Jewel Walk Pty Ltd v Kondinin Group Inc

In the case of Jewel Walk Pty Ltd v Kondinin Group Inc, the applicants sought a special costs order under the Rules of the Supreme Court, O 66 r 12(1), arguing that the inadequacy in the item prescribed in the Determination of Legal Costs Committee warranted such an order. The applicants claimed a total of $42,791.49, which included $15,000 for the originating summons. They submitted that the amount claimed should be allowed as it was necessary and reasonable for the work done. The court needed to decide if the inadequacy in the prescribed fee was a good and sufficient reason for making the special costs order.

The court found that the applicants had shown that a substantial affidavit in excess of 900 pages was served shortly before the hearing, necessitating substantial additional work. The need to respond urgently to the lengthy affidavit and the costs associated with that, demonstrating an apparent inadequacy in the scale fee, constituted a good and sufficient reason for the purposes of O 66 r 12(1). Therefore, the court made a special costs order in relation to the originating summons limit. The final decision on whether the work was necessarily and reasonably done or whether an amount should be allowed in excess of the limit would be for the discretion of the taxing officer.

No particular directions were given to the taxing officer, and the court declined to make them. The applicants were granted the special costs order in relation to the originating summons limit, but the final determination of the amount to be allowed in excess of the limit would be at the discretion of the taxing officer.