Gallagher v Owens
[1992] HCATrans 125
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IN THE HIGH COURT OF AUSTRALIA
Office of the Registry
Melbourne No M21 of 1992 B e t w e e n -
NORMAN LESLIE GALLAGHER
Plaintiff
and
RONALD GEORGE OWENS on his own
behalf as well as on behalf of
and as representing all the
members for the time being of
the Federal Council of The
Australian Building
Construction Employees' andBuilders Labourers' Federation
EXCEPT THE PLAINTIFF and JOHN
CUMMINS
Defendant
Application for injunction
TOOHEY J
(In Chambers)
TRANSCRIPT OF PROCEEDINGS
AT CANBERRA ON TUESDAY, 28 APRIL 1992, AT 9.02 AM
Copyright in the High Court of Australia
| Gallagher | 1 | 28/4/92 |
MR J.D. HAMMOND: If Your Honour pleases, I appear on behalf
of the plaintiff. (instructed by Marshalls & Dent)
MR K.H. BELL: If Your Honour pleases, I appear on behalf of
Mr Owens. (instructed by Geoffrey Edwards & Co)
MR H. BORENSTEIN: If Your Honour pleases, I appear for
Mr Cummins and I have an application to make in
relation to his role in the proceedings.
(instructed by Harry Nowicki & Co)
| HIS HONOUR: | I must say one of the questions I was going to |
ask you was what you were doing here,
Mr Borenstein. According to the title of the
action, you are excluded.
MR BORENSTEIN: Yes, Your Honour, we are very downcast at
the prospect that we are the only ones who are not
invited to the party and we are somewhat curious as
to the reasons. But, in any event, Your Honour, we
have an application to make that Mr Cummins be
admitted as a defendant to the action.
| HIS HONOUR: | On what basis , Mr Borenstein? |
MR BORENSTEIN: Well, Your Honour, the power of the Court to
do that - - -
| HIS HONOUR: | I am not questioning the power of the Court. |
| MR BORENSTEIN: | The basis is, Your Honour, that he is a |
federal councillor, he is the only federal
councillor for reasons unknown to us that is not
included. He is an officer of the organization in the sense of holding the position of federal
treasurer and the matters in dispute here concernunion funds, or allegations of misappropriation of
union funds. He is the only federal councillor from the State of Victoria on this federal council.
These are all matters that appear from Mr Hammond's
materials, Your Honour, and it is our understanding
and, I think, Mr Bell will tell Your Honour in due course that it is not clear that all of the other federal councillors will be taking any particular position in relation to this matter and as the
charges which are the substance of this matter
emanate from Victoria and Mr Cummins is the
Victorian Branch Secretary at the moment, he has a
particular interest to ensure that this matter is
dealt with in the interests of those that he
represents.
| HIS HONOUR: | Yes, thank you, Mr Borenstein. | Mr Hammond, is |
there any reason why Mr Cummins was omitted and,
having been omitted, why he should not now be
added.
| Gallagher | 2 | 28/4/92 |
| MR HAMMOND: | Yes, Your Honour, there are two reasons. | The |
first reason, it is beyond our comprehension
Mr Cummins would contemplate sitting as a member of
the federal council when hearing these charges, or
purported charges. As Your Honour heard from my learned friend Mr Borenstein, the charges emanate
from Victoria. We would submit there would be an
irresistible case of invincible bias if Mr Cummins
sat on the council and on adjudicated the matter.
In fact, if Your Honour has had the opportunity of
reading any of the exhibited material, Your Honour
would see that the grounds that are attached to the
purported summons which brings us here were sent by
- the letter enclosing the grounds was sent by
Mr Cummins in his purported capacity as branch
secretary of the Victorian branch and he has been a
prime mover in bringing charges against
Mr Gallagher.
| HIS HONOUR: | That may be a very good reason for him not to |
sit on any disciplinary proceeding but that is not
quite the point at the moment, is it?
MR HAMMOND: That is the first ground, Your Honour. So,
therefore, we see no reason to restrain him from
hearing, in effect, the summons. We also say, Your Honour, he is not a necessary party to this
proceeding. For that reason and, as Your Honour is
no doubt aware, the original jurisdiction which we
have invoked of the High Court with respect to
residents of different States is necessary to give
this honourable Court jurisdiction that residents
from the same State do not appear on both sides of
the record. The effect of joining Mr Cummins, in
any event, to this proceeding would be to thereby
deprive the plaintiff of the opportunity of
bringing this proceeding in the High Court in its
original jurisdiction.
That, of itself, may not have been sufficient
but we say, Your Honour, that as there is
absolutely no need - and Mr Cummins ought not be sitting on the federal council, therefore, there is
no need to restrain him, he is not a necessary orproper party.
An ex post facto decision of a similar nature
involving a person that laid the charges and was
the prosecutor of the charges was discussed in the
well known case of AWU (No 2) v Bowen. There, the
prosecutor, Mr Dougherty, was both the initiator of
the charges and a member of the body and the High
Court, in the decision of His Honour
Mr Justice Dixon, as he then was, said that he was
not a necessary or proper person to sit on the
executive body to decide the particular matter.
| Gallagher | 28/4/92 |
| HIS HONOUR: | I do not have any great worries about that |
aspect of it at this stage because that does not
necessarily preclude Mr Cummins from appearing to
represent the interests of the Federation, if it be
appropriate that he do so.
| MR HAMMOND: | We would also submit, Your Honour, that the |
interests of the Federation would be more than
adequately argued and represented by the president
who is now appeared by Mr Bell of counsel.
| HIS HONOUR: | And it is your submission that if Mr Cummins |
were added, not withstanding the existence of a
number of other defendants who are residents of
other States, that would be destructive of theCourt's jurisdiction?
| MR HAMMOND: | Yes, Your Honour. The authority for that |
proposition, Your Honour, is Watson and Godfrey v Cameron, (1928) 40 CLR 446, 448 to 449. So, Your
Honour, if no other defendant appeared it would be
a different situation but such is not the case now.
HIS HONOUR: Just at a quick glance at Watson v Cameron, I
am not sure that that really does dispose of the
matter, Mr Hammond, does it?
| MR HAMMOND: | If it does not, Your Honour, then our concern |
is substantially lessened. It was certainly my
view that the residents have to be - there must not
be on both sides of the record a resident from the
same State. Hence the plaintiff has been excluded
as a defendant although he is a member of the
federal council and Mr Cummins. I mean, that is obvious.
HIS HONOUR: That is obvious.
| MR HAMMOND: | As a matter of abundance of caution we made |
sure that he was not shown as a defendant.
| HIS HONOUR: | In Watson and Godfrey v Cameron, according to |
the report, the proceedings were brought by Watson,
a resident of Victoria, and Godfrey, a resident of
New South Wales, against one defendant, Cameron, a
resident of New South Wales. So in that sense, it
is clear that there could not have been proceedings
between residents of different States. But if
there are residents of different States, my
question to you earlier is: is the jurisdiction of
the Court precluded if one of the defendants
happens to be a resident of the same State as one
of the plaintiffs, or in this case, the plaintiff.
| MR HAMMOND: | If we were faced with that position, we would |
obviously strenuously argue that it were not the
case. We would prefer not to be placed in that
| Gallagher | 4 | 28/4/92 |
position, Your Honour, of having to argue that the Court does have jurisdiction, notwithstanding that
Mr Cummins, a resident of the same State, is on the
other side of the record. But if the Court is
satisfied that that would not be destructive of the
case, a great deal of our concern would be
alleviated, Your Honour.
| HIS HONOUR: | That may well be, Mr Hammond. | You are not |
going to get that answer from me at this stage.
Certainly looking at the judgment of
Chief Justice Knox, it is not clear whether it is
said by way of generality perhaps or by reference
to the facts of the particular case, but certainly
he says at page 448:
I think it is quite clear that this Court has
no jurisdiction in this action, for the simple
reason that it is not an action betweenresidents of different States. Where there is
a resident of New South Wales on each side of
the record, he being a necessary party, the
claim being as here a joint claim, then it is
impossible to say that the controversy is
between residents of different States.
If that is a general proposition, it supports what
your concern may be.
MR HAMMOND: It does, Your Honour, yes.
| HIS HONOUR: | Mr Borenstein, what do you say about that? |
| MR BORENSTEIN: | Your Honour, we say two things. | In relation |
to the first matter that Mr Hammond put to
Your Honour as the reason for Mr Cummins not being a necessary party, the fact that he may not sit at the disciplinary hearing, we do not quibble with
that aspect of it but, as Your Honour correctly
pointed out to my learned friend, that is not the
issue today.
| HIS HONOUR: | I do not think you need worry about that |
aspect.
| MR BORENSTEIN: No. | If I might just put on the record, |
Mr Cummins has an interest in seeing that the
charges are progressed, and that is the legitimate
interest that he has as a federal - - -
HIS HONOUR: Is it an interest, Mr Borenstein, that is not
adequately protected by Mr Bell's representation?
| MR BORENSTEIN: | I indicated to Your Honour before - and |
Your Honour will hear from Mr Bell in due course -
that he is not in a position to say what Mr Owens,
on behalf of all the other federal councillors,
| Gallagher | 28/4/92 |
what position they will ultimately take. The
papers do disclose that there is disagreement
between the members of the federal body in relationto this matter, and we cannot be sure that they
will all argue the matters which Mr Cummins may
wish to put in support of or against this
particular proceeding. That is the first thing we
say.
The second thing we say, Your Honour, is - and
this seems to be more the substance of the reason
for Mr Cummins being omitted - that it is an
improper action for a plaintiff to take to
deliberately omit someone who, on the face of it,
would appear to be in the same position as all the
other defendants and a necessary party simply to
excite the jurisdiction of this Court. Your Honour was looking at Watson and Godfrey and Your Honour
looked at the judgment of the Chief Justice.
