW) and UCPR 42.1 could not be confined by adopting a "starting position" principle that each party should pay its own costs. Instead, the court affirmed the general principle that costs should follow the event. Furthermore, the court found that the offers made by the parties did not meet the requirements for an offer of compromise or a *Calderbank* letter, and that the respondent had not acted so unreasonably as to justify an award of indemnity costs.

Consequently, the Court of Appeal ordered that the appellant pay the respondent's costs of the trial from August 2004.

Orders

Orders of the court

The appellant to pay the respondent's costs of the trial from August 2004.

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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