Malmate Pty Ltd v ISPT Pty Ltd (No 2)

Case [2012] QCAT 615


CITATION: Malmate Pty Ltd v ISPT Pty Ltd (No 2) [2012] QCAT 615
PARTIES: Malmate Pty Ltd
(Applicant)
v
ISPT Pty Ltd
(Respondent)
APPLICATION NUMBER: RSL132-11
MATTER TYPE: Retail shop lease matters
HEARING DATE: On the papers
HEARD AT: Brisbane
DECISION OF: Justice Alan Wilson, President
DELIVERED ON: 27 November 2012
DELIVERED AT: Brisbane
ORDERS MADE:

1.    The proceeding initiated by Malmate Pty Ltd by a Notice of Dispute under the Retail Shop Leases Act 1994 in this Tribunal on 21 December 2011 is transferred to the District Court of Queensland at Brisbane.

2.    The Respondent’s application for costs is refused.

CATCHWORDS:

ADMINISTRATIVE LAW – ADMINISTRATIVE TRIBUNALS – QUEENSLAND CIVIL AND ADMINISTRATIVE TRIBUNAL – JURISDICTION – where the Applicant sought to put before the Tribunal an action relating to damages alleged to have been suffered under a previous lease with the Respondent – where the Tribunal found that the Tribunal does not have jurisdiction to deal with the previous lease – whether proceedings should be transferred to the District Court of Queensland – whether there are grounds that warrant an order for costs

Queensland Civil and Administrative Tribunal Act 2009, ss 4, 32, 52
Retail Shop Leases Act 1994

Malmate Pty Ltd v ISPT Pty Ltd [2012] QCAT 487

APPEARANCES and REPRESENTATION (if any):

This matter was heard and determined on the papers pursuant to s 32 of the Queensland Civil and Administrative Tribunal Act 2009 (‘QCAT Act’).

REASONS FOR DECISION

  1. The facts and circumstances surrounding this proceeding, which relates to retail premises in the Wintergarden Centre in Brisbane, are set out in the decision of QCAT Member Ms Michelle Howard (or, as she then was, an Acting Senior Member) of 12 October 2012: Malmate Pty Ltd v ISPT Pty Ltd [2012] QCAT 487.

  2. In short, Malmate commenced proceedings in this Tribunal by lodging a Notice of Dispute under the Retail Shop Leases Act1994 (‘RSL Act’) on 21 December 2011 which, on its face, relates to a dispute about premises called Shop E146 at the Wintergarden Centre, and the lease of those premises which began on 5 January 2010 and ended on 31 December 2010. The Notice of Dispute was referred by a mediator under the RSL Act to QCAT in February 2012.

  3. Between 2003 and 2010 Malmate had leased other premises in the Centre, namely shop E166.  In its evidence in the proceedings in this Tribunal Malmate disclosed material relating to, and suggesting a claim for, damage it allegedly suffered as a tenant during the course of the separate, earlier lease, for shop E166.

  4. ISPT brought a miscellaneous application in QCAT seeking to strike out anything relating to the lease for shop E166, and it was that matter that was addressed in the learned Member’s earlier decision.  She concluded that QCAT lacked jurisdiction to deal with anything relating to the lease for shop E166, and only a dispute relating to shop E146 could proceed before the Tribunal.

  5. Anticipating that outcome, Malmate had separately applied to transfer the entire proceeding to the District Court. The learned Member directed that the application for transfer be heard on the papers and, as required by s 52 of the QCAT Act, determined by a judicial member.

  6. Both parties are legally represented and, through their lawyers, have filed written submissions.  ISPT does not object to the transfer, but seeks costs.

  7. As explained in the learned Member’s decision it is arguable that, because of certain provisions of the RSL Act and the QCAT Act this Tribunal lacks, but the District Court may have, jurisdiction to deal with a claim for compensatory damages concerning a lease that had ended more than one year before a Notice of Dispute was filed in QCAT.

  8. The reason for this is, with respect, well explained in the decision of the learned Member, and it does not require repetition. Section 52 of the QCAT Act empowers this Tribunal to refer a proceeding in circumstances where it considers it does not have jurisdiction to hear all matters in the proceeding to a ‘Court of competent jurisdiction’. Both parties appear to agree that this District Court is such a court. It is appropriate then to make an order transferring the proceedings begun by Malmate’s Notice of Dispute on 21 December 2011.