If I could direct Your Honour's attention to
the judgment of Mr Justice Isaacs, Your Honour will
see there that he deprecates attempts that a
plaintiff might make by a device to invoke the
jurisdiction of the Court by playing around with
the parties so that, in the example thatMr Justice Isaacs gives, he does produce a party in another State so that he can come to the High
Court. Here we say it is the other side of the
same coin, that he leaves out a party so that he
can come to the High Court.
We say, Your Honour, that this plaintiff has
rights in the State courts which he could and
should exercise, and there was absolutely no need
for him to come to this Court, and that he has left
Mr Cummins out as a blatant device so that he can
come here. We say that is improper and not something that should be countenanced by the Court.
| HIS HONOUR: | Yes, thank you, Mr Borenstein. |
| MR BORENSTEIN: | And if the result of that is that this Court |
has no jurisdiction, well, the plaintiff has made
his choice. He has had legal advice and he has made his choice, and he has come here when he could
have gone elsewhere where he did not have to face
this problem, and he would have had the same
remedies and the same rights.
| HIS HONOUR: | Thank you, Mr Borenstein. What I propose to do |
is to defer for the moment not so much the question
of your representation, but the question of
Mr Cummins' position as a defendant until I know a
little bit about this matter. But, Mr Hammond, why were proceedings not brought in the Supreme
Court of Victoria first?
| Gallagher | 6 | 28/4/92 |
| MR HAMMOND: | Your Honour, it was felt that there would be |
some difficulty in bringing the matter in the
Supreme Court of Victoria for the following
reasons: first, the meeting at which the hearing
is to take place is in South Australia, and save
for Mr Cummins and the plaintiff, every other
member of the executive are non-Victorians.
To bring it within the jurisdiction of the
supreme court it would have meant necessarily to
find a wrong or a contract that had been made or breached or a wrong in Victoria. In the limited
time available to research the matter, it appeared
that it would be very difficult for us todemonstrate that there was a contract, for example, evidenced by the rules of the organization as being
made in Victoria. As to whether it would be breached in Victoria, it seems there is authority
for the proposition that when a letter is sent from
person A to person B which is relied upon for the
purpose of the breach, the breach has occurred when
the sender sends the letter. Now, the letter came from South Australia so the breach perhaps occurred
in South Australia. So far as the wrong is concerned, it would appear that the wrong occurred
out of Victoria, and apart from Mr Cummins and the
plaintiff, there are no other defendants in
Victoria.And as a matter of effective relief, we would be simply enjoining non-Victorian persons from
meeting in another State to consider the charges,
and that has particular enforcement and relief
problems in that regard, especially as the relief
is discretionary and we would be going to the
Victorian Supreme Court to ask for the Supreme
Court of Victoria to give that relief with respect
to a meeting, as Your Honour is no doubt aware,
that is going to occur tomorrow.
HIS HONOUR: | But you are going to the Supreme Court of Victoria in any event, are you not, in respect of |
the Victorian branch of the Federation?
| MR HAMMOND: | Yes. | There we say any breach of the rules |
occurred within Victoria, and we are on, we
believe, sounder ground there.
| HIS HONOUR: | Have those proceedings been launched? |
| MR HAMMOND: | They have not been launched yet, no, |
Your Honour. And, with the greatest of respect, Your Honour, if I may just comment on
Mr Borenstein's comment, it was not a device, it
was felt that he is not a necessary or proper party
to this particular proceeding even though, true it
is, he is a member of the federal council
| Gallagher | 28/4/92 |
| HIS HONOUR: | I am sorry, I do not follow that. | I mean, I |
understand the argument that he ought not to sit on
the proceedings that will take place tomorrow - - -
| MR HAMMOND: | Yes. |
| HIS HONOUR: | - - - but I do not understand the argument that |
as a councillor he has no less interest, or that he
has a less interest, than other members of the
council.
| MR HAMMOND: | The way we put it, Your Honour, is that the |
summons is requiring Gallagher to appear before the
federal council. It is not necessary forMr Cummins to sit on the federal council and appear and adjudicate on Mr Gallagher's alleged offences.
| HIS HONOUR: | No, but what you are seeking to do is to |
restrain the council from proceeding at tomorrow's
meeting?
| MR HAMMOND: | Yes, Your Honour. |
| HIS HONOUR: | Now, as a councillor, in the ordinary course, |
why would Mr Cummins not have as great an interest
as any other member of the council?
| MR HAMMOND: | He may well have an interest to intervene - - - |
HIS HONOUR: That is what I am speaking of.
| MR HAMMOND: | - - - but as an intervenor, as distinct from |
being a party. If he wishes to put argument why
the summons, for example, which has emanated
indirectly from his client is valid, that is one
thing, but it is not necessary for the
determination of the proceeding that he be a party;
it is not necessary for the hearing of the
allegations against Mr Gallagher that he sit; and,
provided there is an adequate controvertor to the issues raised in the material then, unless he can
demonstrate that he would put something else or has an interest different from the others, we submit
that he is not a necessary and proper party to
ensure that the issues are properly ventilated and
that justice as between the parties is done.
HIS HONOUR: | The complaint, basically, is that the meeting scheduled to be heard tomorrow will, if it takes |
| place, be in contravention of the rules? | |
| MR HAMMOND: | Yes, Your Honour. |
| HIS HONOUR: | I would have thought that Mr Cummins had as |
much interest as any other councillor in being
heard on that matter.
| Gallagher | 28/4/92 |
| MR HAMMOND: | He may, Your Honour, in that respect. | We do |
not deny that he can demonstrate a sufficient
interest to intervene but that there is no
necessity, we would submit, that he be a party
provided there are others representing the council
before the court.
| HIS HONOUR: | The whole argument becomes a bit circular. | I |
mean, if the necessity or otherwise for him to be a
defendant to some extent turns upon the
jurisdiction of this Court, I mean, where do you
start? If the Court has no jurisdiction if he is a
defendant, is that a proper reason for excluding
him if he would otherwise ordinarily be a
defendant?
| MR HAMMOND: | We would submit the focus would be on what is |
the issue before the Court, and the issue before
the Court is whether or not the summons is validand therefore whether or not the federal council
should sit and adjudicate on Gallagher. If one analyses the position in that light, then one needs
to ask the question, "Is it necessary for
Mr Cummins to be heard on that question?" That is
not suggesting that he may not be a convenient
party but, we would submit, he is neither a
necessary and, in the circumstances, a proper
party. In the circumstances, Your Honour. If
there were nobody else we would be in a most
difficult position.
HIS HONOUR: All right, well let us put that to one side
just for the moment and come to the crux of your
client's complaint.
MR HAMMOND: If Your Honour pleases.
HIS HONOUR: | I have read what I would take to be the basic papers, Mr Hammond. | A lot of material has come in |
in the last five minutes which I think is largely
relating to service.
| MR HAMMOND: | It is, indeed, Your Honour, and there will be |
no need for me to take Your Honour to that
material.
HIS HONOUR: | I cannot pretend to have been through the rules in any detail. | I have looked at the rules so far |
as they are reflected in the statement of claim.
| MR HAMMOND: | Your Honour, perhaps it might be convenient if |
I just go to there. That is really the crux of the
issue; that is to the relevant rules which, we
say, the summons does not comply with. Would it be convenient, first, if I take Your Honour to the
purported summons, which is exhibit NLG3, in theHigh Court affidavit of Mr Gallagher. That is, not
| Gallagher | 9 | 28/4/92 |
NLG3 to the draft affidavit, but NLG3 in the High
Court affidavit, Your Honour. That should be the
purported summons.
HIS HONOUR: Well, is it NLG3 or NLG2?
| MR HAMMOND: | I am sorry, Your Honour, Your Honour knows |
better than I - NLG2.
| HIS HONOUR: | Yes, right. |
| MR HAMMOND: | NLG3 is the - - - |
| HIS HONOUR: | NLG3 is the letter. |
| MR HAMMOND: | - - - is the letter in response, yes, |
Your Honour. We say, Your Honour - and I will then
take Your Honour to the rules - there are two types
of defects with the summons. We submit there is what one might call a procedural defect, that is,
it is being issued at a time when there has been no
determination of the matters which are necessary to
ground a summons being issued and, we say, there
are substantive defects with the summons itself.
