Ferguson v Dallow (No 2)

Ferguson commenced proceedings in the Federal Court against Dallow for the recovery of moneys owed. Dallow, the first respondent, did not file a defence within the prescribed time. As a result, Ferguson applied for a default judgment. The primary legal issue before the Court was whether to grant Ferguson’s application for a default judgment under rule 5.23 of the Federal Court Rules 2011. The Court considered whether Dallow had any sufficient reason for not filing a defence and whether it was just to grant the default judgment.

The Court noted that Dallow had failed to file a defence despite multiple opportunities to do so. The Court also noted that Dallow had not provided any explanation for the default. In determining whether to grant a default judgment, the Court considered the principles of justice and fairness. The Court held that Dallow’s default warranted the entry of a default judgment and that it was just to do so in the circumstances. The Court granted the application for a default judgment.

Accordingly, the Court ordered that judgment be entered in favour of Ferguson and against Dallow for the amount claimed, plus interest and costs. The Court also ordered that Ferguson’s claim for costs be assessed, or if the parties could not agree, that the matter be referred to a costs judge.