Hughes v Fong (No 2)

In the matter of Hughes versus Fong, the appeal was brought before the Supreme Court of New South Wales, concerning an interlocutory costs application. The dispute involved the apportionment of costs between the parties during the course of interlocutory proceedings, which was deemed by the trial judge to be a matter of principle. The trial judge had awarded costs to the respondent, Fong, based on the argument that the appellant, Hughes, had initiated proceedings without a reasonable cause of action. The appellant, Hughes, sought to appeal the decision, arguing that the trial judge's determination of principle had been erroneous.

The court was required to determine whether the trial judge's decision to award costs in the interlocutory proceedings was indeed a question of principle. The court also needed to assess whether the trial judge had erred in finding that the costs were recoverable as they were costs in the cause, meaning they were incurred in the course of the proceeding. The appeal hinged on whether the trial judge had applied the correct legal principles in making his determination.

The court found that the trial judge had not erred in his determination of principle, and the costs awarded were indeed costs in the cause. The court held that all costs incurred in interlocutory proceedings are costs in the cause, and there is no question of principle involved in this matter. The appeal was dismissed, and the trial judge's decision was upheld. The costs awarded to the respondent remained as costs in the cause, and the appellant was not entitled to any relief in this matter.

The court did not make any further orders beyond dismissing the appeal and upholding the trial judge's decision. The respondent was entitled to the costs awarded to them in the interlocutory proceedings, and the appellant was not entitled to any further relief or costs recovery.