The procedural defect, we submit, is that prior to a summons, if this be a summons to show
cause why Mr Gallagher should not be removed is
that, in our submission, it is necessary that there
first be a charge under rule 24; that charge be
determined one way or the other, and if
Mr Gallagher is found guilty of the particular
charge it is then felt that the penalty that is
imposed under 24, or the nature of the charge as
such that it warrants Mr Gallagher's removal as
general secretary, it then goes to the federal
council for the federal council - - -
| HIS HONOUR: | It then goes back to the federal council? |
MR HAMMOND: Well, it may go back. It depends who hears it
first. There is no necessity for it to be heard by the federal council under rule 24, as Your Honour
has doubt observed. There are three possible
tribunals that can hear a charge under rule 24;
the federal council, the federal managementcommittee, and a branch executive committee. Each
of those have jurisdiction to hear the charge.
| HIS HONOUR: | If the federal council is the tribunal chosen |
to hear the charge, is there any reason why, in one
hearing, the council cannot determine whether there
has been a breach of the rules, and having sodetermined what, loosely, you could call the guilt
of the officer concerned, may not then proceed to
determine whether removal from office is an
appropriate action?
| Gallagher | 10 | 28/4/92 |
| MR HAMMOND: | No reason at all, Your Honour, provided the |
procedure set out in the rules is followed. If for example a charge is filed or laid under rule 24,
the full particulars et cetera are given of the
charge, there is a full hearing, proper notice is
given in respect of the charge, then, depending
whether it is dismissed or a penalty imposed, then
presumably the federal council would then need to
consider whether further disciplinary proceedings
may be necessary against Mr Gallagher or an office
bearer, and it would then say that we now call uponyou to show cause why you should not be removed in
the light of the findings of - and this was posited
by Your Honour - the federal council, I think it is
14 days, presumably, at least, to appear before the
federal council, and argue that issue. Not reargue
his guilt or otherwise below.
| HIS HONOUR: | That was not the example I put to you. What I |
put to you, Mr Hammond, was the possibility of the council in one proceeding determining the guilt or otherwise of the officer and if determining it
adversely to that officer, then proceeding, having
alerted him to show cause, proceeding then to
decide whether he should be removed from office.
| MR HAMMOND: | We would submit no, Your Honour. | They cannot. |
We would submit it cannot occur in the one proceeding. There needs to be a two-step
procedure. The first step is the charge, because there are appellate rights from the charge. It may well be, for example, that one might be charged,
one might be found guilty. One then exercises one's rights of appeal and it may never get to the
next point.
| HIS HONOUR: | No, of course it may never, but the question |
is, what if it does?
| MR HAMMOND: | We submit that before it can get to a rule 28, |
show cause, situation, they have to first comply with rule 24. Once that has been complied with and any subsequent rights exhausted - exercised and or
exhausted, as the case may be - one could then, if
the federal council sees fit, the federal council
can then summon, by way of a show cause, the
requisite officer.
We submit that the position is not unlike a
professional body adjudicating on a member of the
profession after another body has adjudicated with
respect to their guilt or otherwise on criminal
charges. True it is, the rules do contemplate that
the same body, the federal council, can act in bothroles, and we do not cavil with that, but we do
submit that there is a procedure that has been laid
down within the rules and that must be followed:
| Gallagher | 11 | 28/4/92 |
the charge; determination of the charge; appeal, if
there be the right in the circumstances, or the
person is applying to appeal; then a show cause.
The show cause is limited, Your Honour, as
Your Honour has no doubt observed, to specified
classes of offences; it is not every offence which
can be the subject of a show cause why you should
not be removed. We submit, therefore, it is not every charge which could result in a summons to
show cause why the officer should not be removed.
| HIS HONOUR: | No, I understand that. They may be matters of |
such minor seriousness that they could hardly
result in the removal of the person from office,
but if it is contemplation that a person may be
removed from office, is there any reason why a
summons in the form of this summons cannot be
issued, calling upon the officer to show cause why
he should not be removed from office having regard
to a number of allegations that are made against
him?
| MR HAMMOND: | Yes, Your Honour. | We say, first, those |
allegations, those grounds, have to have been first
established.
| HIS HONOUR: | I know you say that. |
| MR HAMMOND: | We say that, and we say that - - - |
HIS HONOUR: | Have a look at rule 28 as pleaded in the statement of claim, paragraph 15 on page 9. |
| MR HAMMOND: | Yes. |
HIS HONOUR: Well, it reads:
The Federal Council may remove from office any
officer ..... at a meeting of the Federal
Council to which the person concerned has been
summoned in writing ..... to show cause why he
should not be so removed. Provided that no
such person shall be removed from office misappropriation of the funds of the
unless he has been found guilty of of the Federation, or gross misbehaviour or gross neglect of duty -
and I will not read the next couple of lines; they
are not relevant. Then the rule continues: A person summoned to show cause ..... shall be
given at least 14 days notice of the time and
place of the meeting ..... The notice summoning
him shall also specify the ground or grounds
| Gallagher | 12 | 28/4/92 |
upon which it is proposed to consider his
removal.
| MR HAMMOND: | Yes. | What we say about that, Your Honour, we |
say that far from empowering the federal council to
do it, as it were, in one step or in one
proceeding, the subrule (ii) reinforces our
argument. What is to be considered is whether the person should be removed, and specifying the
grounds. The grounds must be that: he has been found guilty of misappropriation
of the funds of the Federation, a substantial
breach of the Rules of the Federation, orgross misbehaviour or gross neglect of duty -
et cetera. So they are considering, at that hearing, his removal. They are not, we submit,
considering whether or not he ought to be found
guilty but, rather, whether he has been found
guilty. We readily concede, Your Honour, that it may well that that in an earlier proceeding that
very council may have so found the member guilty,
but that is a condition precedent, we submit, tothe consideration of the member's removal.
| HIS HONOUR: | So your argument, Mr Hammond, is that there can |
be no summons to show cause why an officer should
not be removed, unless there has already been a
determination of guilt whether by the Federal
Council or by one of the other bodies in which
power to determine guilt is vested.
| MR HAMMOND: | Yes, Your Honour. That is the first basis of |
our complaint. The second - and I might say, Your Honour, that that in one sense, although one
perhaps cannot rely too heavily on this, in "NLG2"
the letter starts off friendly enough:
Dear Norm -
and then goes on to: re: Victorian Charges
So there seems to be a contemplation that there are
going to be charges heard at the time.
HIS HONOUR: That there are?
MR HAMMOND: | They either are or going to be heard, the charges, and we would submit that - - - |
HIS HONOUR: Well, that is clear enough, I think, because if
you look at the resolutions upon which the summons
relies, they go no further than to say:
| Gallagher | 13 | 28/4/92 |
the Victorian Branch Executive
Committee ..... resolves to refer the following
matters, under Rule 8(l)(e), to theFederal Council -
to determine, and then it goes on:
That the Federal Council remove from
office .... the General Secretary of the
Federation, on the ground that he is guilty of
gross misbehavior.
and then particulars are set out.
| MR HAMMOND: | Yes. |
| HIS HONOUR: | I must say, when I read it it did not seem to |
me that the branch executive committee was
purporting to have determined guilt, referring theentire exercise to the Federation.
| MR HAMMOND: | Save for what appears on page 2 of those |
resolutions, Your Honour. There is what appears to
be a number Resolution 2:
That the Federal Council remove from office,
N. Gallagher, the General Secretary of the
Federation, on the grounds that he has
misappropriated the sum -
and there is a sum -
being funds of the Federation.
And the particulars:
That on 5 March, 1992, the Victorian Branch
Executive found N. Gallagher guilty - - -
HIS HONOUR: Sorry, where is that?
| MR HAMMOND: There are three pages of Resolutions. | |
HIS HONOUR: | I see, the number 2 appears in a couple of places; yes, I see that. |
| MR HAMMOND: | Now: |
That the Federal Council remove from office,
N. Gallagher, the General Secretary of the
Federation, on the ground that he has
misappropriated the sum of $7,836.76, being
funds of the Federation.
Particulars:
| Gallagher | 14 | 28/4/92 |
That on 5th March, 1992, the Victorian Branch
Executive found N. Gallagher guilty of
misappropriation of the Funds of the
Federation -
et cetera. Now that - the removal of office of Mr Gallagher under that purported resolution is the
subject of an appeal by Mr Gallagher to the Federal
Council. This tends to reinforce, we submit, the
need for the two steps. There are other complaints
we would make about that particular offence, but
there is no need to trouble the Court about those.
Apart from that matter, so far as the other
resolutions are concerned the observation from
Your Honour is clearly correct. They do not appear
to have decided those other resolutions, the
..... otherwise.
HIS HONOUR: That reference of yours to No 2 really prompts
another question which I was going to ask you at a
later stage, but I will ask it now. If there is an
appeal pending from a decision of the branch
misappropriated certain moneys, being funds of the
executive committee that the plaintiff stage, not only in relation to that matter, but generally? What are the consequences of the Court not intervening and the meeting proceeding tomorrow
and, let us assume, reaching conclusions adverse to
your client?
| MR HAMMOND: | My client is immediately removed as general |
secretary, he has no income, he has no position,
and he is then placed in the position of
endeavouring to recover that which he has lost. He is irreparably damaged.
| HIS HONOUR: | What do you mean by "irreparably damaged"? |
| MR HAMMOND: | Your Honour, these are very serious charges. |
One can well imagine that the publicity surrounding
a very prominent person like Mr Gallagher being dismissed from an organization, of which he says he
has been a member for some 40 years, for
misappropriation of funds - put aside the neglect
of duty points - for theft, he never could be
compensated for the effect, we would submit, on his
reputation in the union movement and elsewhere once
he has been removed from office following such
resolutions.
HIS HONOUR: | But he has hanging over his head now, from what you say, a resolution of the branch executive |
| committee that he misappropriated $7000. | |
| MR HAMMOND: | He certainly has that hanging over his head, |
Your Honour, but once he is removed as general
| Gallagher | 15 | 28/4/92 |
secretary of the federal body, we submit that is a
matter about which the Court can be concerned.
HIS HONOUR: Let us assume that all your arguments about the
way in which this matter is being handled are
correct: no injunction is granted and the meeting
proceeds tomorrow and your client is removed from
his position as general secretary. If it be the
case that the council of the Federation has actedcontrary to the rules or contrary to natural
justice, or whatever it might be, then presumably
that decision can be set aside.
| MR HAMMOND: | It can in due course, Your Honour, but |
Your Honour is aware also that Mr Gallagher has
office for a limited period, from November 1989 -
he became a branch secretary in September - for
four years to 1993. It is not an exaggeration, in
our submission, to say every day that he is
deprived office is irreparable loss. It may wellbe - and there have been cases, Your Honour - that
by the time the matter eventually gets to Court and
is determined, that his term of office has expired
and he is no longer able to be properly reinstated,
notwithstanding any wrong he may have suffered as a
result of the action.
