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Foster v Galea (No 2)

Foster v Galea (No 2)

Case [2008] VSC 331

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AGLC: Foster v Galea (No 2) [2008] VSC 331
Case: [2008] VSC 331
Decision Date: 2 September 2008

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Foster v Galea (No 2) [2008] VSC 331

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Chamakala v 7-Eleven (Order) [2009] VCC 1797

Cases Citing This Decision

Secretary to the Department of Transport v Provan's Timber Pty Ltd (No 2) [2020] VSCA 258
Citation 1 (Para 1)

…VSCA 298; Wilson v Melbourne Water Corporation [No 2] [2018] VSC 776, [73] (Ginnane J) (‘ Wilson ’). [33] Foster v Galea [No 2] [2008] VSC 331, [9] (Byrne J); Defteros v Google Inc LLC (Costs) [2017] VSC 189, [8] (John Dixon J); Evans Shire Council v Richardson [No 2] [2006] NSWCA 61, [26] (Giles, Ipp and Tobias…
Binaray Pty Ltd (ACN 119 724 211) as Trustee for the Allen Family Trust v RAMS Financial Group Pty Limited (ACN 105 207 538) [2019] QSC 280
Citation 2 (Para 10)

…of the UCPR did not apply because the plaintiff had obtained no judgment in its favour. [21][2011] QSC 161 at [3], referring to Foster v Galea (No 2) [2008] VSC 331. In that case, the Court considered the offer had no work to do under the offer of compromise regime, and was not ineffective for some formal or othe…
Evans v Braddock (No 2) [2015] NSWSC 518
Citation 3 (Para 11)

…An appeal was dismissed in Commonwealth of Australia v Gretton . In Foster v Galea (No 2) [2008] VSC 331, Byrne J, at [11] in relation to the onus being on the offeror to establish unreasonableness, commented: ‘This apparently simple test contains its own difficulties. The offeror, who bears the burden of establi…
Fulton v Fulton (No 2) [2014] NSWSC 857
Citation 4 (Para 11)

…In Foster v Galea (No 2) [2008] VSC 331, Byrne J, at [11] in relation to the onus being on the offeror to establish unreasonableness, commented:…
Walsh v Walsh (No 2) [2013] NSWSC 1281
Citation 5 (Para 1)

…In Foster v Galea (No 2) [2008] VSC 331, Byrne J, at [11] in relation to the onus being on the offeror to establish unreasonableness, commented:…
Ipex ITG Pty Ltd (recs & mgrs apptd) v Melbourne Water Corporation [2012] VSCA 169
Citation 6

…aim a special order if the offeree’s non-acceptance was unreasonable. For the reasons there stated I approach the present case on that basis. [29][2008] VSC 331. The offeror must establish the offeree’s unreasonableness at the time of the offer. Unlike an offer made in accordance with Order 26, there is no automa…
Wright v K B Nut Holdings P/L (as Trustee for the Kerrie-Ann Stevenson Family Trust) t/as “Bonapartes Serviced Apartments” (No 2) [2012] QDC 215
Citation 7 (Para 1)

…at an offer was made and not accepted “influences the exercise of a discretion”: at [3], per de Jersey CJ, having regard to Foster v Galea (No 2) [2008] VSC 331, at [9].…
Apostolidis v Kalenik (No 2) [2011] VSCA 329
Citation 8 (Para 1)

…derbank [1975] 3 All ER 333. [11] Hazeldene’s Chicken Farm Pty Ltd v Victorian Workcover Authority (No 2) (2005) 13 VR 435; Foster v Galea (No 2) [2008] VSC 331, [19](f).…
The Portland Downs Pastoral Company Pty Ltd v Great Northern Developments Pty Ltd & Ors (No 2) [2011] QSC 161
Citation 9

…d), r 361 Colgate Palmolive Co v Cussons Pty Ltd (1993) 46 FCR 225, cited Foster v Galea (No 2) [2008] VSC 331, considered COUNSEL: D J Campbell SC with C Fitzpatrick for the plaintiff P L O’Shea SC with J W Peden for the first and second defendants SOLICITORS: Broadley Rees Hogan for the plaintiff Frew Solicitor…
BBHF Pty Ltd v Sleeping Duck Pty Ltd [2024] VSC 532
Citation 10

…[11] Foster v Galea (No 2) [2008] VSC 331.…
Selak v National Tiles Co Pty Ltd (No 5) [2024] VSC 504
Citation 11 (Para 1)

