Papantoniou v Brown (No 2)

This matter concerned an appeal from orders made by Campbell J in the Supreme Court of New South Wales. The appeal involved a dispute between the appellant, Ms Papantoniou, and the respondents, the Estate of the late James Brown and Mr Robert Brown (collectively, the Browns), concerning accounts and cross-claims. The primary issue on appeal related to the costs of certain cross-claims and the appeal itself, particularly in light of an offer of settlement made by the Browns.

The court was required to determine whether it was unreasonable for Ms Papantoniou to reject the Browns' offer of settlement, which had been made before the hearing of the cross-claims. This determination was central to the question of whether Ms Papantoniou should be awarded her costs of the appeal, or whether her recovery should be limited. The court also considered the costs of the First and Third Cross-Claims, and the Second Cross-Claim.

The court reasoned that the offer of settlement was a significant factor in assessing the reasonableness of rejecting it. While the precise terms of the offer are not detailed, the court's ultimate orders suggest that the offer was not so favourable as to warrant penalising Ms Papantoniou for its rejection in relation to the appeal costs. The court ultimately ordered that the Browns pay 75 per cent of Ms Papantoniou’s costs of the appeal, indicating that while Ms Papantoniou was largely successful, some aspect of the proceedings or her conduct may have influenced the apportionment. The court also made specific orders regarding the costs of the cross-claims, with the Browns ordered to pay Ms Papantoniou’s costs of the First and Third Cross-Claims, and no order as to costs for the Second Cross-Claim.