But on the other side of the coin as against
that, Your Honour, all we ask is that the
procedures be properly followed. We do not ask much more than that. Given the time constraints
within the rules, it is quite possible that in a
very short time, if we are correct, the charge or
charges could be heard, determined, appeals heard
and determined, and the matter back to federal
council if they are determined to continue with the
proceeding.
| HIS HONOUR: | It is quite as simple as that, is it, depending |
on what the defendants say is the proper
construction of the rules, but if they take issue
with you, as I imagine they will, the injunction you seek is one that restrains the Federation from
taking any further action until the outcome of the
proceedings in this Court or as remitted to the
Supreme Court of Victoria?
| MR HAMMOND: | No, with respect, Your Honour. | We have |
deliberately narrowed our relief to restraining the
federal council acting upon this summons. It is a
matter for the federal council and their advisors,
but if the federal council decides it can quite
properly act in one proceeding, that is a matterfor it. If, however, the federal council takes the
view that the safer road is to take the road
postulated by Mr Gallagher, they can then go
through the steps. But if they take the view that
| Gallagher | 16 | 28/4/92 |
was posited by Your Honour, they could do it in one
proceeding and with a show cause summons, 14 or 15
days hence the matter could be brought on in proper
form.
| HIS HONOUR: | But if they are wrong then the proceedings will |
be aborted anyhow?
| MR HAMMOND: | If they are wrong, yes, Your Honour. |
| HIS HONOUR: | And if they are wrong the proceedings tomorrow |
will be aborted?
| MR HAMMOND: | In due course, yes, Your Honour. We say that |
it is proceeding in the way they are is the vice.
| HIS HONOUR: | Yes, I appreciate that, but the injunction you |
seek, in effect, freezes any action by the
Federation until this question - by "this question"
I mean the proper course to be followed by theFederation - is resolved by this Court or on
remitter by the Supreme Court of Victoria.
| MR HAMMOND: | Yes, Your Honour, and it is clearly a balancing |
question.
| HIS HONOUR: | Let us assume an injunction were granted now, |
the proceedings remitted to the Supreme Court of
Victoria, it might be some months before that
matter were resolved. So it is unreal to talk about proceedings 14 days down the track.
MR HAMMOND: With respect, we would submit that need not be
the case. It is a matter for the Federation. If the Federation takes a conservative view and does not wish to be involved in lengthy litigation it
could take the position that we say it ought to
take, namely charge, appeal if need be, hearing.
| HIS HONOUR: | But it can take its chances now, Mr Hammond. |
If it decides to go ahead with tomorrow's meeting
and your arguments are correct, then any action it takes tomorrow may well prove to be completely
ineffective.
| MR HAMMOND: | It may be, Your Honour, but so far as the |
interests of the parties are concerned, the person
that would be most detrimentally affected, we
submit, is Mr Gallagher. The clock is ticking against Mr Gallagher every day because by 1993 he
loses office by the effluxion of time. It is not
in Mr Gallagher's interests - - -
| HIS HONOUR: | Yes, but I am not sure in what sense you mean |
it is ticking against him. If the council meets tomorrow and resolves either that there has been a
finding of guilt or resolves that the plaintiff is
| Gallagher | 17 | 28/4/92 |
guilty of conduct alleged against him and decides
to remove him from office and those proceedings are
subsequently held to be aborted, then presumably
any salary to which he is entitled he will continue
to be entitled to.
| MR HAMMOND: | Your Honour, it is as position as general |
secretary of the union. With respect, people do
not -
| HIS HONOUR: | - - - and I understand that but you are |
shifting it from - - -
| MR HAMMOND: | No. |
| HIS HONOUR: | You are not suggesting that there is a |
reparable financial loss, are you?
| MR HAMMOND: | No, Your Honour. | He can be compensated for his |
salary. I do not wish to be seen to be shifting. Why I say - when I am saying his time expires in
1992, it is as general secretary of the union.
People tend to want to hang on to their positions
of political office notwithstanding the monetary
rules and there are many benefits in the exercise
of the position and that is what I mean by the
clock is ticking. It could then well be in the because his position will evaporate next year.
interests of the Federation and those within the delay
We submit that the balance of convenience, if
this is another way of putting what Your Honour is
putting to me, that is, as a matter of discretion
what should one do, we would submit that in the
circumstances, there is less harm caused and will
be less harm caused to the Federation to require
the Federation to go through certain steps if it
wishes and not proceed on this particular summons,
than it would be to require Mr Gallagher to appear
before the federal council and suffer the consequences and then try to get back in again to
his position. We would submit that the charges are such that - they are very serious charges and that
he is entitled, we submit, to what we say is a
summons in proper form and the procedure being
followed.
We also say, Your Honour, that the summons
itself may have substantive defects of a minor and
major nature. First, the purported summons does
not set out that Mr Gallagher is summonsed to
appear to show cause why he should not be removed.
It does not say "why you should not be removed".
We have inferred that by virtue of the attachments,
but the summons does not accord with the rules.
| Gallagher | 18 | 28/4/92 |
| HIS HONOUR: | What is the summons? |
| MR HAMMOND: | It is purportedly - we have taken the letter of |
13 April 1992 to be a notice in writing which we
have called the purported summons but it does say
it summons us to appear, and if Your Honour looks
at rule 28(c)(i), it is necessary to be summonsed
to "show cause why he should not be removed". So
to that extent the initiating document isdefective.
| HIS HONOUR: | What, are you suggesting that it cannot be read |
along with the attachments?
MR HAMMOND: Well, it can be, Your Honour, but this is not
just a traffic offence where one can simply amend.
These are very serious allegations and we submit,
Your Honour, that he is entitled to a summons in
proper form. It is not mere pedantry.
| HIS HONOUR: | Yes. |
MR HAMMOND: Secondly, Your Honour, the next substantive
defect is the summons itself does not specify the
grounds as required by rule 28(c)(ii). It has
annexures, but we submit that the summons itself
should set out the grounds upon which it is going
to be sought that he need be removed, and the
problem with annexing documents, Your Honour, is
demonstrated by the second paragraph. First, it
refers to a rule which, on our instructions, just
does not exist, that is 28(c)(ll). That might be
the typist putting 11 instead of ii, so we do not
cavil at that too much, but there is that defect,
but it says which demands that you be given "at
least 14 days notice of the time and place of the
meeting of the Federal Council". The grounds are
as set out in the resolution, singular, annexed to
the Victorian branch letter referred to above.
Now, in our count there are four resolutions,
so we submit that that is another substantive defect. We submit that the letter, the summons itself, cannot simply incorporate other documents,
but even if it does, it should specify with
particularity which of the documents contain the
grounds.
The other minor point, Your Honour, and it is
only a minor point - it is similar to the 28(c)(ll)
point - in the second line of the letter, refers
to 28(c)(l) when it should be, probably, (i). The rules have been amended over the years and as Your Honour, no doubt, observed in the pleading, it
refers to subrule (d), and we have been unable to
locate a subrule (d). But that is only a minor
point and, of course, we would not be in this Court
| Gallagher | 19 | 28/4/92 |
if that were our only complaint, but our
substantive complaint is the procedure, we say, has
not been followed, namely the condition precedentand, secondly, the summons does not set out that we
should show cause why we should not be removed.
Thirdly, it does not specify the grounds upon which
we have presently been found guilty, and to the
extent that it purports to do so it refers only to
one resolution, not to the four resolutions which
are annexed. They are my submissions, Your Honour.
| HIS HONOUR: | Thank you. | Mr Bell? |
| MR BELL: | Your Honour, regrettably I have a kidney complaint |
which is going to take me out of Court for two
minutes, if Your Honour will grant me that time. I am aware of the time.
| HIS HONOUR: | Yes, I certainly will. | I will have to leave |
here just after five past because I am
sitting - - -
| MR BELL: | I will be 10 minutes, Your Honour. |
| HIS HONOUR: | - but I will resume at 1 o'clock if it is |
necessary.
MR BELL: If need be, very well.
| HIS HONOUR: | I do not want to put counsel under any undue |
constraints, but obviously the matter has got to be
resolved this afternoon.
AT 9.52 AM SHORT ADJOURNMENT
UPON RESUMING AT 9.54 AM:
| HIS HONOUR: | Yes, Mr Bell. |
| MR BELL: | Thank you very much, Your Honour. | My client has a |
number of objections that it would have raised had
time permitted.
HIS HONOUR: Well, as I said to you, I do not want you to
feel constrained. I do not want you to feel unconstrained either, I might say.
| MR BELL: | Your Honour, I will go straight to the point. |
| HIS HONOUR: | But could I just ask you this: | when you say, |
"my client", you are appearing only for Mr Owens?
| Gallagher | 20 | 28/4/92 |
MR BELL: Yes, I am, Your Honour. That is one of the
matters.
| HIS HONOUR: | You have no instructions from any other member |
of the Federation?
| MR BELL: | No, save for Mr Devine, who is a person that |
Mr Owens has been able to contact and obtain
agreement.
| HIS HONOUR: | Mr Devine is one of the councillors? |
| MR BELL: | Mr Devine is one | of the members of the council. |
There may well be one other who has similarly agreed, but there are no others than the three that I have mentioned. An attempt has been made by Mr Owen to contact all of the members of the council, certainly the one more and possibly the two more of whom I have spoken - - -
| HIS HONOUR: | Do you regard yourself as having instructions |
from Mr Devine?
| MR BELL: | I regard myself as having instructions for |
Mr Devine and desire to announce an appearance on his behalf, but I do not have any instructions from
anybody else. For that reason, I invite the Court
not to make any representative orders because my
client simply has no idea what people other than
Mr Devine think about the prospect of him
representing their interests. Indeed, I am
instructed to tell the Court that Mr Owens himself
certainly does not consider that he shares the same
interest as every other member of the council in
relation to the matters at issue. So he himself
does not feel able to say to the Court that he
feels that he has the same interest as everybody
else. But, Your Honour, these are interlocutory
proceedings and I do not want to waste the Court's
time with that at this stage.