…onsideration of the Offer a substantial discount for these risks, referring also in this context to the observations of Byrne J in Foster .[29] [29][2008] VSC 331.…
Sayers Property Holdings Pty Ltd v AIG Australia Ltd (Costs) [2024] VSC 419
Citation 12 (Para 1)

…tary to the Department of Transport v Provan’s Timber Pty Ltd (No 2) [2020] VSCA 258, 8 [25] (Tate, Kyrou and McLeish JJA); Foster v Galea (No 2) [2008] VSC 331, 3-4 [9]. [7]Citing Assets China Pty Ltd v Eastern Blue Pty Ltd (Costs) [2020] VSC 786, 8 [30] (Ierodiaconou AsJ); Hazeldene’s Chicken Farm Pty Ltd v Vic…
ROJ Property Group Pty Ltd v Eventpower Property Pty Ltd (Costs) [2023] VSC 268
Citation 13

…e and is to be decided according to the circumstances of the particular case. [28](2008) 20 VR 481; [2008] VSCA 212, [11]. [29] Foster v Galea (No 2) [2008] VSC 331, [9]. 22.There are some aspects of the matters mentioned in Hazeldene relevant to this application that deserve further elucidation, as follows: (a)T…
Re Slodyczka & Farren Pty Ltd (Costs) [2022] VSC 102
Citation 14 (Para 1)

…No 2) (2005) 13 VR 435; [2005] VSCA 298, 440 [19] (Warren CJ, Maxwell P and Harper AJA) (‘ Hazeldene’s Chicken Farm ‘); Foster v Galea (No 2) [2008] VSC 331; John S Hayes & Associates Pty Ltd v Kimberley-Clark Australia Pty Ltd (1994) 52 FCR 201. [23] Multicon Engineering Pty Ltd v Federal Airports Corporation (1…
Lahanis v Livesay (Costs) [2021] VSC 65
Citation 15

…e and is to be decided according to the circumstances of the particular case. [19](2008) 20 VR 481; [2008] VSCA 212, [11]. [20] Foster v Galea (No 2) [2008] VSC 331, [9]. There are some aspects of the matters mentioned in Hazeldene relevant to this application that deserve further elucidation, as follows: (a)ther…
Montclare v Metlife Insurance Ltd (No 2) [2015] VSC 574
Citation 16 (Para 1)

…reated as a Calderbank offer. Authority of this Court[2] supports that approach and I will apply it. [2]The plaintiff relied on Foster v Galea (No 2) [2008] VSC 331 [6]-[8].…
Gill v Gill (No 2) [2014] VSC 612
Citation 17 (Para 1)

…e and is to be decided according to the circumstances of the particular case. [12](2008) 20 VR 481; [2008] VSCA 212, [11]. [13] Foster v Galea (No 2) [2008] VSC 331, [9].…
Williams v Katis [2014] VSC 471
Citation 18

…[10]Eg. Foster v Galea (No 2) [2008] VSC 331, [20]; Love v State of Victoria (No 2) [2009] VSC 531, [63].…
Wong v McConville & Ors (No. 2) [2014] VSC 282
Citation 19 (Para 1)

…e and is to be decided according to the circumstances of the particular case. [29](2008) 20 VR 481; [2008] VSCA 212, [11]. [30] Foster v Galea (No 2) [2008] VSC 331, [9].…
Portbury Development Co Pty Ltd v Ottedin Investments Pty Ltd (Costs) [2014] VSC 107
Citation 20

…[14][2008] VSC 331 [7].…
Zafiriou v Saint-Gobain Administration Pty Ltd (No. 2) [2013] VSC 456
Citation 21 (Para 1)

…nto account the offer in the exercise of its discretion under s 24 of the Supreme Court Act 1986 in relation to costs.[1] [1] Foster v Galea (No 2) [2008] VSC 331; Stipanov v Mier (No 2) [2006] VSC 424 [8].…
Secretary to the Department of Business and Innovation v Murdesk Investments Pty Ltd (No 2) [2012] VSC 586
Citation 22

…[27][2008] VSC 331.…
Levy v Watt (No 2) [2012] VSC 580
Citation 23 (Para 1)

…on the defendants, as the offeror, to persuade me that the plaintiff’s rejection of the offer was unreasonable.[14] [14] Foster v Galea (No 2) [2008] VSC 331, [9] (Byrne J).…
Davies v State of Victoria (Costs) [2012] VSC 537
Citation 24 (Para 1)

…arm Pty Ltd v Victorian WorkCover Authority (No 2) (2005) 13 VR 435, 441 [20]. [5]Ibid, 440 [18]-[19]. [6]Ibid, 441 [23]. [7] Foster v Galea (No 2) [2008] VSC 331, [9] (Byrne J).…
Webb v Ryan (No 2) [2012] VSC 431
Citation 25 (Para 1)

