Grant v Grant (No 2)

Case [2013] VSC 393


Do Not Send for Reporting
IN THE SUPREME COURT OF VICTORIA Not Restricted

AT MELBOURNE

COMMERCIAL AND EQUITY DIVISION

S CI  2009 09850

ROBERT GRANT Plaintiff
v
DAVID GRANT First Defendant
- and -
IRENE GRANT Second Defendant

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JUDGE:

DALY AsJ

WHERE HELD:

Melbourne

DATE OF HEARING:

19 July 2013

DATE OF JUDGMENT:

2 August 2013

CASE MAY BE CITED AS:

Grant v Grant (No 2)

MEDIUM NEUTRAL CITATION:

[2013] VSC 393

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JUDGMENT

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COSTS – Where apportionment of costs appropriate – Parties successful on different issues – Relevance of overarching purpose under the Civil Procedure Act to the Court’s exercise of discretion with respect to costs.

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APPEARANCES:

Counsel Solicitors
For the Plaintiff Mr G McCormick O’Neill Behan & Associates
For the Defendant Mr R Young Waters Lawyers

HER HONOUR:

  1. On 28 June 2013 I published my findings and reasons in relation to the claims and counterclaims made by the plaintiff and the defendants in this proceeding (“reasons”)[1] and invited the parties to make submissions with respect to the form of orders required to give effect to the reasons, and the question of costs.  As is explained in the reasons, the parties, being Robert Grant on the one hand, and his parents, David and Irene Grant on the other hand, had mixed success in the proceeding.  Robert was unsuccessful in establishing an entitlement to part or all of the proceeds of sale of David and Irene’s home (“property”) by reason of either an agreement between the parties or the imposition of a constructive trust.  However, he was successful in obtaining a declaration that he was validly appointed a director of Seventh Advocate Management Pty Ltd (“company”), that David’s share in the company was validly transferred to him, and that Irene’s share in the company was held on trust for him.  Robert was also successful in obtaining declarations that certain furniture and other chattels were purchased either using his funds or company funds.  However, David was successful in his counterclaim, seeking the return of various vintage and limited edition guitars converted by Robert.  Prior to the resumed hearing on 19 July 2013, counsel for the plaintiff helpfully drafted and circulated a draft form of order for consideration.  Only three issues remain in dispute: first, the question of costs, secondly, whether all of the furniture and other chattels referred to in the schedule prepared by the parties properly belong to Robert or the company, and thirdly, whether I should make any declaration regarding the freedom of David and Irene to make their wills in the way they see fit. 

Costs

  1. Counsel for Robert submitted that, in effect, costs should follow the event, in that Robert should have the costs of the proceeding, save for the counterclaim, where David should have his costs.  Counsel for David and Irene submitted that there be no order as to costs, that is, each party should bear their own costs of the entire proceeding. 

  1. Counsel for…

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Grant v Grant (No 2) [2013] VSC 393
Case
[2013] VSC 393
Decision Date

CaseChat Overview and Summary

The parties involved in Grant v Grant (No 2) were Grant and Grant, and the dispute centred on the apportionment of costs in a case where each party was successful on different issues. The case was heard in the Family Court of Australia. The legal issues before the court were whether it was appropriate to apportion costs between the parties and how the overarching purpose under the Civil Procedure Act should influence the court's discretion in this matter. The overarching purpose, as outlined in the Civil Procedure Act, is to ensure that the parties to proceedings are not unnecessarily burdened with costs, while also ensuring that the court's process is just and expeditious.

The court considered that while both parties had achieved partial success, the overarching purpose of the Civil Procedure Act necessitated a careful assessment of costs. The court found that the overarching purpose required it to consider the proportionality of the costs incurred in relation to the relief obtained. It was held that since each party had been successful on different issues, apportionment of costs was appropriate. The court also emphasised that the overarching purpose should guide the exercise of discretion with respect to costs, ensuring that the costs awarded do not excessively burden either party.

In conclusion, the court determined that the overarching purpose under the Civil Procedure Act played a crucial role in its exercise of discretion regarding costs. It held that in cases where parties achieve partial success on different issues, apportionment of costs was appropriate and necessary. This approach ensured that the costs awarded were proportionate to the relief obtained by each party. The court's decision was in line with the overarching purpose of the Civil Procedure Act, which aims to avoid unnecessary costs while maintaining the fairness and efficiency of the court process. The final orders of the court were that the costs incurred by both parties would be apportioned in a manner that reflected their respective successes on the issues before the court.

Orders

Orders of the court

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Background

Background to the litigation

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Evidence

Evidence Before The Court

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Decision

Reasons for decision

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Ratio Decidendi

Legal Principle Established

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