Lend Lease Retail Projects Pty Ltd v Construction Engineering (Aust) Pty Ltd & Ors

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SUPREME COURT OF VICTORIA

  COURT OF APPEAL Not Restricted

No.7412 of 1998

LEND LEASE RETAIL PROJECTS PTY. LTD. Appellant
v
CONSTRUCTION ENGINEERING (AUST.) PTY. LTD.

First Respondent

and
CLARKE HOPKINS AND CLARKE Second Respondent

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JUDGES:

PHILLIPS, CHARLES and CALLAWAY, JJ.A.

WHERE HELD:

MELBOURNE

DATE OF HEARING:

15 February 2000

DATE OF JUDGMENT:

23 June 2000

MEDIUM NEUTRAL CITATION:

[2000] VSCA 114

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Practice and procedure – Costs – Action for damages for personal injury -  Three defendants – Offer to contribute by one defendant to others – Not accepted because other defendants could not agree between themselves – Whether relevant to discretion as to costs – County Court Rules, Chapter I Rule 26.10.

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APPEARANCES:

Counsel Solicitors

For the Appellant

Mr. P.B. Murdoch Q.C.
with Mr. J.D. Elliott

Lander & Rogers
For the First Respondent Mr. T.J. Casey Q.C.
with Mr. S. Le Grand
Deacons Graham & James
For the Second Respondent Mr. S.W. Kaye Q.C.
with Mr. D. Masel
Ebsworth & Ebsworth

PHILLIPS, J.A.:

  1. I agree with Callaway, J.A. that, for the reasons he has given, the trial judge’s discretion miscarried as to costs and that the orders made below for costs should be set aside.  I agree too that, if what remains in dispute between the parties must be determined by the Court, the matter will have to be remitted to the trial judge for final adjudication.  One can only hope, however, that the parties will now resolve their remaining differences by agreement, without troubling the trial judge over a case that was determined in 1998.

CHARLES, J.A.:

  1. I agree with Callaway, J.A., for the reasons he gives, that the trial judge's discretion miscarried as to costs, and that, subject to anything counsel might say, orders should be made as proposed by his Honour.

CALLAWAY, J.A.:

  1. On Tuesday 25th August 1998 a trial began in the County Court in which Christopher McLean was plaintiff, suing by his litigation guardian, and there were four named defendants.  The plaintiff's claim was for personal injuries when he fell from a travellator in a shopping centre on to the floor below. The four named defendants were the occupier of the premises, the builder, the construction manager and the architect.  The plaintiff had already discontinued against the second defendant.  The first, third and fourth defendants are the present appellant and the first and second respondents respectively.  There were contribution proceedings between each of those three parties.  At a stage at which it was the sole defendant, the appellant had served a third party notice on the respondents.  An order was subsequently made to the effect that that notice stand as a notice of contribution directed to each of the respondents.  The first respondent had served notices of contribution on the appellant and the second respondent and the second respondent had served notices of contribution on the appellant and the first respondent.  The trial occupied ten days and the plaintiff was successful.  Judgment was entered in his favour in a substantial sum[1], which…

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Details
Case
[2000] VSCA 114
Decision Date

CaseChat Overview and Summary

The case of Lend Lease Retail Projects Pty Ltd v Construction Engineering (Aust) Pty Ltd & Ors was heard in the County Court of Victoria. The plaintiff, Lend Lease Retail Projects, was seeking damages for personal injuries sustained by its employee during the construction of a project. The defendants, Construction Engineering (Aust) Pty Ltd, along with two other companies, were involved in the project. The central dispute was over the allocation of costs, particularly regarding an offer by one defendant to contribute to the costs of the other defendants, which was declined due to disagreements among the defendants.

The primary legal issue before the court was whether the offer to contribute by one defendant, which was not accepted because of internal disagreements among the defendants, should be considered when exercising the court’s discretion over costs. The court had to determine the relevance of this offer in the context of County Court Rules, specifically Chapter I Rule 26.10, which governs the court's discretion in awarding costs.

In its reasoning, the court found that the offer by one defendant, although not accepted due to internal disagreements, was relevant in the context of the court’s discretion over costs. The court acknowledged that the offer demonstrated a willingness to contribute and should be taken into account when deciding on the final costs allocation. The court concluded that the refusal by the other defendants to accept the offer did not negate the relevance of the offer itself in the exercise of discretion. The court made a detailed analysis of the offer and its implications for the cost implications, ultimately deciding that the offer was indeed relevant to the court's discretion under the County Court Rules.

The final orders of the court reflected its reasoning, recognising the relevance of the offer to contribute in the context of the court's discretion over costs. The court provided detailed guidance on how the offer should be considered, ensuring that the defendants' internal disagreements did not preclude the court from taking the offer into account. The court's decision provided clarity on the application of the County Court Rules in cases involving multiple defendants and offers to contribute to costs.

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