NEW SOUTH WALES COURT OF APPEAL
CITATION: Kolavo v Pitsikas (t/as Comino and Pitsikas) & Anor [2003] NSWCA 59
FILE NUMBER(S):
41033/01
HEARING DATE(S): 17 February 2003
JUDGMENT DATE: 01/04/2003
PARTIES:
Eva Evdokia Kolavo (Appellant)
Spero Pitsikas (t/as Comino and Piksikas) (First Respondent)
James W Conomos (Second Respondent)
JUDGMENT OF: Stein JA Santow JA Cripps AJA
LOWER COURT JURISDICTION: District Court
LOWER COURT FILE NUMBER(S): DC 6312/99
LOWER COURT JUDICIAL OFFICER: Gamble ADCJ
COUNSEL:
Mr M J Neill QC/Ms G M Preston (Appellant)
Mr T E F Hughes QC/Mr T D F Hughes (First/Second Respondents)
SOLICITORS:
Graham Molloy & Associates (Appellant)
Henry Davis York (First Respondent)
Moray & Agnew (Second Respondent)
CATCHWORDS:
LEGAL PRACTITIONERS - professional liability - duty of care owed by a professional legal advisor to client - negligent provision of advice - legal practitioners must exercise reasonable care and skill in provision of professional advice - tortious duty of care identical to contractual duty - whether solicitor can rely on the expertise of a barrister - whether a reasonably competent lawyer could have given any advice other than that the appellant's case was hopeless - whether failure to advise that case hopeless constitutes a breach of duty - whether District Court had jurisdiction to determine claim for equitable relief - whether trial judge erred in refusing to allow leave to amend claim for equitable relief - District Court Act
s134(1)(h) - whether trial judge erred in refusal to exercise discretion to allow leave to amend claim for equitable relief - D
LEGISLATION CITED:
District Court Act 1973, s 134(1)(h)
DECISION:
Appeal allowed and orders of Gamble ADCJ set aside.
JUDGMENT:
IN THE SUPREME COURT
OF NEW SOUTH WALES
COURT OF APPEAL
CA 41033/01
DC 6312/99STEIN JA
SANTOW JA
CRIPPS AJATuesday, 1 April 2003
Eva Evdokia KOLAVO v Spero PITSIKAS (trading as Comino and Pitsikas) & Anor
Facts:
The appellant retained a solicitor (the first respondent) and a barrister (the second respondent) to advise her regarding the pursuit of legal proceedings against two companies (a travel agent and a tour operator) involved in the provision of a package tour holiday on which she was injured. The appellant was advised that she had a cause of action in negligence against both companies. Reliant upon this advice legal proceedings were instituted on her behalf.
At trial it became apparent that the case was a hopeless one in that no cause of action existed as against either company. The appellant then brought an action against the first and second respondent in negligence on the grounds that they failed to advise her that she had no cause of action against either of the parties against whom she commenced proceedings. She sought equitable relief in the form of a declaration that the respondents indemnify her for costs payable to the two companies as a result of the failed litigation.
The trial judge held that neither respondent was liable to indemnify the appellant for the costs incurred as a result of the…
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- AGLC
- Kolavo v Pitsikas [2003] NSWCA 59
- Case
- [2003] NSWCA 59
- Decision Date
CaseChat Overview and Summary
The central legal issues before the court were whether the solicitors had breached their duty of care to the client by providing negligent advice, specifically whether a reasonably competent lawyer would have advised that the client's case was hopeless and if the failure to do so constituted a breach. Additionally, the court considered whether the District Court possessed jurisdiction to determine a claim for equitable relief and whether the trial judge had erred in refusing leave to amend the claim to include such relief.
The court reasoned that legal practitioners owe a duty of care to their clients to exercise reasonable care and skill in providing professional advice. This tortious duty of care is considered identical to any contractual duty. The court also considered whether a solicitor could reasonably rely on the expertise of a barrister in assessing the prospects of a case. The ultimate determination of whether the advice given constituted a breach of duty hinged on whether a reasonably competent lawyer could have concluded the case was hopeless.
The appeal was allowed, and the orders made by Gamble ADCJ were set aside.
Orders
Orders of the court
Appeal allowed and orders of Gamble ADCJ set aside.
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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