Partington & Anor v Urquhart (No 4)

The applicants, the Partingtons, were engaged in a dispute with John Urquhart trading as Hart Renovations, over alleged breaches of contract and misleading or deceptive conduct. The matter was initially heard by the Queensland Civil and Administrative Tribunal (QCAT) and subsequently appealed to the Supreme Court of Queensland. The applicants sought an order for costs in the proceedings before both QCAT and the Supreme Court. The primary legal issue before the court was whether the QCAT had the jurisdiction to award costs under the Queensland Building and Construction Commission Act 1991 and whether section 77(3)(h) of that Act modified the costs provisions in the Queensland Civil and Administrative Tribunal Act 2009. Another issue was whether there was a valid application for costs and, if so, whether the principles relating to Calderbank offers applied.

The court found that the QCAT did have jurisdiction to award costs, and that section 77(3)(h) of the QBCC Act did modify the costs provisions in the QCAT Act. The court also found that the applicants’ application for costs was validly made and that the principles relating to Calderbank offers applied. The court noted that the applicants had made a genuine offer of settlement, and that the respondent had not accepted this offer. The court held that the applicants were entitled to costs on an indemnity basis for the appeal proceedings, but not for the proceeding at first instance. The court ordered that John Urquhart pay the Partingtons $55,000 by way of costs of and incidental to the appeal proceedings, by 4:00pm on 23 July 2019. The court also ordered that there be no order as to costs in respect of the proceeding at first instance.