L. Grollo & Co Pty Ltd v Hammond, Theo

In the Federal Court of Australia, L. Grollo & Co Pty Ltd appealed against a decision made by Smithers J. on 23 March 1977. The original proceedings were commenced by L. Grollo & Co Pty Ltd against Theo Hammond, Igor Osidacz, Theo Hammond & Partners (A Firm) and The Royal Australian Institute of Architects by writ issued out of the Australian Industrial Court. The plaintiff claimed a declaration that an agreement was void, that the plaintiff was not indebted in the sum of $202,034.61, an order that the third-named defendant repay to the plaintiff the sum of $39,936.22, and an order varying the said agreement. Smithers J. made orders that certain paragraphs of the statement of claim be struck out. Other paragraphs were left in. The plaintiff appealed against the decision of Smithers J. The Full Court had to decide whether the Federal Court of Australia had jurisdiction to hear the matter and whether the order of 1st November 1976 should be recalled or negated or alternatively varied. The Court held that the hearing of the proceedings had commenced before the Australian Industrial Court and that the proceedings were not transferred to the Federal Court of Australia. The Court also held that the learned trial Judge had no power to negate or recall his order in the sense of setting it aside and that the learned trial Judge had power to vary the order of 1st November 1976 but was not persuaded that any error had been shown on the part of the learned trial Judge which would justify interference with his exercise of discretion in refusing to vary it. The Court dismissed the appeal and ordered that the appellant pay the respondents' costs.