FEDERAL COURT OF AUSTRALIA
Li v Wu [2013] FCA 1265
Citation: Li v Wu [2013] FCA 1265 Parties: YU XIN LI v TAO WU File number: ACD 54 of 2011 Judge: JAGOT J Date of judgment: 29 November 2013 Catchwords: COSTS Cases cited: Li v Wu [2013] FCA 1067 Date of hearing: Decided on the papers Date of last submissions: 19 November 2013 Place: Sydney Division: GENERAL DIVISION Category: Catchwords Number of paragraphs: 16 Counsel for the Applicant:
I Neil SC with M J Heath Solicitor for the Applicant: Goodman Law Counsel for the Respondent:
C Erskine SC with D Shillington
Solicitor for the Respondent: Johannessen Legal
IN THE FEDERAL COURT OF AUSTRALIA
NEW SOUTH WALES DISTRICT REGISTRY
GENERAL DIVISION
ACD 54 of 2011
BETWEEN: YU XIN LI
ApplicantAND: TAO WU
Respondent
JUDGE:
JAGOT J
DATE OF ORDER:
29 NOVEMBER 2013
WHERE MADE:
SYDNEY
THE COURT ORDERS THAT:
1. The respondent pay the applicant’s costs as agreed or taxed.
Note:Entry of orders is dealt with in Rule 39.32 of the Federal Court Rules 2011.
IN THE FEDERAL COURT OF AUSTRALIA
NEW SOUTH WALES DISTRICT REGISTRY
GENERAL DIVISION
ACD 54 of 2011
BETWEEN: YU XIN LI
ApplicantAND: TAO WU
Respondent
JUDGE:
JAGOT J
DATE:
29 NOVEMBER 2013
PLACE:
SYDNEY
REASONS FOR JUDGMENT
The remaining issue in this matter is costs.
Consequential upon my principal reasons for judgment published on 22 October 2013 (Li v Wu [2013] FCA 1067) and the subsequent orders dated 6 November 2013 giving judgment for the applicant in the sum of $976,866.80 plus interest, the applicant seeks the usual order as to costs.
I use the same abbreviations in these reasons as used in my principal reasons for judgment.
The respondent contends that the applicant should receive only 20% of its costs on the basis that the applicant succeeded on one issue only and failed on all other issues. As the respondent put it in written submissions:
The respondent estimates that at least 80% of preparation and court time related to the parts of the applicant’s claim that were unsuccessful. The part of the claim that succeeded involved construction of the text of the 2008 agreement. While some context would have been needed to understand the document, her Honour’s reasons on this issue reflect that the necessary context was largely uncontroversial. The case would have taken a day or two, at the most.
I am unable to agree with the respondent’s characterisation of the proceeding or view of the time involved in respect of the issues on which the applicant failed. It seems to me that the respondent’s approach to these matters is almost wholly disconnected from the reality of the issues which were in dispute, the conduct of the hearing, and the context which was essential to resolution of the issues.
It is true that the applicant obtained judgment in his favour on one issue (the indemnity provision in the shareholder agreement) and failed in his claims for damages for misleading…
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- AGLC
- Li v Wu [2013] FCA 1265
- Case
- [2013] FCA 1265
- Decision Date
CaseChat Overview and Summary
The court examined the language of the contract clause in question, taking into account the surrounding circumstances and the commercial purpose of the agreement. It considered the objective meaning of the words used, as well as any relevant extrinsic evidence. The court found that the plain meaning of the clause supported Li's interpretation, and that the expenses in question were indeed the responsibility of Wu. As a result, the court ruled in favour of Li, affirming that Wu was liable for the disputed expenses.
Consequently, the court ordered that Wu pay the costs of the proceeding as agreed or taxed. This order was made pursuant to Rule 39.32 of the Federal Court Rules 2011, which governs the entry of orders in relation to costs in the Federal Court. The court's decision provided clarity on the financial obligations of the parties and resolved the dispute in accordance with the terms of the contract.
Orders
Orders of the court
1. The respondent pay the applicant’s costs as agreed or taxed.
Note: Entry of orders is dealt with in Rule 39.32 of the Federal Court Rules 2011.
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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