Kemp v French (No 2)

In the matter of Kemp v French, the parties were engaged in proceedings under the Property (Relationships) Act. The dispute centred around the division of property following the breakdown of their relationship. The case was heard in the Family Court of Australia. The primary legal issue the court needed to address was the reasonableness of the offers of settlement made by both parties during the litigation process. The court was also tasked with determining the appropriate division of the property in question.

The court examined the offers of settlement made by both parties and found them to be unrealistic given the eventual outcome of the proceedings. The plaintiff, Kemp, was successful in her claim but only to the extent of approximately 30% of the amount she initially sought. The court noted that Kemp's initial claim was significantly inflated, which influenced its assessment of the offers. Given the partial success of Kemp, the court exercised its discretion under the Family Law Act to make a costs order that reflected the circumstances of the case. The court ultimately ordered that Kemp pay a proportion of the defendant's costs, reflecting the limited success achieved in the proceedings.

The court's reasoning was grounded in the principle that offers of settlement should be made in good faith and reflect a realistic assessment of the merits of the case. By finding the offers unrealistic, the court signalled its disapproval of the conduct of both parties in the litigation process. The final orders of the court were that Kemp was to pay a proportion of French's costs, acknowledging the limited success of the plaintiff while also recognising the need for a costs order that was fair and just under the circumstances.