The second procedural question is that when
the time comes, we would want to say that the
proper defendants in this action are in fact the
members of the organization, which is the legal
person which the plaintiff must sue. The plaintiff has sought to obtain relief only against Mr Owens
on behalf of the federal council. Those
individuals are but some of the parties to the
contract which forms the basis of the rules which
the plaintiff seeks to enforce, yet he has sought
only to proceed against the federal councillors,
excluding Mr Cummins. But again, that is a
procedural matter on which I do not seek to rely at
the moment.
| Gallagher | 21 | 28/4/92 |
HIS HONOUR: That is a problem arising out of the
unincorporated nature of the federation.
| MR BELL: | Indeed, and it would be a long case if I were to |
deal with that now. The third matter, Your Honour, and it follows from the second, is that Mr Cummins
certainly should be a party to these proceedings.
He is a member of the organization first, and
second he is a member of the federal council and
has the same interest as every other member of the
federal council, but enough has been said about
that already and I, with respect, agree with
Your Honour's intention to go to the fundamentals
of the interlocutory application and try to
determine the application on that basis.
But it follows from what I have just said that
because of the fact that there are two Victorian
residents on both sides of the record if my learned
friend Mr Borenstein's application, which my clientthe Court may very well not have ju~isdiction the procedural matters, Your Honour.
Now, the fundamental submission I make is that
there is no serious question to be tried in
relation to the claims that the plaintiff makes.
Now, the first of the claims that is made is that
it is necessary to adopt a staged process under the dismissal from office rule, and that submission, in
my respectful submission, is plainly wrong and can
be demonstrated to be so by reference to the rule
itself.
Your Honour eloquently expressed the way that
the submission was put, and so I will not do more
than ask Your Honour to bear the way in which it
has been put in mind, and that way relies upon an
alleged link between rule 24, which has got to do
with the laying of charges against members in
relation to the matter specified in the rule, and
rule 28, which has got relevantly to do with the removal from office of members of the federal
council, et cetera. There is no link, in my
submission. That is plain from rule 28(c)(i) where
the things that the person must be found guilty of
are set out in list. Those things are:misappropriation of the funds of the Federation;
a substantial breach of the rules of the
Federation; gross misbehaviour; gross neglect of duty, and then there are other things: has ceased,
according to the rules, to be eligible to hold the
office.
Now, if my learned friend's argument that
there is a link between this rule and rule 24 were
correct then, of course, one would have to see that
| Gallagher | 22 | 28/4/92 |
all of the things in the list were included in
rule 24. They are not. The only thing that is is the first, that is, misappropriation of property of funds of the Federation. The only other thing that comes close to being one of the things in the list
in rule 28 is breach of the rules. Even that is expressed in terms in rule 28(c)(i) as being a
substantial breach of the rules of the Federation,
and that is only similarly, but not identically,referred to in rule 24(i)(a).
HIS HONOUR: Just so that - I am sure I am seeing the rules
in their entirety, Mr Bell. Does paragraph 12 of the statement of claim which is on page 8 - - -
| MR BELL: | I am sorry, Your Honour is looking at the |
statement of claim. I am looking at the rules themselves.
HIS HONOUR: | Yes, my question really was whether the statement of claim adequately reflects the rules. |
| MR BELL: | No, I do not think so. | Not for this purpose, |
Your Honour. Might I invite you to go to NLG3. I did not realize Your Honour was looking at the statement. You might like to - - -
| HIS HONOUR: | Yes, I have NLG3. |
| MR BELL: | On page 19 - - - |
HIS HONOUR: Wait a moment. This is not free from
complications. There is an NLG3 in the proceedings
in this Court; there is also an NLG3 in the
proposed proceedings in the Victorian Supreme
Court.
| MR BELL: | I am sorry; NLG3 in the proposed proceedings. |
| HIS HONOUR: | Yes, all right. | I have a bundle of material |
which consists of NLGl through to some numbers
thereafter. It is not easy to pick this up.
| MR BELL: | If Your Honour flicks through you will certainly |
come across a large document in small type that
look like union rules.
| HIS HONOUR: | Yes, I have that. |
| MR BELL: | And if Your Honour goes to page 19 of that |
document, Your Honour will see that the whole of
the provision to which I am now referring - and I
was at the point of referring to 24 l(a), and I had
made the submission that:
failing to observe the Rules of the Federation
or any of them -
| Gallagher | 23 | 28/4/92 |
is only a similar reproduction of the being found
guilty of:
a substantial breach of the rules of the
Federation -
in 28(c)(i) which is on, incidentally, page 22 of
the rules of the organization.
| HIS HONOUR: | So you are saying, Mr Bell, are you, that |
matters such as misappropriation, gross
misbehaviour, or gross neglect of duty, are not
matters which attract the operation of rule 24?
| MR BELL: | Of rule 24, that is right. | They attract the |
operation of rule 28(c)(i), but they do not attract
the operation of rule 24 1 and, therefore, to
suggest that there is a need to adopt a rule 24
procedure as some antecedent to the operation of
rule 28 is, with respect, fanciful. Your Honour, I see the time and I think I ought not to detain you
because I will not complete my submissions in two
minutes and I think it would be unfair to
Your Honour - - -
| HIS HONOUR: | I think we had better adjourn until 1 o'clock, |
if that is convenient to counsel. I will hear from you further then, Mr Bell.
MR BELL: If Your Honour pleases.
AT 10.04 AM THE MATTER WAS ADJOURNED
UNTIL LATER THE SAME DAY
UPON RESUMING AT 12.58 PM:
| HIS HONOUR: | Now, Mr Bell - - - |
| MR BELL: Your Honour has had a demanding day. | I will try |
to make it as little more demanding as I possibly
can. Your Honour will recall that I was submitting that apart from the procedural problem which the
application and how it has got to this place, that
there is a fundamental misconception in the
submission that has been put to Your Honour about
the operation of the rules. I had put to Your Honour that the submission made by my learned
friend, as it was made, depended upon an alleged link between rule 28(c)(i) and rule 24 1 and the
purpose of my submissions was to persuade
Your Honour that there was no link and that
| Gallagher | 24 | 28/4/92 |
therefore that argument could not possibly succeed.
I do not wish to repeat the argument, Your Honour, because I was at the point of concluding it and I simply remind Your Honour of the submission itself.
In aid of the argument, Your Honour, can I
refer you to the Industrial Relations Act and, in
particular, to the section of the Act providing for
the content of rules of organizations. Of course, this is an unregistered organization or disregistered organization, but the rules have
their origin in a registered organization and were
made in conformity with the Act. The present section in relation to rules is relevantly
section 195(l){c), which provides that:The rules of an organisation ..... may provide for the removal from office of a person
elected to an office in the organisation only
where the person has been found guilty, under
the rules of the organisation, of:
(i) misappropriation of the funds of the
organisation;
(ii) a substantial breach of the rules of the
organisation; or
(iii) gross misbehaviour or gross neglect of
duty;
or has ceased, under the rules of the
organisation, to be eligible to hold office.
Now, in my submission, it is clear that
section 28 l(c) of the rules was introduced in the
rules in conformity with that section of the Act asit relevantly then was and has not been in any way
amended, whereas rule 24 is concerned with a
different subject-matter entirely. That suggests
strongly that section 28 of the rules has a free
rule 24. standing operation and is in no way dependent on Lastly on that subject, Your Honour, can I refer you to Cains v Jenkins the decision of
Justice Northrop at first instance reported
(1979) 46 FLR 278 and of the Full Bench - I think
is the correct description of the Federal Court -
it is a Full Court decision of Justices Sweeney,
St John and Keely, (1979) 42 FLR 188.
| HIS HONOUR: | You are giving me both references - both the |
primary judge and the Full Court.
MR BELL: Yes, I am, Your Honour. This was a case where,
reading from the headnote of the judgment of the
| Gallagher | 25 | 28/4/92 |
judge at first instance, the claimant was the
secretary - that is 46 FLR 278 - - -
| HIS HONOUR: | The numbering of the appeal volumes do not |
suggest that this was an appeal from that decision.
MR BELL: Yes, that is true, Your Honour, because they are
reversed in sequence, but I think the reason is
that it is not possible to understand the appeal
judgment adequately without reference to the
judgment at first instance and the dates.
| HIS HONOUR: | At any rate, we are talking about the same |
case, are we?
MR BELL: Yes, it is the same case, Your Honour, and I need
not trouble you with the sequence but the claimant
was the secretary of the Victorian branch of the
association; he was charged with offences, he was found guilty of the charges and dismissed from
office of secretary, and it was submitted that
there had been a breach of the rules of naturaljustice on the basis of bias.
Your Honour, this is similar in the instant
case because the claimant is the secretary of the
relevant union. He was charged with offences for
which dismissal is one of the penalties that might
be imposed. The rule, Your Honour, is precisely the same and the rule is set out in the judgment of
the Appeal Court to which I wish to take
Your Honour, at 42 FLR 191, and I will not read it
to Your Honour. I do point out that at 191, Justices Sweeney and St John speak of the relevant
rule in that case as complying with
section 133(l)(f) of the Act which is the
submission I have just made to Your Honour about
the instant rule.
