FEDERAL COURT OF AUSTRALIA
McConvill & Associates v Carbone [2022] FCA 265
Appeal from: Carbone v James McConvill & Associates [2021] FCCA 661 File number: VID 241 of 2021 Judgment of: SNADEN J Date of judgment: 23 March 2022 Catchwords: PRACTICE AND PROCEDURE – interlocutory applications – application to set aside subpoenas – subpoenas issued in support of application for security of costs – no utility to subpoenas – application to set aside subpoenas granted – application by respondents for security for costs in an appeal from the Federal Circuit Court of Australia – appeal in a matter arising under the Fair Work Act – effect of s 570 of the Fair Work Act – limited prospect of an order for costs given s 570 of the FW Act – not persuaded that appellants unable to satisfy adverse costs order – exercise of discretion –application for security for costs dismissed – application by appellants for stay of execution of judgment appealed from pending determination of appeal – no circumstances justifying stay – application for stay dismissed Legislation: Fair Work Act 2009 (Cth) s 570
Federal Court of Australia Act 1976 (Cth) s 56
Cases cited: Bell Wholesale Co Ltd v Gates Export Corporation (No 2) (1984) 2 FCR 1
Clack v Collins (No 1) [2010] FCA 513
Division: Fair Work Division Registry: Victoria National Practice Area: Employment and Industrial Relations Number of paragraphs: 25 Date of hearing: 18 March 2022 Counsel for the Appellants: Mr M J Wyles Solicitor for the Appellants: Carter Newell Lawyers Counsel for the Respondent: Mr M G Rinaldi Solicitor for the Respondent: Cooper and Sanders Legal ORDERS
VID 241 of 2021 BETWEEN: JAMES MCCONVILL & ASSOCIATES
First Appellant
JAMES MCCONVILL
Second Appellant
AND: JOSEPH CARBONE
Respondent
ORDER MADE BY:
SNADEN J
DATE OF ORDER:
23 MARCH 2022
THE COURT ORDERS THAT:
1.The respondent’s interlocutory application dated 24 February 2022 be dismissed.
2.The appellants’ interlocutory application dated 15 March 2022 be dismissed.
3.The costs of each application be reserved.
Note: Entry of orders is dealt with in Rule 39.32 of the Federal Court Rules 2011.
REASONS FOR JUDGMENT
SNADEN J:
The respondent is a former employee of the law practice operated by the first appellant. The second appellant is the first appellant’s sole director. By orders made by the court below on 9 April 2021 and 24 May 2021, the respondent was granted relief in the form of compensation, interest and penalties pertaining to conduct engaged in by the appellants in contravention of various provisions of the Fair Work Act 2009 (Cth) (the “FW Act”). The present appeal challenges those orders (or the bulk of them).
Before the court presently are two interlocutory applications: one filed by the respondent on 24 February 2022, seeking relief in the nature of security for costs; and one filed by the appellants on 15 March 2022, seeking that the orders of…
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- Case
- [2022] FCA 265
- Decision Date
CaseChat Overview and Summary
The court was tasked with deciding whether the subpoenas issued in support of the security of costs application were necessary and whether there was any utility in maintaining them. Additionally, the court had to assess the appellants' ability to satisfy any adverse costs order and the prospects of success in their appeal. The effect of section 570 of the Fair Work Act was also considered, as it limited the court's ability to grant an order for costs in certain circumstances. The court further had to determine whether there were any exceptional circumstances justifying a stay of execution of the judgment pending the appeal.
After considering the arguments presented, the court found that there was no utility in the subpoenas and thus granted the respondents' application to set them aside. Regarding the security of costs, the court was not persuaded that the appellants would be unable to satisfy an adverse costs order, and it exercised its discretion accordingly, dismissing the appellants' application for security for costs. The court also dismissed the appellants' application for a stay of execution of the judgment, finding no circumstances that justified such a stay. The costs of each application were reserved.
The final orders of the court were that the respondents' interlocutory application dated 24 February 2022 be dismissed, the appellants' interlocutory application dated 15 March 2022 be dismissed, and the costs of each application be reserved. The entry of these orders was dealt with in Rule 39.32 of the Federal Court Rules 2011.
Orders
Orders of the court
1. The respondent’s interlocutory application dated 24 February 2022 be dismissed.
2. The appellants’ interlocutory application dated 15 March 2022 be dismissed.
3. The costs of each application be reserved.
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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