Kasun & Kasun (No.2)

In *Kasun & Kasun (No.2)*, Judge B Smith of the Federal Circuit and Family Court of Australia considered an application for indemnity costs. The dispute concerned property settlement, and the application for costs arose from the respondent husband's conduct during the proceedings.

The central legal issue before the court was whether the respondent husband should be ordered to pay the applicant wife's costs on an indemnity basis. This required the court to determine if the husband's defence had been "obsessive and unreasonable" and "wholly unsuccessful," as alleged by the wife, thereby justifying an award of costs beyond the usual party-and-party basis.

Judge B Smith found that the husband's conduct throughout the litigation had indeed been obsessive and unreasonable, leading to a wholly unsuccessful defence. The court applied the principles governing cost awards in family law proceedings, noting that while costs are not awarded as of right, they may be ordered where a party's conduct warrants it. The judge determined that the husband's approach to the proceedings justified an order for indemnity costs.

Consequently, the court ordered that the respondent husband pay the applicant wife $75,000 by way of assessed lump sum costs within 28 days. The publication of the judgment under the pseudonym Kasun & Kasun (No 2) was approved pursuant to section 121(9)(g) of the *Family Law Act 1975* (Cth).