Farina and Lofts (No. 2)

This matter concerned a dispute between Mr Farina and Ms Lofts regarding the outstanding invoice for an expert report. A single expert, Mr I of U Pty Ltd, was initially engaged by Mr Farina and Ms Lofts for a business valuation in property proceedings. Subsequently, additional parties, including Mr Wagner, C Pty Ltd, and D Pty Ltd, were joined to the proceedings. A disagreement arose as to which party bore responsibility for the outstanding invoice from U Pty Ltd.

The court was required to determine which party was liable for the payment of the outstanding invoice issued by U Pty Ltd. This involved interpreting the terms of an Engagement Letter and Standard Terms and Conditions entered into between U Pty Ltd and the parties to the substantive litigation, particularly in light of the joinder of additional parties and the initial consent orders regarding payment responsibilities.

Carew J found that, as between the parties to the substantive litigation (excluding U Pty Ltd), Mr Farina was liable for the payment of the invoice. This conclusion was based on the terms of the Engagement Letter and the acknowledgements signed by the parties. The court noted that while U Pty Ltd had indicated an intention to pursue contractual rights elsewhere, it had been provided an opportunity to make submissions regarding the court's jurisdiction to determine the contractual dispute, which it did not pursue. The court ultimately determined it did not have jurisdiction to determine the dispute between U Pty Ltd and the parties.

The court ordered that Mr Farina is liable for the payment of the invoice to U Pty Ltd and must pay the sum of $43,156 within 14 days. Certain applications filed by the applicant and respondents were dismissed, save as to costs. Provisions were also made for the determination of any costs applications if parties could not reach agreement within 21 days, with such applications to be heard in chambers. The order clarified that it did not preclude U Pty Ltd from pursuing any contractual rights they may have against any party.