  9. ISPT seeks costs.  It also applied for costs in proceedings before the Member.  As she pointed out at [15]-[17] of her decision, the general rule in this Tribunal is that parties will bear their own costs, but orders can be made, at the Tribunal's discretion, if the interests of justice so require.  The learned Member refused costs because, in the exercise of her discretion, she concluded that ISPT’s application (to strike out part of Malmate’s proceedings in QCAT) was brought with excessive haste and unnecessarily.

  10. The same may be said here.  ISPT has now, reasonably, conceded that there can be no sound basis for opposing to the transfer of the proceedings.  This Tribunal must exercise its functions in a manner that ensures proceedings are conducted in an informal way that minimises costs to parties.[1]  As the learned Member observed, the issues might have been differently dealt with if ‘… a less aggressive approach had been adopted’ by ISPT.  Indeed, time for reflection and a greater emphasis upon the need to ensure that proceedings in the Tribunal are not distracted or deflected, or delayed or made more costly, by precipitate applications should have led to a circumstance in which the parties might, for example, have simply filed consent orders.

    [1]        Queensland Civil and Administrative Tribunal Act 2009, s 4(c).

  11. In the circumstances, there is no basis for departing from the usual rule in the Tribunal, and, accordingly, no order as to costs will be made.


Details
AGLC
Malmate Pty Ltd v ISPT Pty Ltd (No 2) [2012] QCAT 615
Case
[2012] QCAT 615
Decision Date

CaseChat Overview and Summary

In the matter of Malmate Pty Ltd v ISPT Pty Ltd (No 2), the Queensland Civil and Administrative Tribunal (QCAT) was asked to decide whether it had jurisdiction to hear a dispute initiated by Malmate Pty Ltd against ISPT Pty Ltd under the Retail Shop Leases Act 1994. The dispute related to a lease of retail premises in the Wintergarden Centre, Brisbane, specifically concerning damages allegedly suffered by Malmate during a previous lease of different premises in the same shopping centre. The QCAT found that it lacked jurisdiction to hear the claims related to the earlier lease, and therefore transferred the proceedings to the District Court of Queensland. The Tribunal also considered ISPT's application for costs but declined to make an order for costs, noting the manner in which the proceedings were conducted.

The primary legal issue before the QCAT was whether it had the jurisdiction to hear the dispute brought by Malmate concerning damages from a lease that had concluded more than a year prior to the Notice of Dispute being filed with QCAT. The Tribunal found that the provisions of the Retail Shop Leases Act 1994 and the Queensland Civil and Administrative Tribunal Act 2009 did not confer the necessary jurisdiction upon QCAT to hear claims relating to a lease that had expired over a year before. Therefore, the Tribunal concluded it did not have the jurisdiction to hear the claims concerning the earlier lease and ordered the transfer of the entire proceeding to the District Court of Queensland.

The QCAT reasoned that the District Court might have the jurisdiction to hear the claim, as it was a court of competent jurisdiction. The Tribunal was empowered under Section 52 of the Queensland Civil and Administrative Tribunal Act 2009 to refer proceedings to a court that had the appropriate jurisdiction. Both parties agreed that the District Court was the appropriate court for this matter. Furthermore, the Tribunal refused ISPT's application for costs, adhering to the general principle that parties bear their own costs unless the interests of justice required otherwise. The Tribunal found that ISPT's application to strike out part of Malmate's proceedings was made with undue haste and unnecessarily, and similarly, there was no sound basis for opposing the transfer of the proceedings. Thus, the Tribunal upheld the usual rule that parties bear their own costs.

The Tribunal made two orders. First, the proceeding initiated by Malmate was transferred to the District Court of Queensland. Second, the application by ISPT for costs was refused. This decision ensures that the dispute is heard in the appropriate court and maintains the principle that parties generally bear their own costs unless there are exceptional circumstances.

Orders

Orders of the court

Full text does not contain this section.

Background

Background to the litigation

Full text does not contain this section.

Evidence

Evidence Before The Court

Full text does not contain this section.

Decision

Reasons for decision

Full text does not contain this section.

Ratio Decidendi

Legal Principle Established

Full text does not contain this section.