…a Calderbank offer unless the offeror demonstrates that the offeree’s failure to accept the offer was unreasonable.[33] [32] Foster v Galea [No 2] [2008] VSC 331, [9] (‘ Foster ’). [33] Hazeldene’s Chicken Farm Pty Ltd v Victorian Workcover Authority [No 2] [2005] VSCA 298, [19]; Aljade [2004] VSC 351, [75].…
Mischel v Mischel Holdings Pty Ltd (in liq) (No 2) [2012] VSC 421
Citation 26 (Para 1)

…matters in mind, I turn now to consider the six factors enunciated in Hazeldene in light of the present circumstances. [29]See Foster v Galea (No 2) [2008] VSC 331 at [9] (Byrne J). [30] ACN 074 971 109 Pty Ltd (as Trustee for the Argot Unit Trust) and Pegela Pty Ltd v The National Mutual Life Association of Aus…
BHP Billiton Olympic Dam Corporation Pty Ltd v Steuler Industriewerke GmbH (No 3) [2012] VSC 414
Citation 27 (Para 1)

…nableness of the offeree’s rejection of the offer.[42] This means that it is necessary to analyse what was proposed.[43] [42] Foster v Galea (No 2) [2008] VSC 331, [9]. [43] Safeway [2002] FCA 1294, [25] (Goldberg J).…
ACN 074 971 109 Pty Ltd (as Trustee for the Argot Unit Trust) and Pegela Pty Ltd v The National Mutual Life Association of Australasia Ltd (No 2) [2012] VSC 177
Citation 28 (Para 1)

…ability & Environment (No. 2) [2010] VSC 513 [16] (Croft J); Love v State of Victoria & Anor [2009] VSC 531 (Cavanough J); Foster v Galea (No. 2) [2008] VSC 331 (Byrne J).…
Wallis Nominees (Computing) Pty Ltd v Matthew William Pickett (No 2) [2012] VSC 141
Citation 29 (Para 1)

…asonable.[13] [12] Hazeldene’s Chicken Farm Pty Ltd v Victorian WorkCover Authority (No 2) [2005] VSCA 298. [13] Foster v Galea and Sgambara (No 2) [2008] VSC 331, [11] (per Byrne J).…
Lord Buddha v Harpur (No 2) [2011] VSC 568
Citation 30

…[43](No 2) [2008] VSC 331.…
Eshuys v St Barbara Ltd (No 2) [2011] VSC 150
Citation 31 (Para 1)

…same effect as Calderbank offers of compromise.[3] [3] Stipanov v Mier (No 2) [2006] VSC 424, [8]-[11] (Hollingworth J); Foster v Galea & Anor (No 2) [2008] VSC 331, [7] (Byrne J); Tenth Vandy Pty Ltd v Natwest Markets Australia Pty Ltd (No 2) [2010] VSC 70, [13] (Croft J).…
Pepe v Platypus Asset Management Pty Ltd (No 2) [2011] VSC 21
Citation 32 (Para 1)

…he offers of compromise comply with the requirements of Order 26. Both parties however recognise that r 26.08(3) of the [2]See Foster v Galea (No. 2) [2008] VSC 331, [3]-[4]. Supreme Court Rules 2005 (Vic) (which deals with offers of compromise made by a defendant) applies only where the plaintiff obtains a judgm…
Roads Corporation v Love [2010] VSC 581
Citation 33

…[48][2008] VSC 331, [11].…
Auswest Timbers Pty Ltd v Secretary to the Department of Sustainability and Environment [2010] VSC 513
Citation 34 (Para 1)

…s not accepted within the time expressly limited the trial preparation costs would not be treated on a special basis. [22][2009] VSC 531. [23][2008] VSC 331.…
Porter v Bonarrigo [No 2] [2010] VSC 302
Citation 35 (Para 1)

…. As found by Byrne J, this position is not affected by Rule 26.08 or any other part of O 26 when an offer of compromise is made by a defendant. [10] [2008] VSC 331.…
Charles Blackman v Peter Gant [No 2] [2010] VSC 246
Citation 36 (Para 1)

…a Calderbank offer, in which case the approach to its consideration will be governed by the principles of Hazeldene’s Chicken Farm . [5][2008] VSC 331.…
Roads Corporation v Love (No 2) [2010] VSC 154
Citation 37 (Para 8)

