Kimberley Developments Pty Ltd v Bale

Kimberley Developments Pty Ltd (the applicant) sought security for costs from Bale (the respondent) pending an appeal to the Court of Appeal of New South Wales. The application was made pursuant to rule 51.50 of the Uniform Civil Procedure Rules 1999 (NSW), which allows for security for costs to be ordered if "special circumstances" are found to exist.

The primary legal issue before the Court of Appeal was whether the circumstances of the case constituted "special circumstances" warranting an order for security for costs against the respondent. The applicant contended that such circumstances were present, justifying the imposition of security.

Simpson AJA dismissed the application, finding that no special circumstances were established. The Court reasoned that the mere fact that an appeal was pending, or that the respondent might be unable to pay costs if unsuccessful, did not, in itself, constitute special circumstances under rule 51.50. The Court noted that there was no issue of principle raised by the application that would necessitate the imposition of security.

Consequently, the notice of motion seeking security for costs was dismissed, with the applicant ordered to pay the respondent's costs of the application.