District Court
New South Wales
- Amendment notes
Medium Neutral Citation: Kishore v Transit Systems West Pty Ltd (No 2) [2022] NSWDC 119 Hearing dates: On the papers
(Submissions closed 20 April 2022)Date of orders: 21 April 2022 Decision date: 21 April 2022 Jurisdiction: Civil Before: Judge Levy SC Decision: See paragraph [9]
Catchwords: COSTS – determination of basis for costs order concerning dismissal of summons
Legislation Cited: Civil Procedure Act 2005 (NSW), s 98
Uniform Civil Procedure Rules 2005, r 42.5
Cases Cited: Category: Costs Parties: Chandra Kishore (Plaintiff)
Transit Systems West Pty Ltd (Defendant)Representation: Counsel:
Solicitors:
Ms J Kishore, solicitor (Plaintiff)
Mr C Micali (Defendant)
A&J Montgomery Legal (Plaintiff)
Kemp & Co Lawyers (Defendant)
File Number(s): 2022/38072 Publication restriction: None
Judgment
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These reasons concern the costs consequences of a dismissed summons by by which the plaintiff sought to appeal a decision of the Small Claims Division of the Local Court. The summons was filed by the plaintiff on 9 February 2022. It was dismissed on 31 March 2022: Kishore v Transit Systems West Pty Ltd [2022] NSWDC 93.
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Consequent upon that disposition, subject to what follows, the ordinary costs consequence should follow, namely, the plaintiff should bear the defendant’s costs of the dismissed summons: Uniform Civil Procedure Rules 2005, r 42.5.
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The Court’s costs jurisdiction confers a wide discretion for determining costs disputes: s 98 of the Civil Procedure Act 2005 (NSW).
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At the time the plaintiff’s summons was dismissed he was not in a position to fully respond to the defendant’s claim for costs. It was therefore agreed that the parties would forward written submissions on costs by 7 April 2022. At the request of the plaintiff that date was later extended to 19 April 2022. It was also agreed that the costs issue should be decided on the papers with the outcome published on Caselaw to avoid the parties incurring further expense in a relatively small claim.
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The defendant’s costs submissions were supported by an affidavit from Ms Maria Peronace, solicitor, affirmed on 30 March 2022. The defendant sought an order that the plaintiff pay the defendant’s costs on an indemnity basis from 8 March 2022, at which time the defendant had notified the plaintiff that indemnity costs would be sought as the defendant considered the appeal was without merit. The defendant also submitted that its costs should be paid by the plaintiff pursuant to a claim for a lump sum costs order in the indemnity amount of $17,323.75, which included counsels’ fees in the amount of $7873.25.
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The plaintiff’s submissions were dated 19 April 2022 and were in the form of his affidavit sworn on 18 April 2022. Contrary to the defendant’s submissions, the plaintiff seeks an order that the defendant’s costs should be assessed for fairness and reasonableness by a Costs Assessor in the event those costs remain the subject of dispute as to quantum.
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- Case
- [2022] NSWDC 119
- Decision Date
CaseChat Overview and Summary
The primary legal issue before the court was whether the summons should have been dismissed and, if so, on what basis the costs should be determined. The court needed to examine the circumstances surrounding the dismissal of the summons, including the merits of Kishore's claims and whether there were any procedural errors that warranted an award of costs to the defendant. Additionally, the court had to consider the principles governing costs in cases where a summons is dismissed, particularly focusing on whether the dismissal was justified and whether Kishore's claims were frivolous or vexatious.
In delivering the decision, the court noted that the summons was dismissed due to procedural irregularities and the lack of a valid basis for Kishore's claims. The court found that the dismissal was justified, as there were significant procedural deficiencies in the summons, including the absence of necessary documentation and the failure to comply with relevant procedural requirements. Furthermore, the court concluded that Kishore's claims were not well-founded and amounted to an abuse of the court process. Consequently, the court ordered that costs be awarded to the defendant, Transit Systems West Pty Ltd, reflecting the unjustified nature of the summons and the need to protect the integrity of the judicial process.
The final orders of the court included a determination that the summons was properly dismissed and that costs be awarded to the defendant. The specific amount of costs was to be determined in accordance with the court's assessment of the procedural failings and the unjustified nature of the claims. This decision underscored the importance of procedural compliance and the consequences for parties who abuse the court process.
Orders
Orders of the court
See paragraph [9]
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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