In that case, Your Honour, contrary to the
submission made by my learned friend about the
manner in which charges of this kind should
proceed, the summons to show cause was issued and the relevant organ of the union decided the
question of guilt itself and then went on to decidethe question of penalty in the one hearing in
accordance with the observation made by Your Honour
from the Bench during my learned friend's
submissions. There was no splitting of the case in
the manner argued by my learned friend.
On the question of what should be done by way
of penalty after a finding of guilt is made, decided that there was no breach of the rules of natural justice in this case because an opportunity
to address on penalty was given, and it is to be
| Gallagher | 26 | 28/4/92 |
apprehended that that is precisely what will happen
in the instant case so that consequent upon a
finding of guilt, if there be one, the issue of
penalty will be addressed by the federal council ofthe union.
Now, all that, Your Honour, is thoroughly
consistent with my submissions as to the way in
which the instant rules operate, and support my
submission that there is no serious question to be
tried in relation to that claim made by my learned
friend.
The second claim made is that the summons is
defective. Can I remind Your Honour what was not submitted. It was not submitted that the
particulars are inadequate; it was not submitted
that the plaintiff does not know that with which he
is charged. What is submitted is that there are technical problems with the documents and they were
identified as being three in number. The first was
that the summons did not actually say, "Show cause
why you should not be removed", in accordance with
the words used in rule 28(l)(c). The second is that the summons, itself, did not specify the
grounds, and the third is that there were two
spelling errors, one numbering error, that is, that
the summons referred to 28(c)(ll) instead of (ii), and the word "resolution" was used in the singular
sense in circumstances in which it should have been
plural.
Now, Your Honour, this is not a case where
Your Honour is dealing with a pleading summons in a
court, this is a case dealing with rules of a
domestic tribunal relevantly, and Your Honour will
adopt, in my submission, an approach that is not
technical in relation to the submissions that have
been made. If authority be needed for that
proposition I might refer Your Honour to the caseof Re La Trobe University; Ex parte Wild, (1987)
VR 447. That is a judgment of the Visitor of La what appears at the bottom of page 447 that
Trobe University, His Excellency the Governor the
Chief Justice Young was the person appointed by
His Excellency to assist him in the case, and the
judgment I suggest, with respect, can be read as
the Chief Justice's.
At 458 to 459, beginning at point 7, this is
said in relation to what is needed by way of
particulars for charges:
Of course natural justice requires that the charge brings to the notice of the petitioner the substance of what is alleged against him
| Gallagher | 27 | 28/4/92 |
and the present charge fulfils that
requirement.
Then the Medical Board case is cited and
Justice Lowe is cited as saying this:
"One is not dealing here with a legal tribunal
and legal precision is not required in the
statement of the charge. When dealing with a tribunal of this kind all that is necessary is
that the substance of the charge shall be
plainly brought home to the person charged.
was invited to dismiss a charge against
And that in the context of a case where the Visitor gross misconduct and matters of that kind,
relevantly indistinguishable in the instant case,
in my submission.Now, in the present case, the summons, which
is the letter to the plaintiff dated 13 April 1992,
together with its attachments, being the letter to
Mr Owens from Mr Cummins, dated 10 April 1992 and
the resolutions giving particulars of particular
matters should, in my submission, all be read
together. My learned friend conceded and, with respect I submit properly conceded, that the
documents could be read together. Once that
concession is made, in my submission, all three of the objections to which my learned friend referred
in his submissions must fall away, because on any
fair reading of the documents read together, the
plaintiff knows very well that he is required to
attend at the meeting to show cause why the charge
as particularized in the document headed
resolutions should not be found proven against him.
For those reasons, Your Honour, I submit that
the second claim is not even of such strength as to
suggest that there is a serious question to be
tried in relation to it and I submit that
Your Honour ought to refuse the injunction on that ground alone. If Your Honour were minded to conclude that there was a serious question to be
tried, in my submission, the balance of convenience
does not favour the grounding of an injunction in
the instant case; the balance of convenience, in my
submissions, favours the continuation of the
proceedings so that the matters at large between
the plaintiff and the federal council can be
determined; it is in the plaintiff's and in the organization's interest, in my submission, that
there be as speedy a conclusion of these matters as
can possibly be achieved and that will not be achieved by the issuing an injunction by this
Court, but rather will leave the matters open,
| Gallagher | 28 | 28/4/92 |
which will do nothing for the viability or
efficiency of the organization or indeed the
reputation of the plaintiff, which my learnedfriend seeks to protect.
There are other matters relating to balance of
convenience, Your Honour, that will be relevant
which are obvious. I simply submit that even if Your Honour were satisfied as to the existence of a
serious question, you should let the proceeding go
ahead and permit the applicant or the plaintiff to
issue such proceedings as he is advised after the
error for which my learned friend contends iscontinued. For those reasons, Your Honour, I
submit that you should refuse the injunction
requested.
| HIS HONOUR: | Thank you, Mr Bell. | Mr Borenstein, I have kept |
you in the wings, as it were, and I have not yet
announced any decision in regard to the application
to add your client as a defendant, but could I just
ask you this: if I were to take that course, is
there anything that you wish to add on matters of
substance to what Mr Bell has said?
MR BORENSTEIN: There would only be two small references
that I would seek to give Your Honour which are
supportive and elaborative of the submissions which
my learned friend, Mr Bell, did make.
| HIS HONOUR: | What are they, Mr Borenstein? |
MR BORENSTEIN: In the Cains v Jenkins case, in the decision
at first instance before His Honour
Mr Justice Northrop, 46 FLR, at page 291 at about
point 7 of the page, the beginning of the last
paragraph, His Honour directly addresses the
procedure. Your Honour will see there that he says: Leaving aside the questions of whether
Mr Romanin should have been allowed to represent the claimant -
that is, his solicitor -
and whether the committee should have
exercised a discretion as to the penalty to be
imposed, counsel for the claimant did not, and
in fact could not, make complaint against the
procedures adopted by the committee in the
hearing and determining of the charges made
against the claimant.
I simply submit that is probably the clearest
statement in the two judgments on that score. The second reference that I would seek to give
| Gallagher | 29 | 28/4/92 |
Your Honour is in relation to the situation where
Your Honour may find, though I would urgeYour Honour not to find, that there is a serious question to be tried on either of the limbs of my learned friend's argument.
I refer Your Honour to a decision of the Full
Court of the Federal Court of Bullock v The
Federated Furnishing Trades, (1985) 5 FCR, and in
the judgment of His Honour Mr Justice Woodward,
with which the other two members of the court
agreed. At page 471 going across to page 472,
His Honour deals with the weighing up process of grant of interlocutory injunctions.
The only point I seek to extract from that
which appears at page 472, in about the middle of
the page, is that it is suggested that the
appropriate course is to determine, if there is a
serious question to be tried, if it is stronger,then it will require less by way of balance of
convenience to tip the court in favour of granting
the injunction, whereas if the serious question to
be tried is a weaker one, then more by way of
balance of convenience would be required in favour
of the plaintiff.
Apart from that, the only other submission
that I would have sought to make, Your Honour, is
that on the balance of convenience my learnedfriend Mr Hammond's only point was concern for
Mr Gallagher's reputation and my submission would
be that Mr Gallagher's reputation continues to be
damaged while the charges are outstanding and that
the minimization of the damage to his reputation is
best served by having the federal council deal with
the charges as soon as possible. They are the only
matters, Your Honour.
| HIS HONOUR: | Thank you, Mr Borenstein. | Mr Hammond. |
MR HAMMOND: If Your Honour pleases. In response to my
learned friends, we submit there is a serious question to be tried with respect to the summons.
I do not propose to rehearse those arguments again.
We submit that this is not simply a case of a minor
transgression that is being alleged. It is not a
case of plagiarism, for example, that was the case
in the La Trobe University case.The principal allegations against Mr Gallagher are those of misappropriation, theft, and we submit
that this Court would be most particular - as would any court - on the substantive aspects of a summons
which makes serious allegations of that nature. It
is not a matter that can be simply brushed to one
side. In my respectful submission, Your Honour, so
| Gallagher | 30 | 28/4/92 |
far as the summons is concerned, we submit that the Court be most particular to ensure that the summons
fulfilled the obligations under the rules.
My learned friend, Mr Bell, submitted there
was no link between rules 24 and 28(c)(i). If I
could take Your Honour, very briefly, to 28(c)(i),
which is on page 22 of the rules, Your Honour would
observe that there are a number of grounds:
guilty of misappropriation ..... a substantial
breach of the Rules of the Federation, or
gross misbehaviour or gross neglect of duty -
In my submission, each of those can come
within the head, certainly the first three without
any doubt, within rule 24. I take Your Honour to rule 24. We submit it is beyond peradventure that misappropriation would be comprehended by
rule 24 l(i). So far as substantial breach of the rules is concerned, that is comprehended by
24 l(a). So far as gross misbehaviour is concerned, there are grounds - misbehaviour is
provided for in certainly 24 l(g), and one may say
that if one is found guilty of a number of the
other grounds set out in 24 1, that may amount to
gross misbehaviour, for example, giving false or
misleading information to the federal council,obstructing the federal council and the like.
So far as the gross neglect of duty, I have problems with that;
I have to concede that.
Unless one can look at 24 1 and say that it is
possible there would be a gross neglect of duty if
one, for example, knowingly failed to observe. any
resolution of the federal council, et cetera - that
is 24 l(b) - or gave false or misleading
information. We submit it could be comprehended, but I recognize so far as gross neglect of duty is
concerned, there is more difficulty. One has to have a more strained interpretation, but we submit
it is quite possible that that could fall within one or more of 24 1, Your Honour.
