Lake Macquarie City Council v Newcastle Resources Pty Ltd (formerly known as SCE Resources Pty Ltd t/as Steelstone) (No 3)

Case •

[2024] NSWSC 1646

•

19 December 2024

No judgment structure available for this case.

Supreme Court


New South Wales

Medium Neutral Citation: Lake Macquarie City Council v Newcastle Resources Pty Ltd (formerly known as SCE Resources Pty Ltd t/as Steelstone) (No 3) [2024] NSWSC 1646
Hearing dates: On the papers
Date of orders: 19 December 2024
Decision date: 19 December 2024
Jurisdiction:Equity - Technology and Construction List
Before: Stevenson J
Decision:

Gross sum costs order made

Catchwords:

COSTS – gross sum costs order – court’s discretion as to quantum of gross sum costs order

Legislation Cited:

Civil Procedure Act 2005 (NSW)

Cases Cited:

Lake Macquarie City Council v Newcastle Resources Pty Ltd (formerly known as SCE Resources Pty Ltd t/as Steelstone) (No 2) [2024] NSWSC 1131

Category:Costs
Parties: Lake Macquarie City Council (Plaintiff)
Newcastle Resources Pty Ltd (formerly known as SCE Resources Pty Ltd t/as Steelstone) (Defendant)
Representation:

Counsel:
L Shipway / F Anwar (Plaintiff)
D A Lloyd SC / M F Newton / J Adamopoulos (Defendant)

Solicitors:
Moray & Agnew (Plaintiff)
Meridian Lawyers (Defendant)
File Number(s): 2018/77899

JUDGMENT

  1. The background to this matter is set out in my judgment of 11 December 2024. [1] I shall use the same abbreviations here.

    1. Lake Macquarie City Council v Newcastle Resources Pty Ltd (formerly known as SCE Resources Pty Ltd t/as Steelstone) (No 2) [2024] NSWSC 1131.

  2. On 25 October 2024, I ordered that the Council pay Newcastle’s costs thrown away by reason of the vacation of the 25 November 2024 hearing.

  3. On 28 November 2024, I ordered that those costs be payable on the making of the gross sum costs order under s 98(4) of the Civil Procedure Act 2005 (NSW).

  4. I have now received detailed and careful submissions as to that question from both parties.

  5. Newcastle contends that the relevant amount is $141,264.38 being, it contends, a reasonable estimate of its costs thrown away discounted by 20%.

  6. I have received from the Council a detailed and careful analysis of Newcastle’s claim.

  7. As the Council points out, a significant portion of the costs claimed by Newcastle as being thrown away relate to an “evidence review” and “general matter preparation”.

  8. I think the Council is correct to submit that not all of those costs can truly be said to be thrown away.

  9. The Council argues for a discount of 30%, rather than 20%, and submits that the appropriate figure that should be ordered as costs thrown away is $87,000.

  10. A necessarily broad brush approach must be taken to this question. The parties may be assured that I have given careful consideration to their detailed submissions. My conclusion is that the appropriate figure to fix as costs thrown away is $100,000.

  11. My intention was that that figure be paid forthwith upon determination.

  12. I order that Lake Macquarie City Council pay the costs thrown away by Newcastle Resources Pty Ltd by reason of the vacation of the hearing date.

  13. I fix those costs pursuant to s 98(4) of the Civil Procedure Act2005 (NSW) at $100,000.

  14. I order that the Council pay those costs by 5pm on 31 January 2025.

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Endnote

Decision last updated: 19 December 2024

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