McGrath Corporation Pty Ltd v Global Construction Management (Qld) Pty Ltd (No. 2)

McGrath Corporation Pty Ltd sought damages from Global Construction Management (Qld) Pty Ltd in respect of a building contract. The case was heard in the Supreme Court of Queensland. The primary dispute centred on the determination of costs and interest following the plaintiff's partial success. The plaintiff claimed interest on damages up to the date of judgment, while the first defendant contested the rate of interest and also argued for a reduction in the plaintiff's costs due to its own partial success in the proceedings.

The court addressed two main issues: the appropriate rate of interest on the damages awarded and the allocation of costs between the parties. Regarding interest, the court found that the rate should be 9 per cent per annum, not the 10 per cent sought by the plaintiff. For the costs, the court considered the discretion under rule 684 of the Uniform Civil Procedure Rules 1999 (Qld). It determined that the first defendant should bear 95 per cent of the plaintiff's costs, reflecting the plaintiff's partial success but also acknowledging the complexity and significance of the issues raised.

The court's decision mandated that interest on the judgment sum be calculated at 9 per cent from 27 October 2007 until the date of judgment, amounting to $234,310. Additionally, the first defendant was ordered to pay 95 per cent of the plaintiff's costs of and incidental to the proceeding. This ruling ensured that the financial burden of the litigation was fairly apportioned, considering the outcomes achieved by both parties.