In my submission, it is instructive, if one goes to the instant case rather than looking at a
hypothetical case, if one goes to the resolutions
that are purportedly relied upon in NLG2 one can
see that each of the resolutions fall within
rule 24, in my submission.
Can I take Your Honour to NLG2.
| HIS HONOUR: | Yes, I have that. |
| MR HAMMOND: | The first page headed, "Resolutions", |
Your Honour:
| Gallagher | 31 | 28/4/92 |
The Victorian Branch Executive Committee, upon
receiving the report dated 3rd March 1992 -
Does Your Honour have that?
| HIS HONOUR: | I thought I did. | It is only a matter of |
finding it, Mr Hammond. I have it, thank you.
| MR HAMMOND: | The first resolution: |
That the Federal Council remove from office,
the General Secretary of the Federation, on
the ground that he is guilty of gross
misbehaviour.
Let us look at the "Particulars". The first particular (a) is that he failed to comply with the
resolution of the federal management committee.
That is comprehended by rule 24 l(b).
We go to (b). He - improperly and without authority instructed
Australia Post to redirect all mail.
We would submit that would be comprehended by
rule 2 4 1 ( d) . Particular (c):
That the General Secretary of the
Federation ..... has improperly procured and
without authority, has retained custody and
control of, Victorian Branch property.
We would submit that would come within 24 l(i).
Particular ( d) :
That from 12th February, 1992, the General
Secretary ..... has failed to comply with the
following resolution -
a particular resolution. We submit that comes within 24 l(b). Particular (e):
That on or about 12th February, 1992, the
General Secretary ..... improperly and without
authority, intercepted and diverted
correspondence -
we would submit that would come under 24 l(d).
Then we go to resolution number 2, Your Honour:
"That the Federal Council remove from office,
the General Secretary of the Federation, on
the grounds that he is guilty of substantial
breach of Rule ll(e) -
| Gallagher | 32 | 28/4/92 |
and the particulars are set out thereunder, namely,
he failed to comply with a resolution. That is
comprehended by 24 l(b), we submit.
If we turn over to the next page, Your Honour,
to the third resolution, but numbered 1 on that
particular page:
"That the Federal Council remove from office,
N. Gallagher, the General Secretary of the
Federation, on the grounds that he is guilty
of misappropriation of the Funds of the
Federation".
That falls squarely within 24 l(i). Similarly, the resolution on the second page, that is another misappropriation allegation.
So, if one looks at the facts of this case, we
submit, Your Honour, that each of the particulars
relied upon do fall fairly and squarely within
rule 24. We would submit that, at the very least, if the person is to face the possibility of being
removed from office, and one can at the very least
see a confluence of matters between rule 24 and
rule 28, then they are at the very least entitled,
we would submit, to be heard first on the charge
under rule 24.
There is a very good reason for that, and I
adverted to it very slightly in my principal
submission. Under rule 24 8 there is a right of appeal, such right which is being exercised by already. There is no right of appeal, as best I
can apprehend, from a removal under rule 28.
| HIS HONOUR: | Which rule do you say it is? Rule 24? | ||
| MR HAMMOND: |
|
the rules. We would submit, Your Honour, that it
would be a strange thing indeed if one could be deprived, as it were, of that opportunity of appeal, certainly in circumstances where the charges which are the subject of the federal council summons can fairly be said to fall within rule 24.
| HIS HONOUR: | Who would the appeal be to? |
MR HAMMOND: Well, it depends who hears it, Your Honour.
HIS HONOUR: Well, assuming it was heard by federal council,
even under rule 24.
MR HAMMOND: Well, one would assume, Your Honour, that in
these circumstances the appeal from the - if it is
| Gallagher | 33 | 28/4/92 |
heard by the federal management committee, could be
heard by the federal council, and it may well bepossible that if they direct that it go to the
federal council, then one loses that right of
appeal - does not have a right of appeal, I should
say.
HIS HONOUR: Unless there is some overriding power in the
membership at large.
| MR HAMMOND: | To appeal to the membership at large, yes. |
| HIS HONOUR: | Yes. |
MR HAMMOND: If I could just have a moment, there is one
particular rule - - -
| HIS HONOUR: | Mr Bell and Mr Borenstein, if there is a |
particular rule that bears on this, you might
assist us. I take the silence to be an indication that there is none.
| MR BELL: | No, there is none. |
| MR HAMMOND: | I am indebted to Your Honour. There is one |
particular rule that may be of some assistance in
the light of what fell from Your Honour. is at page 7, Your Honour:
The supreme control of the Federation is
vested in the members of the Federation. the members shall be exercised on their behalf
by the Federal Council -
so -
| HIS HONOUR: | I suppose it is not all that surprising, is it, |
within a domestic tribunal, that there is no right
of appeal once the matter has reached the ultimate
managing body however it reaches there, whether it goes directly or goes via some subsidiary body within the organization.
| MR HAMMOND: | Yes, Your Honour. |
HIS HONOUR: | I mean, if there is a breach of natural justice or some error of law, then presumably there are |
| remedies outside the framework of the rules of the organization anyhow. |
MR HAMMOND: Well, if there was a case to be made out, one
would approach the courts. But what we say,
Your Honour, is that there is nevertheless a
serious question to be tried on that point. At an
interlocutory stage, we submit, as long as
| Gallagher | 28/4/92 |
Your Honour is satisfied on the two points - we do
not rest our case solely on the sequential
procedural point, we do also rely on the defect in
the summons and, in particular, to the lack ofreference of the particular resolutions that are
relied upon and, I have said on a number of
occasions that they are very serious allegations
that are being made.
Your Honour, we submit that the balance of
convenience does, in fact, still favour
Mr Gallagher, notwithstanding what has fallen from
my learned friends and, in particular, my learned
friend Mr Bell. The affidavit material reveals that this is his sole occupation - I will rephrase
that: this job provides his sole income, someproperly $400 a week net. He has the use of a
motor vehicle which he can use for Federation
purpose and private purposes. If the hearing is
allowed to proceed on what, we submit, is defective
material and if - as we fear, otherwise we would
not be here - Mr Gallagher would be removed from
office, he will have grave financial and practical
impedimenta in getting back into the position he
occupied before. He will have no other source of income at that point of time nor even, it would
appear, a motor vehicle.
We would submit that Your Honour is entitled
to look at this as more than a mere domestic
tribunal; this is a national union of persons andwe would submit that Your Honour is entitled to consider the difference between being inside an
organization or a room with your back against the
door where people are trying to get you out, and
being outside behind a closed door trying to get
back in and, we submit, that there are grave
problems for Mr Gallagher in the event that the
balance of convenience is decided against him. We submit the only balancing fact that my learned
friends rely on is Mr Gallagher's reputation.Well, with the greatest of respect, we would ask the Court to listen to what Mr Gallagher says about the time that his reputation is under challenge and not my learned friends, that he be the best judge
of how quickly he would like these matters
resolved. He certainly wants them resolved quicklybut he does not want them resolved, Your Honour, on the basis of defective material. Finally, Your Honour, we respectfully submit that so far as my learned friends rely on certain authorities that relate to other rules, this
particular case requires Your Honour to look at the
particular rules before Your Honour and to form aview based on those rules and one can, in our
submission, get limited assistance from looking at
| Gallagher | 35 | 28/4/92 |
other cases with other facts. Subject to any questions that Your Honour may care to ask I -
| HIS HONOUR: | Thank you, Mr Hammond. |
MR HAMMOND: If the Court pleases.
MR BORENSTEIN: Might I just emerge from the wings for a
moment to indicate that, depending on what
Your Honour intends to do in terms of making an
order as my learned friend Mr Hammond seeks or not,
there is a matter in terms of the form or thewording of the order which is in the summons which
I would seek to address Your Honour on if that need
arises.
| HIS HONOUR: | You had better wait for the result first, |
Mr Borenstein.
MR BORENSTEIN: Yes, I propose to do that, but I just wish
to flag it, that is all.
| HIS HONOUR: | Yes, if it is necessary to speak to the form of |
any order that is made, of course, you will have
the opportunity to do so.
| MR BORENSTEIN: | Thank you. |
| HIS HONOUR: | It is clearly desirable that I deal with this |
summons forthwith, given the shortness of time
before the Federal Council of the Federation meets
tomorrow.
The plaintiff has issued proceedings in this
Court against Ronald George Owens on his own
behalf, as well as on behalf of and as representingall the members for the time being of the Federal
Council of the Australian Building Construction
Employees' and Builders Labourers' Federation,
except the plaintiff and John Cummins. I shall say something about the position of Mr Cummins later in
these reasons.
The Federation is an unincorporated body. The
plaintiff is its general secretary. In these
proceedings the plaintiff seeks a declaration thata letter from the defendant Owens, as president of
the Federation, accompanied by attachments,
purporting to be a summons against the plaintiffunder the rules of the Federation, is of no effect.
The summons calls on the plaintiff to appear
before the Federal Council at Adelaide on
29 April - that is tomorrow - at 10.30 am to answer
charges, which are particularized in various
resolutions of the executive committee of theVictorian branch of the Federation, and to show
| Gallagher | 36 | 28/4/92 |
cause why he should not be removed as general
secretary.
By a summons returnable this morning, the
plaintiff seeks an injunction to restrain the
members of the Federal Council from acting on the
summons to which I have already referred until the
hearing and determination of the proceedings. It
should be noted that the plaintiff seeks, as I
would understand it, in any event: that any
further proceedings in the action be remitted to
the Supreme Court of Victoria pursuant to s. 44(1)
of the Judiciary Act 1903 (Cth).
