Ponggos v Caesarstone Ltd

Case [2023] WASC 427


JURISDICTION     :   SUPREME COURT OF WESTERN AUSTRALIA

IN CIVIL

CITATION:   PONGGOS -v- CAESARSTONE LTD [2023] WASC 427

CORAM:   HOWARD J

HEARD:   8 NOVEMBER 2023

DELIVERED          :   9 NOVEMBER 2023

FILE NO/S:   CIV 2168 of 2023

BETWEEN:   RONALD ESELLANA PONGGOS

Plaintiff by ex parte

AND

CAESARSTONE LTD

First Defendant

CAESARSTONE AUSTRALIA PTY LTD

Second Defendant

CARSILSTONE PTY LTD

Third Defendant

WK MARBLE AND GRANITE PTY LTD

Fourth Defendant

COSENTINO AUSTRALIA PTY LTD

Fifth Defendant

LAMINEX GROUP PTY LTD

Sixth Defendant

PORTOFIINO PTY LTD

Seventh Defendant

J H WILBERFORCE PTY LTD

Eighth Defendant

Q STONE PTY LTD

Ninth Defendant


Catchwords:

Practice and procedure - Ex parte application for leave to issue and then serve a writ outside Australia - Whether requirements were satisfied for O 10 r 1(1)(h) or (k) - Whether each cause of action was within a head of jurisdiction for leave to serve out - Plaintiff then only relied on O 10 r 1(1)(k) - Adequacy of evidence relied upon - Affidavits deficient - Jurisdiction to grant under O 10 r 1(1)(k) not enlivened - Application dismissed

Legislation:

Rules of the Supreme Court 1971 (WA)

Result:

Application dismissed

Category:    B

Representation:

Counsel:

Plaintiff by ex parte : Mr A J Stewart
First Defendant : No appearance
Second Defendant : No appearance
Third Defendant : No appearance
Fourth Defendant : No appearance
Fifth Defendant : No appearance
Sixth Defendant : No appearance
Seventh Defendant : No appearance
Eighth Defendant : No appearance
Ninth Defendant : No appearance

Solicitors:

Plaintiff by ex parte : Stephen Browne Lawyers (South Perth)
First Defendant : In person
Second Defendant : In person
Third Defendant : In person
Fourth Defendant : In person
Fifth Defendant : In person
Sixth Defendant : In person
Seventh Defendant : In person
Eighth Defendant : In person
Ninth Defendant : In person

Case(s) referred to in decision(s):

Antz Inya Pantz Coffee Pty Ltd v Muhl [2023] WASC 320

Australian Insurance Brokers Ltd v Hudig Langeveldt [No 2] (1991) 7 WAR 343

Bombardier Inc v Avwest Aircraft [2020] WASC 2

Bombardier Inc v Avwest Aircraft Pty Ltd [2020] WASCA 2

Centurion Trust Company Pty Ltd v Director of Public Prosecutions (WA) [2008] WASCA 6

Crawley Investments v Elman [2014] WASC 233

Glendalough Holdings Pty Ltd v Summit Chemicals Pty Ltd [2003] WASC 183

Goldman Sachs International v Novo Banco SA [2018] UKSC 34

ICI Australia Operations Pty Ltd v Kiddle-Graviner Ltd [1991] WASCA 65

Kent v Lechmere Financial Corporation [2002] WASC 75

Kent v MacLellan [2002] WASC 199

Lipohar v R (1999) 200 CLR 485

Micon Mining and Construction Products GMBH & Co KG v MacMahon Mining Services Pty Ltd [2022] WASCA 56

Obeid v R (2015) 91 NSWLR 226

PT Garuda Indonesia Ltd v ACCC (2012) 247 CLR 240

HOWARD J:

(This judgment was delivered extemporaneously on 8 November 2023 and has been lightly edited for clarity from the transcript.)