…nd, for the purpose, to face up to serious offers of settlement. [27] [26]Citing Porter v Lachlan Shire Council No 2 [2006] NSWCA 252 at [8]. [27][2008] VSC 331, [11].…
Tenth Vandy Pty Ltd v Natwest Markets Australia Pty Ltd (No 2) [2010] VSC 70
Citation 38 (Para 1)

…R 333. [16]See Hazeldene’s Chicken Farm Pty Ltd v Victorian WorkCover Authority (No 2) (2005) 13 VR 435 (CA); and see Foster v Galea (No 2) [2008] VSC 331 (Byrne J), particularly at [7].…
Ipex ITG Pty Ltd v Melbourne Water Corporation (No 6) [2009] VSC 571
Citation 39 (Para 1)

…claim a special order if the offeree’s non-acceptance was unreasonable. For the reasons there stated I approach the present case on that basis. [3][2008] VSC 331.…
Love v State of Victoria (No 2) [2009] VSC 531
Citation 40 (Para 1)

…ript 102. [29]Transcript 101. [30]See also Thomopoulos v Faulks (No 2) [2006] VSC 286 at [8] and following; and Foster v Galea (No 2) [2008] VSC 331 at [11], set out below. [31]See also Ford Motor Company of Australia Ltd v Lo Presti [2009] WASCA 115 at [16]-[30], esp at [28].…
Kalenik v Apostolidis (No 3) [2009] VSC 475
Citation 41 (Para 1)

…[1975] 3 All ER 333. [20]Ibid; Hazeldene’s Chicken Farm Pty Ltd v Victorian WorkCover Authority (No 2) [2005] VSCA 298; Foster v Galea (No 2) [2008] VSC 331, [19](f).…
Makland Constructions Pty Ltd v Page Steel Fabrications Pty Ltd (Costs) [2023] VCC 891
Citation 42 (Para 17)

…was a strong one and that any offer from Page Steel ought to include an amount for costs. [13] [2005] NSWSC 481 at [17]. [14] Foster v Galea (No 2) [2008] VSC 331 at [8]. Second Offer 20Page Steel submits that the Second Offer was made as an open offer to pay Makland a net sum of $118,828.60, comprising $152,576.…
Hewitt v Count Financial Limited (No.2) [2017] VCC 405
Citation 43

…v DSE (No. 2) [2010] VSC 513; Berrigan Shire Council v Ballerini (No. 2) [2006] VSCA 65; Chen v Chan [2009] VSCA 233; Foster v Galea (No. 2) [2008] VSC 331; Hazeldene’s Chicken Farm Pty Ltd v Victorian WorkCover Authority (No. 2) (2005) 13 VR 435; Love v State of Victoria & Anor (No. 2) [2009] VSC 531; Stone v M…
Vlahos v Vlahos Pty Ltd (No. 3) [2016] VCC 1619
Citation 44 (Para 4)

…Foster v Galea (No 2) [2008] VSC 331 at [9] per Byrne J. Refer also Love v. State of Victoria & Anor…
R J and C Holdings Pty Ltd v Parkside Developments Vic Pty Ltd (No 2) [2016] VCC 420
Citation 45

…Cases Cited: Calderbank v Calderbank [1976] FAM 93; Hazeldene’s Chicken Farm Pty Ltd v VWA (No.2) (2005) 13 VR 435; Foster v Galea (No 2) [2008] VSC 331; Berrigan Shire Council v Ballerini (No 2) [2006] VSCA 65; Colgate-Palmolive v Cussons Pty Ltd (1993) 46 FCR 225; Ingot Capital Investment Pty Ltd v Macquarie Eq…
Bakha Enterprises Pty Ltd v Smith (Ruling) [2015] VCC 350
Citation 46

…975] 3 All ER 333; Hazeldene’s Chicken Farm Pty Ltd v Victorian WorkCover Authority (No 2) (2005) 13 VR 435; Foster v Galea & Anor (No 2) [2008] VSC 331; Smith v Jovanoska & Anor (No 2) [2013] VSC 714; Grbavac v Hart [1997] 1 VR 154; Aljade and Malaysian Kuwaiti Investment Co SDN BHD (MKIC) v Oversea-Chinese Bank…
Ali v Was Sales and Repairs Pty Ltd and Victorian WorkCover Authority (Ruling) [2014] VCC 1102
Citation 47

…d v Natwest Markets Australia Pty Ltd (No 2) [2010] VSC 70; Metcalfe v Commonwealth of Australia (No 2) [2006] VSC 133; Foster v Galea (No 2) [2008] VSC 331; Grbavac v Hart [1997] 1 VR 154; Maitland Hospital v Fisher (No 2) (1992) 27 NSWLR 721; O ’Neill v T D Williamson (No 2) [2008] VSC 430; Crump & Ors v Equine…
Pert v Ballarat Wildlife Park Pty Ltd (Ruling) [2013] VCC 831
Citation 48

