FEDERAL COURT OF AUSTRALIA
Elevate Brandpartners Ltd v Hammond (No 2) [2019] FCA 1598
File number: NSD 488 of 2019 Judge: STEWART J Date of judgment: 25 September 2019 Catchwords: COSTS – costs orders – interlocutory hearing – different parties enjoying success in different parts of the case and to differing degrees – each party pays their own costs Legislation: Australian Consumer Law (Schedule 2 of the Competition and Consumer Act 2010 (Cth)) Cases cited: Elevate Brandpartners Ltd v Hammond [2019] FCA 1103 Date of last submissions: 15 August 2019 Registry: New South Wales Division General Division National Practice Area: Commercial and Corporations Sub-area: Corporations and Corporate Insolvency Category: Catchwords Number of paragraphs: 12 Counsel for the Plaintiffs: S Dawson SC and M Cairns Solicitor for the Plaintiffs: HWL Ebsworth Counsel for the Defendants: R Newlinds SC and D G Healey Solicitor for the Defendants: Gadens ORDERS
NSD 488 of 2019 BETWEEN: ELEVATE BRANDPARTNERS LTD (UK COMPANY NUMBER 10159717)
First Applicant
QUAYEYEWARE PTY LTD (ACN 118 078 274)
Second Applicant
AND: LINDA HAMMOND
First Respondent
ALLEN JASON RICHARD HAMMOND
Second Respondent
ZAK RILEY JOHN HAMMOND
Third Respondent
DREAM BANDITS AUSTRALIA PTY LTD (ACN 630 671 206)
Fourth Respondent
JUDGE:
STEWART J
DATE OF ORDER:
25 SEPTEMBER 2019
THE COURT ORDERS THAT:
1.Each party is to pay its own costs on the applicants’ interlocutory application filed on 3 June 2019.
Note: Entry of orders is dealt with in Rule 39.32 of the Federal Court Rules 2011.
REASONS FOR JUDGMENT
(Delivered ex tempore)STEWART J:
On 25 June 2019, I heard an interlocutory application in this matter. Orders were made and ex tempore reasons were delivered on 27 June 2019. One of those orders was to reserve the costs of the interlocutory application. This judgment now deals with those reserved costs.
The Court’s reasons for making the orders that were made, in which the relevant background and issues in dispute are set out, are reported at Elevate Brandpartners Ltd v Hammond [2019] FCA 1103. The same abbreviations and references are used in these reasons.
Subsequent to the publication of the reasons, the parties filed written submissions and agreed to the Court deciding the outstanding questions relating to costs on the basis of the written submissions.
The applicants submit that the costs of the application in relation to the trademark and copyright issues as well as breaches of the Australian Consumer Law (ACL) should be awarded in their favour against the first, second and fourth respondents (i.e. Ms Hammond, Mr Hammond and Dream Bandits). They submit that there should be no order as to costs on the Kylie Jenner issue.
The respondents submit that the second applicant (Quay) should pay Zak Hammond’s costs on an indemnity basis and that in all other respects each party should pay its own costs.
Each side of the case has considerations in favour of it getting some costs.
With regard to the issues of trademark and copyright infringement and breaches of the ACL,…
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- Case
- [2019] FCA 1598
- Decision Date
CaseChat Overview and Summary
The central legal issue before the court was whether to make a costs order in favour of one party or the other, given that each party had achieved partial success in different aspects of the case. The court needed to determine if the overall success of one party justified an order for the other party to bear the costs, or if the partial successes of both parties warranted a more equitable distribution of costs.
The court reasoned that neither party had achieved complete success across all issues. Instead, each party had succeeded to varying degrees in different parts of the case. Given this, the court concluded that it was not appropriate to make a costs order in favour of one party alone. Instead, the fairest outcome was for each party to bear its own costs. This decision reflects the principle that costs should follow the event, but only where there is a clear overall winner.
As a result, the court ordered that each party is to pay its own costs on the interlocutory application filed on 3 June 2019. This decision ensures that neither party is unduly burdened by the costs of the other, aligning with the principle of fairness in the distribution of legal expenses.
Orders
Orders of the court
1. Each party is to pay its own costs on the applicants’ interlocutory application filed on 3 June 2019.
Note: Entry of orders is dealt with in Rule 39.32 of the Federal Court Rules 2011.
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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