Finnegan v Washington

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FEDERAL COURT OF AUSTRALIA

Finnegan v Washington [2020] FCA 601

File number: WAD 429 of 2019
Judge: JACKSON J
Date of judgment: 6 May 2020
Catchwords: COSTS - amendment of statement of claim - no reason to depart from usual rule as to costs thrown away
Legislation:

Federal Court of Australia Act 1976 (Cth) s 43

Federal Court Rules 2011 (Cth) r 16.55

Cases cited:

Dow Jones & Co Inc v Gutnick [2002] HCA 56; (2002) 210 CLR 575

Kazar (Liquidator) v Kargarian; In the Matter of Frontier Architects Pty Ltd (In Liq) [2011] FCAFC 136; (2011) 197 FCR 113

Laing O'Rourke (BMC) Ltd (formerly Barclay Mowlem Construction Ltd) v Dampier Port Authority [2007] WASC 87

Lazarus v Deutsche Lufthansa AG (1985) 1 NSWLR 188

Stanley v Layne Christensen Company [2006] WASCA 56

Date of hearing: Determined on the papers
Date of last submissions: 15 April 2020 (applicant)
22 April 2020 (first, second and third respondents)
28 April 2020 (applicant in reply)
Registry: Western Australia
Division: General Division
National Practice Area: Other Federal Jurisdiction
Category: Catchwords
Number of paragraphs: 12
Counsel for the Applicant: The applicant appeared in person
Counsel for the First Respondent: Mr A Gregg
Solicitor for the First Respondent: Wotton & Kearney Lawyers
Counsel for the Second Respondent: The second respondent appeared in person
Counsel for the Third Respondent: Ms K Michael
Solicitor for the Third Respondent: Aherns Lawyers

ORDERS

WAD 429 of 2019
BETWEEN:

PATRICK FINNEGAN

Applicant

AND:

TIM WASHINGTON

First Respondent

MATTHEW KEMNER

Second Respondent

RICHARD BAIRD

Third Respondent

JUDGE:

JACKSON J

DATE OF ORDER:

6 MAY 2020

THE COURT ORDERS THAT:

1.The applicant has leave to file an amended statement of claim in the same form as the minute of proposed amended statement of claim that the applicant emailed to the Court on 25 March 2020.

2.The applicant must pay the respondents' costs thrown away by reason of the amendments, if any.

Note:   Entry of orders is dealt with in Rule 39.32 of the Federal Court Rules 2011.


REASONS FOR JUDGMENT

JACKSON J:

  1. Mr Finnegan claims that each of the respondents is liable to him for defamation.  He alleges that they made defamatory statements in a particular channel in a Slack workspace, which broadly speaking is a kind of Internet conversation board.  It is pleaded that members of the public can join or be invited to join a Slack channel.

  2. The respondents complained that the statement of claim did not adequately plead the element of publication of the defamatory statements.  After correspondence between the parties, Mr Finnegan has produced a minute of proposed amended statement of claim which adds to the plea of publication, by way of what are described as further particulars.  The respondents do no oppose leave to amend in terms of the minute, but seek their costs thrown away by reason of the amendments, if any.  Mr Finnegan opposes that order and seeks an order that any costs incurred by reason of the amendments be costs in the…

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Details
Case
[2020] FCA 601
Decision Date

CaseChat Overview and Summary

Finnegan v Washington concerned a dispute between the parties over an amendment to a statement of claim. The case was heard in the Federal Court of Australia. The central issue was whether the plaintiff, Finnegan, should be permitted to file an amended statement of claim and, if so, whether costs incurred by the defendant, Washington, due to the amendment should be paid by Finnegan.

The court was required to determine if Finnegan should be granted leave to amend the statement of claim and, if granted, whether the usual rule that the costs thrown away by the amendment should be paid by the party seeking the amendment should be applied. The court considered the circumstances under which amendments are allowed and the principles guiding the imposition of costs for such amendments.

In its reasoning, the court noted that amendments to pleadings are generally permitted to allow for the fair presentation of a party's case. However, the court also highlighted that amendments may lead to costs being thrown away by the opposing party. The court found that there was no exceptional reason to depart from the usual rule that the costs thrown away by reason of the amendment should be paid by the party seeking the amendment. Accordingly, the court granted Finnegan leave to file an amended statement of claim in the form proposed but ordered Finnegan to pay Washington's costs incurred due to the amendment.

The final orders of the court allowed Finnegan to file an amended statement of claim in the form emailed to the court on 25 March 2020, with the condition that Finnegan must pay Washington's costs thrown away by reason of the amendments.

Orders

Orders of the court

1. The applicant has leave to file an amended statement of claim in the same form as the minute of proposed amended statement of claim that the applicant emailed to the Court on 25 March 2020.

2. The applicant must pay the respondents' costs thrown away by reason of the amendments, if any.

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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