Officeworks Ltd v Christopher (No 2)

Case [2019] NSWCA 131


Court of Appeal


Supreme Court


New South Wales

Medium Neutral Citation: Officeworks Ltd v Christopher (No 2) [2019] NSWCA 131
Hearing dates: On the papers
Decision date: 06 June 2019
Before: Meagher JA; Gleeson JA; Leeming JA
Decision:

1. In lieu of the judgment of the District Court entered on 19 October 2018, which was set aside by this Court’s order of 6 May 2019, enter judgment in favour of the plaintiff in the sum of $7,517.25.

 

2. Set aside the order of the District Court as to costs made on 19 October 2018, and in lieu thereof:
(a) order the defendant to pay the plaintiff’s costs up to and including 23 June 2016, and
(b) order the plaintiff to pay the defendant’s costs on an indemnity basis after 23 June 2016.

 

3. Order the respondent to pay the appellant’s costs of the appeal.

4. The respondent be granted a certificate under the Suitors’ Fund Act 1951 (NSW).
Catchwords: COSTS – offer of compromise – defendant’s offer better than that obtained by plaintiff – special costs order made
Legislation Cited: Suitors’ Fund Act 1951 (NSW)
Uniform Civil Procedure Rules 2005, rr 20.26, 42.13A, 42.15
Cases Cited: Officeworks Ltd v Christopher [2019] NSWCA 96
Category:Costs
Parties: Christina Christopher (Appellant)
Officeworks Ltd (Respondent)
Representation:

Counsel:
G Watson SC and I Griscti (Appellant)
K Andrews (Respondent)

  Solicitors:
Gilchrist Connell (Appellant)
Slater & Gordon (Respondent)
File Number(s): 2018/347254
Publication restriction: None
 Decision under appeal 
Court or tribunal:
District Court of New South Wales
Jurisdiction:
Civil
Citation:
None
Date of Decision:
19 October 2018
Before:
Maiden DCJ
File Number(s):
2015/223966

Judgment

  1. THE COURT: On 6 May 2019, this Court allowed an appeal from the District Court and set aside the judgment entered in favour of Ms Christopher on 19 October 2018: Officeworks Ltd v Christopher [2019] NSWCA 96. This Court relevantly made directions for the parties to provide further submissions as to the amount of the judgment to which Ms Christopher is entitled, and costs. That has occurred, by submissions filed 20 and 31 May 2019.

  2. It is common ground that Ms Christopher is entitled to judgment in the sum of $7,517.25. It is also common ground that Ms Christopher should be ordered to pay Officeworks’ costs in this Court, but that she should be granted a certificate under the Suitors’ Fund Act 1951 (NSW). The only dispute is as to the costs at first instance.

  3. Ms Christopher submits that liability having been in dispute at trial, she should be entitled to a favourable costs order at first instance. Officeworks accepts that Ms Christopher is prima facie entitled to her costs at first instance, but relies upon an offer of compromise dated 23 June 2016, expressed to be open for acceptance by 5pm on Monday 27 June 2016, in the amount of $10,000. Officeworks submits that the judgment to which Ms Christopher is entitled is “no more favourable to the plaintiff than the terms of the offer”, such that in accordance with…

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Officeworks Ltd v Christopher (No 2) [2019] NSWCA 131
Case
[2019] NSWCA 131
Decision Date

CaseChat Overview and Summary

The appeal concerned an application for costs following a judgment in the District Court. The appellant, Officeworks Ltd, sought to appeal an order regarding costs made in favour of the respondent, Mr Christopher. The dispute revolved around an offer of compromise made by the defendant, which the plaintiff ultimately failed to better at trial.

The primary legal issue before the Court of Appeal was whether the District Court judge erred in their assessment of costs, particularly in light of the defendant's offer of compromise. The Court was required to determine whether the costs order made by the District Court was appropriate, or if a different order, reflecting the outcome of the offer of compromise, should have been made.

The Court of Appeal found that the defendant's offer of compromise was indeed more favourable than the judgment obtained by the plaintiff. Applying the principles governing offers of compromise, the Court determined that the costs order should reflect this disparity. Consequently, the Court ordered that the plaintiff pay the defendant's costs on an indemnity basis from the date of the offer of compromise, while the defendant was ordered to pay the plaintiff's costs up to that date. The Court also ordered the respondent to pay the appellant's costs of the appeal and granted the respondent a certificate under the Suitors’ Fund Act 1951 (NSW).

Orders

Orders of the court

1. In lieu of the judgment of the District Court entered on 19 October 2018, which was set aside by this Court’s order of 6 May 2019, enter judgment in favour of the plaintiff in the sum of $7,517.25.

2. Set aside the order of the District Court as to costs made on 19 October 2018, and in lieu thereof:

(a) order the defendant to pay the plaintiff’s costs up to and including 23 June 2016, and

(b) order the plaintiff to pay the defendant’s costs on an indemnity basis after 23 June 2016.

3. Order the respondent to pay the appellant’s costs of the appeal.

4. The respondent be granted a certificate under the Suitors’ Fund Act 1951 (NSW).

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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