Guarin v Ichor Constructions Pty Ltd

In the matter of Guarin v Ichor Constructions Pty Ltd, the plaintiff, Mr Guarin, initiated a personal injury claim against multiple defendants, including Ichor Constructions Pty Ltd, seeking compensation for injuries sustained in a workplace accident. The dispute came before the Federal Circuit Court of Australia. The primary issue before the court was whether to set aside a default judgment awarded to Mr Guarin against Ichor Constructions for unliquidated damages, and if so, under what circumstances. A secondary issue involved the allocation of costs associated with an aborted mediation process between the parties.

The court examined the criteria for setting aside a default judgment and whether Ichor Constructions had demonstrated an arguable defence to the claim. It also considered the absence of a satisfactory explanation for the considerable delay in seeking to set aside the judgment. Furthermore, the court had to determine whether the costs of the aborted mediation should be borne by Ichor Constructions, given that they were the party seeking to set aside the judgment. After evaluating the evidence and arguments presented, the court found that while Ichor Constructions had established an arguable defence, the delay in seeking to set aside the judgment was not adequately explained. Consequently, the court concluded that setting aside the judgment was not warranted and that Ichor Constructions should bear the costs of the aborted mediation.

The Federal Circuit Court of Australia ruled in favour of maintaining the default judgment against Ichor Constructions. It held that despite the presence of an arguable defence, the lack of a satisfactory explanation for the significant delay in seeking to set aside the judgment precluded the court from exercising its discretion to grant relief. Additionally, the court ordered Ichor Constructions to pay the costs associated with the aborted mediation proceedings. This decision underscores the importance of timely action and the potential consequences of undue delay in legal proceedings.