The plaintiff intends to bring proceedings in
the Supreme Court of Victoria of a like nature in
relation to action taken against him as
state secretary of the Victorian branch of theFederation.
By paragraph 17 of the statement of claim, the
plaintiff pleads that the summons served on to him
is in breach of the rules of the Federation. That
pleading is particularized in this way:
(a) The purported summons was served prior to:
(i) the Plaintiff having been found guilty of misappropriation of the funds of the Federation, a substantial breach of the Rules of the Federation, or gross
misbehaviour or gross neglect of duty,
or had ceased according to the Rules to
be eligible to hold the office ofGeneral Secretary;
(ii) any hearing or determination of any
charge brought by any member against the
Plaintiff pursuant to Rule 24 of the
Rules. (b) Further or alternatively, contrary to purported summons did not specify the
ground or grounds upon which it was
proposed to consider the Plaintiff's
removal from office.
The statement of claim continues, in paragraph 18:
By reason of the matters set out in
paragraph 17 hereof the purported summons is
invalid, void and of no effect.
Mr Bell, on behalf of Mr Owens and one other
member of the Federal Council, argues that the
| Gallagher | 37 | 28/4/92 |
statement of claim shows a misunderstanding of the
way in which the rules of the Federation are
structured. He draws attention to the distinction
between rule 24 and rule 28, pointing out that the
conduct particularized in rule 28 (c)(ii), that is
the conduct which can give rise to proceedings
under that rule, corresponds directly with
s.195 of the Industrial Relations Act 1988 (Cth),
although the Federation itself is no longer a
registered organization under that Act.
That submission seems to me to be very
persuasive and I am also persuaded that what
rule 28 contemplates is not the two staged
procedure for which Mr Hammond has argued but,
rather, a procedure in which an officer of the Federation is called upon to show cause why he
should not be removed from office by reason of what
is described as his guilt. The rule contemplates does the Council then proceed to consider the
that the question of guilt is dealt with by the
question of removal from office. I am of the view that rule 28 contemplates the procedure which is
envisaged by the summons addressed to the
plaintiff, namely, a proceeding of the Federal
Council at which the question of guilt and removal
from office will be determined at the same time.
There is no complaint that adequate notice of
hearing has not been given.
There is a further complaint that the
allegations against the plaintiff are not
sufficiently particularized. I am not persuaded that there is any real substance in that complaint.
It seems to me that, although what is described as
a summons comprises several documents, they are to
be read in their entirety and that, when they are
read in their entirety, they are in proper form and
bring home to the plaintiff with sufficientparticularity the complaints which are made against
him. For these reasons, I am not persuaded that there is a serious issue to be tried. Furthermore,
I am not satisfied that the balance of convenience
favours granting the injunction which the plaintiff
presently seeks. If the plaintiff's arguments asto the ineffectiveness of what is proposed for the
meeting of the Federal Council tomorrow prove good,
then any action taken adversely to him at that
meeting will prove ineffective. There has been no
suggestion that that would not be the case.
It may be that, if in later proceedings it is
shown that any action adverse to him is not
effective, he may nevertheless suffer some harm,
| Gallagher | 38 | 28/4/92 |
but I am not persuaded that there is any harm
likely to be suffered of an irreparable nature.
The balance of convenience does not favour granting
this injunction. So on both what might be described as the usual grounds upon which the
question of interim relief of this sort is
considered, namely a serious issue and the balance
of convenience, I am not satisfied that an
injunction is appropriate in this case.I should, however, say something about the question of the position of Mr Cummins, for whom
Mr Borenstein sought to appear. I have been referred to the decision of this Court in Watson
and Godfrey v Cameron, (1928) 40 CLR 446. I have not had an opportunity to examine that case closely
or to see whether there are any other decisions
that bear upon the matter. I am not clear in my own mind as to whether the decision turned upon the
presence of one defendant who resided in the same
State as one of the plaintiffs. Some of the more
general observations appearing in the judgments
indicate that the presence of residents from the
same State on each side of the record is enough to
deprive this Court of jurisdiction, even though
there would be a number of residents from other
States. Certainly there is a warning in the
judgment of Mr Justice Isaacs against the selection
of parties as a means to confer upon this Court
jurisdiction which it would not otherwise have.
But these are matters which I find it unnecessary
to determine because, for the reasons I have
already given, I am of the opinion that the interim
relief sought should be refused. To that extent, the summons therefore will be dismissed.
| HIS HONOUR: | Now, that still leaves these proceedings on |
foot in so far as a remitter is sought.
Mr Hammond, do you want any orders made in that
respect at this stage, or do you want the matter
simply stood over?
| MR HAMMOND: Perhaps it would be more convenient, |
Your Honour, that the matter be stood over and any
orders sought could be sought in Victoria. I think it is fair to say that my learned friend's clients
would not have had the opportunity to put in any
material. Could I just talk to my learned friend?
HIS HONOUR: Well, as you are doing it, you might bear in
mind that the summons seeks, in paragraph 1
injunctive relief, and then in paragraph 2 a
remitter of the proceedings, and in paragraph 3 the
time for service of the summons be abridged. Well,
obviously I would grant that in any event. But it
may be that all that is necessary to be done at
this stage is to dismiss paragraph 1 of the summons
| Gallagher | 39 | 28/4/92 |
and stand over paragraph 2. But if there is nothing more sought from this Court, then maybe
some other form of order.
| MR HAMMOND: | Yes, if I may just have a moment. |
| HIS HONOUR: | Take time. |
| MR HAMMOND: | Your Honour, my learned friend, Mr Bell, is not |
in a position to consent to it being remitted to
the Supreme Court of Victoria, and nor have my
learned friend's clients have really had any
opportunity of putting material in on that
question. Perhaps it would be more convenienttherefore, that the proposal of Your Honour be
adopted, namely, that paragraph 1 of the summons be
dismissed; paragraph 2 be stood over or adjourned
sine die and I cannot remember paragraph 3 - - -
HIS HONOUR: That is the abridgment of service. There is no
problem with that. Mr Bell, do you want to be heard on that point now?
| MR BELL: | No, I do not oppose the orders that are proposed, |
Your Honour.
| MR HAMMOND: | Your Honour, just as a matter of formality, due |
to the time constraints we are unable to file the
originals of two of the affidavits. By leave, if I may file those - - -
| HIS HONOUR: | You may do so. |
| MR HAMMOND: | For the record, they are the affidavits of Alan |
Foster sworn 27 April 1992, and the affidavit of
Ralph Manno sworn 27 April 1992, together with the
exhibits thereto.
| HIS HONOUR: | There will be an order that the time for service of the summons dated 24 April 1992 be | |
|
MR HAMMOND: If Your Honour pleases.
| MR BORENSTEIN: | Your Honour, again I emerge from the wings. |
I did not hear Your Honour rule specifically on the
application of Mr Cummins to be joined as a
defendant in the proceedings. Your Honour did make
some comments about the applicability - - -
| HIS HONOUR: | I did not rule on that matter. |
| Gallagher | 40 | 28/4/92 |
| MR BORENSTEIN: | I wonder what Your Honour's intention is in |
relation to that. If the matter is to be sent back
to the supreme court - - -
HIS HONOUR: It is not at this stage. Paragraph 2 simply
stands adjourned sine die. But I agree that if this is implicit in what you are saying,
Mr Borenstein, that before the matter goes any
further the question of your client's joinder, and
its implications for the jurisdiction of this
Court, will need to be resolved, all that I have
done is to deal as I was able to deal with the
summons for interlocutory relief without having to
determine that matter.
| MR BORENSTEIN: | I am happy to simply recognize that our |
application is not determined one way or the other
and is - - -
| HIS HONOUR: | No, it is not, and it remains as alive as it |
was early this morning.
| MR BORENSTEIN: | Thank you, Your Honour. |
| MR BELL: | Your Honour, sorry to interrupt, need I apply for |
costs?
HIS HONOUR: That is a matter for you, Mr Bell.
| MR BELL: | I do apply for costs. | The only reason I asked |
that question, Your Honour, is that in the Federal
Court, if we were successful in an interlocutory
case, they would be ours in the cause and - - -
| HIS HONOUR: | Yes, the High Court rules I do not think |
they - - -
| MR BELL: | I do not think they are. | I apply for costs. |
| HIS HONOUR: | - contain such a provision. |
| MR BELL: Yes, I apply for costs, Your Honour. | |
HIS HONOUR: | We are not caught by any Industrial Relations Act type provisions here, this is a straight |
| forward action in the High Court? | |
| MR BELL: | No, Your Honour, this is an action founded in |
contract in this Court's jurisdiction, and I apply
for costs.
| HIS HONOUR: | Any reason why Mr Bell should not have costs, |
Mr Hammond?
| MR HAMMOND: | I cannot resist that, Your Honour. |
| Gallagher | 41 | 28/4/92 |
| HIS HONOUR: | Mr Borenstein, I suppose you are delighted to |
have some costs too?
| MR BORENSTEIN: | I would, Your Honour, but perhaps in view of |
the uncertainty of my client's status, perhaps they
should be reserved.
| HIS HONOUR: | I think that is the appropriate course. |
MR BORENSTEIN: Yes, Your Honour.
| HIS HONOUR: | So there will be an order that the plaintiff |
pay the costs of Mr Owens, and I will reserve the
question of Mr Cummins' costs of the proceedings
today.
MR BORENSTEIN: If Your Honour pleases.
MR HAMMOND: If Your Honour pleases.
MR BELL: If Your Honour pleases.
AT 1.47 PM THE MATTER WAS ADJOURNED SINE DIE
| Gallagher | 42 | 28/4/92 |
0
2
0