…1; Hazeldene’s Chicken Farm Pty Ltd v Victorian WorkCover Authority (No 2 ) [2005] VSCA 298; Grbavac v Hart [1997] 1 VR 154; Foster v Galea (No 2 ) [2008] VSC 331; Eshuys v St Barbara Ltd (No 2) [2011] VSC 150; Aljade and Malaysian Kuwaiti Investment Co SDN BHD (MKIC) v Oversea-Chinese Banking Corp Ltd [2004] VSC…
Telstra Corporation Ltd v Adept Drainage Pty Ltd (No 2) [2011] VCC 1422
Citation 49

…rbank offer is a matter to which the Court should have regard when considering whether to order indemnity costs.[5] [4] Foster v Galea (No 2) [2008] VSC 331, at paragraph [7] [5] See Hazeldene’s Chicken Farm Pty Ltd ( op cit ) at paragraphs [17] - [20] 21 The principles governing the award of costs in respect of…
State Securities Pty Ltd and Karas v Dromi No 3 (Ruling) [2011] VCC 980
Citation 50

…ff’s conduct being tantamount to fraud – Calderbank v Calderbank [1975] 2 All ER 333; Stipanov v Mier (No 2) [2006] VSC 242; Foster v Galea [2008] VSC 331; Hazeldene’s Chicken Farm Pty Ltd v VWA (No 2) (2005) 13 VR 435; Crane Distribution Ltd v O’Loughlin [2000] VSC 373; Oasis Hotel Ltd v Zurich Insurance Co (198…

Cases Cited

Statutory Material Cited

AMP Services Ltd v Manning (No 2) [2007] FCA 82
Citation 1 (Para 1)

…nclude that the plaintiff in this case was certainly unwise, if not unreasonable, in not accepting the offer. [17] AMP Services Ltd v Manning (No. 2) [2007] FCA 82.…
Porter v Lachlan Shire Council No 2 [2006] NSWCA 252
Citation 2 (Para 8)

…[10] Porter v Lachlan Shire Council (No. 2) [2006] NSWCA 252 at [8].…
Hazeldene's Chicken Farm Pty Ltd v Victorian Workcover Authority (No 2) [2005] VSCA 298
Citation 3 (Para 1)

…stances which the Court of Appeal in that case said were matters which a trial judge should ordinarily have regard to in such a case. These are: [5](2005) 13 VR 435.…
Foster v Galea & Anor [2008] VSC 317
Citation 4 (Para 1)

…rking for his new employer, Ms Sgambaro. Against her it was put that she knowingly received and benefited from the confidential information. [1][2008] VSC 317.…
Stipanov v Mier (No 2) [2006] VSC 424
Citation 5 (Para 1)

…ayside Health [2003] VSC 111 at [25], per Osborn J; Farrell v CSL Ltd (No. 2) [2004] VSC 551 at [14], per Bongiorno J; Stipanov v Mier (No 2) [2006] VSC 424 at [8], per Hollingworth J. [9](Unreported), 28 April 1993, BC9303878…
Aljade and MKIC v OCBC [2004] VSC 351
Citation 6 (Para 1)

…each case the plaintiff is encouraged by the court to accept an offer discounted to reflect these risks and uncertainty. [12] Aljade and MKIC v OCBC [2004] VSC 351 at [60], per Redlich J.…
Farrell v CSL Limited (No 2) [2004] VSC 551
Citation 7 (Para 1)

…the offer was unreasonable. [8] Development Ventures Pty Ltd v Bayside Health [2003] VSC 111 at [25], per Osborn J; Farrell v CSL Ltd (No. 2) [2004] VSC 551 at [14], per Bongiorno J; Stipanov v Mier (No 2) [2006] VSC 424 at [8], per Hollingworth J. [9](Unreported), 28 April 1993, BC9303878…
Development Ventures Pty Ltd v Bayside Health [2003] VSC 111
Citation 8 (Para 1)

…s the offeror demonstrates that the offeree’s failure to accept the offer was unreasonable. [8] Development Ventures Pty Ltd v Bayside Health [2003] VSC 111 at [25], per Osborn J; Farrell v CSL Ltd (No. 2) [2004] VSC 551 at [14], per Bongiorno J; Stipanov v Mier (No 2) [2006] VSC 424 at [8], per Hollingworth J. […

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