Fraser Property Developments Pty Ltd v Sommerfeld (No 2)

Fraser Property Developments Pty Ltd sought costs from the respondent, Robert Peter Sommerfeld, after an unsuccessful appeal to the Court of Appeal. The dispute involved the interpretation and application of section 58(3) of the Bankruptcy Act 1966, which restricts the ability of a bankrupt to incur debts. The court was required to decide whether the appeal, the submission on appeal, or the order for costs constituted a new step under section 58(3), and whether the costs sought were a "provable debt" within the meaning of the Act.

The court held that the appeal and submission on appeal did not constitute a fresh step within the meaning of section 58(3). The court reasoned that these were not independent actions, but rather part of the same legal process. Additionally, the court found that the costs were a provable debt as they were incurred in the course of the legal proceedings. Therefore, the court granted the application for costs, ordering the respondent to pay the appellant's costs of the appeal and of and incidental to the application made by him on 2 August 2004.