Kendirjian v Lepore

Case [2015] NSWCA 132


Court of Appeal


Supreme Court


New South Wales

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Medium Neutral Citation: Kendirjian v Lepore [2015] NSWCA 132
Hearing dates:24 March 2015
Decision date: 21 May 2015
Before: Macfarlan JA at [1];
Leeming JA at [45];
Bergin CJ in Eq at [54];
Decision:

Leave to appeal granted.
Direct the applicant to file and serve his Notice of Appeal within seven days of the date of this judgment.
Dismiss the appeal.
Order the applicant to pay the respondents’ costs of the application for leave to appeal and the appeal.

Catchwords: NEGLIGENCE – professional negligence – lawyers – duties and liabilities – advocate’s immunity – settlement of proceedings – whether alleged failure to advise in relation to settlement offer was a decision affecting the conduct of the case in Court – test in D’Orta-Ekenaike v Victorian Legal Aid [2005] HCA 12 applied – leave granted – appeal dismissed
Cases Cited: Alpine Holdings Pty Ltd v Feinauer [2008] WASCA 85
Attard v James Legal Pty Ltd [2010] NSWCA 311
Bott v Carter [2012] NSWCA 89
Chamberlain v Ormsby [2005] NSWCA 454
Dansar Pty Ltd v Pagotto [2008] NSWSC 112
Donnellan v Woodland [2012] NSWCA 433
D’Orta-Ekenaike v Victorian Legal Aid [2005] HCA 12; 223 CLR 1
Ex parte Bucknell [1936] HCA 67; 56 CLR 221
Gett v Tabet [2009] NSWCA 76
Giannarelli v Wraith [1988] HCA 52; 165 CLR 543
Jackson Lalic Lawyers Pty Ltd v Attwells [2014] NSWCA 335
Rees v Sinclair [1974] 1 NZLR 180
Young v Hones [2014] NSWCA 337
Category:Principal judgment
Parties: David Kendirjian (Applicant)
Eugene Lepore (First Respondent)
Jim Conomos (Second Respondent)
Representation:

Counsel:
B W Walker SC/D Aquilina (Applicant)
B McManus (First Respondent)
J Agius SC/A Hawkins (Second Respondent)

Solicitors:
Mason Black Lawyers (Applicant)
Colin Biggers & Paisley (First Respondent)
Carneys Lawyers (Second Respondent)
File Number(s):CA 2014/173599
 Decision under appeal 
Court or tribunal:
District Court
Jurisdiction:
New South Wales
Citation:
Kendirjian v Lepore [2014] NSWDC 66
Date of Decision:
16 May 2014
Before:
P Taylor SC DCJ
File Number(s):
2012/312681

HEADNOTE

[This headnote is not to be read as part of the judgment]

On 21 November 1999 Mr David Kendirjian, the applicant, was injured when a vehicle in which he was travelling collided with a vehicle driven by Ms Cheree Ayoub. In 2004 Mr Eugene Lepore, a solicitor and the first respondent, commenced District Court proceedings on Mr Kendirjian’s behalf against Ms Ayoub. Ms Ayoub admitted liability and a five day hearing on the quantum of Mr Kendirjian’s loss was fixed to commence on 30 August 2006 before Delaney DCJ. Mr Lepore briefed Mr Jim Conomos, a barrister and the second respondent, to appear for Mr Kendirjian.

On the first day of the hearing, and after some earlier negotiations, Ms Ayoub’s legal representatives communicated to the respondents an offer to settle the proceedings for $600,000 plus costs.

Mr Kendirjian alleged that the respondents did not advise him of the amount of that settlement offer “but merely…

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Kendirjian v Lepore [2015] NSWCA 132
Case
[2015] NSWCA 132
Decision Date

CaseChat Overview and Summary

The New South Wales Court of Appeal considered an appeal in *Kendirjian v Lepore*. The appellant, Mr. Kendirjian, alleged professional negligence against his former solicitors, Mr. Lepore and his firm. The core of the dispute concerned the solicitors' conduct in relation to a settlement offer made during earlier litigation. Mr. Kendirjian contended that his solicitors negligently failed to advise him adequately regarding this settlement offer, which he ultimately rejected, leading to a less favourable outcome in the subsequent court proceedings.

The central legal issue before the Court of Appeal was whether the alleged failure to advise in relation to the settlement offer constituted a matter that fell within the scope of advocate's immunity from suit. Specifically, the court had to determine if this alleged failure was a decision affecting the conduct of the case in court, thereby attracting the protection of advocate's immunity as established in *D'Orta-Ekenaike v Victorian Legal Aid*.

The Court of Appeal applied the principles from *D'Orta-Ekenaike v Victorian Legal Aid*, which holds that advocate's immunity extends to work done out of court that is so intimately connected with the conduct of the cause in court that it can fairly be said to be part of the conduct of the cause itself. The court reasoned that advice regarding a settlement offer, particularly when that offer is made in the context of ongoing litigation and its acceptance or rejection directly impacts the progression and potential resolution of the court case, is intrinsically linked to the conduct of the litigation. Therefore, such advice falls within the ambit of advocate's immunity.

Leave to appeal was granted, but the appeal itself was dismissed. The applicant, Mr. Kendirjian, was ordered to pay the respondents' costs of both the application for leave to appeal and the appeal.

Orders

Orders of the court

Leave to appeal granted.

Direct the applicant to file and serve his Notice of Appeal within seven days of the date of this judgment.

Dismiss the appeal.

Order the applicant to pay the respondents’ costs of the application for leave to appeal and the appeal.

Background

Background to the litigation

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Evidence

Evidence Before The Court

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Decision

Reasons for decision

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Ratio Decidendi

Legal Principle Established

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