Loiero (aka Lero) v Adel Sportswear Pty Ltd (No 2)

In this case, Loiero, also known as Lero, was the plaintiff and Adel Sportswear Pty Ltd was the defendant. The dispute was about an infringement of copyright and passing off, and it was heard in the Federal Court of Australia. The plaintiff claimed that the defendant had infringed on their copyright by selling products that were too similar to their own and that the defendant's actions constituted passing off. The defendant argued that there was no infringement and that the plaintiff's claims were without merit.

The legal issues the court needed to decide were whether the plaintiff was entitled to an order for indemnity costs, whether the costs should be apportioned between the parties, and whether there were any exceptions to the general rule that costs follow the event. The court needed to consider the defendants' prospects of success, the appropriateness of joinder, and whether there were any reasons to reduce the costs order.

The court found that there was no basis for an order for indemnity costs, as the defendants had a prospect of success in their defence. The court also found that the costs should be apportioned between the parties by reference to the total costs awarded, rather than by reference to the amount of costs incurred by each party. The court found that there were exceptions to the general rule that costs follow the event, as the joinder of multiple parties was inappropriate and it was appropriate that each party bear their own costs. The court found that the defendants had joined a party that was not necessary to the proceedings and that this was inappropriate. The court also found that it was appropriate for each party to bear their own costs, as the joinder had caused unnecessary complexity and expense.

The court ordered that the plaintiff bear 70% of the costs of the proceeding and that the defendant bear 30% of the costs of the proceeding. The court found that this apportionment was appropriate, given the circumstances of the case.