  1. By an originating motion dated 12 October 2023, the plaintiff sought leave pursuant to O 5 r 2…

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Ponggos v Caesarstone Ltd [2023] WASC 427
Case
[2023] WASC 427
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CaseChat Overview and Summary

In the case of Ponggos v Caesarstone Ltd, the plaintiff sought leave to issue and serve a writ outside Australia against Caesarstone Ltd, an Israeli company, based on allegations of personal injury and defective products. The plaintiff, represented by Mr Taylor, applied for leave under the Supreme Court Rules, specifically rule 10, to serve the writ in Israel. The primary legal issues before the court were whether the plaintiff had satisfied the requirements for leave to serve out under rule 10(1)(h) or (k) and if each cause of action was within a head of jurisdiction permitting such leave.

The court found that the plaintiff's affidavits were deficient and did not provide the necessary evidential basis to positively persuade the court that the jurisdictional requirements were met. The plaintiff had only relied on rule 10(1)(k) for leave to serve out, which pertains to cases involving property or things situated outside Australia. However, the plaintiff's claims were not based on property or things but on personal injury and defective products. Moreover, there was no evidence that any relevant steps or omissions occurred within Western Australia, further undermining the jurisdictional basis. The court held that the plaintiff had not satisfied the jurisdictional gateway for leave to serve out and dismissed the application.

The court's decision hinged on the plaintiff's failure to provide adequate evidence to support the jurisdictional basis for leave to serve out. The affidavits were insufficient to establish a plausible evidential basis for the jurisdictional gateway relied upon. The court emphasised that leave to serve out is a statutory extension of the court's jurisdiction and that unless the plaintiff positively persuades the court of the proper cause of action within one of the heads of jurisdiction, the court's discretion to allow service is not activated. The application was dismissed, leaving the plaintiff to consider their options in light of the statutory limitation period and potential loss of chance.

Orders

Orders of the court

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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

Further, there is no evidence, whether admissible or not, that Caesarstone Ltd had not taken any of the steps (or omissions) said to found the cause of action - within Western Australia: see, eg, ICI Australia Operations Pty Ltd v Kiddle-Graviner Ltd[1991] WASCA 65; and Glendalough Holdings Pty Ltd v Summit Chemicals Pty Ltd [2003] WASC 183 [32] (McKechnie J). Counsel for the plaintiff took me to [133] of Micon Mining to submit that the difficulties for the plaintiff that I have identified might effectively be left to a contested hearing (rather than an ex parte hearing) based on what the Court of Appeal described as a three-limbed test from the Goldman Sachs[9] decision which it quoted at [133] of the Micon Mining judgment. [9] Goldman Sachs International v Novo Banco SA [2018] UKSC 34 (Lord Sumption JSC). The difficulty remains, in my view, that on an ex parte hearing, as I understand the authorities, whether it is expressed as the Court having to be positively persuaded or the plaintiff needing to establish a "plausible evidential basis" for the jurisdictional gateway or head relied upon, the plaintiff cannot meet that standard on this application. Counsel for the plaintiff has submitted that is a problem a plaintiff in this plaintiff's position would regularly face. In exchanges with the bench, it was accepted that one possible way the plaintiff may have approached this difficulty was by pre-action discovery against parties within Australia. Counsel for the plaintiff submitted that was not a course regularly adopted by a plaintiff in personal injury matters. Without expressing a view as to that, I can readily understand why it might be that a plaintiff may not wish to go down that route. As is obvious from the well established principles from the authorities, leave to serve out is a statutory extension of this Court's jurisdiction. Unless a plaintiff positively persuades the Court that they have proper cause of action within one of the heads of jurisdiction, this Court's discretion to allow service is not enlivened. Leaving aside any problem with their non‑compliance with O 37 r 6, Mr Taylor's two affidavits are, with respect, manifestly deficient in that they did not, for present purposes, contain any evidential basis on which the plaintiff could positively persuade the Court that his claim was within O 10 r 1(1)(k): see Micon Mining [73] quoted above. 14 14 14 The result is that I must dismiss the plaintiff's application by applying what ought to be well known principles which properly can be described as trite. Mr Taylor's second affidavit in [7], as quoted above, referred to the prejudice he believes the plaintiff may suffer if leave is not granted. That a plaintiff having retained solicitors to seek redress for a serious illness might find themselves in such a position is to be deplored. Regrettably, if I am correct and if the plaintiff now has a difficulty with a statutory limitation period, and recovering against Caesarstone Ltd, it will now be a matter for the plaintiff's solicitors to advise him as to his options as to that loss of chance and, may be, and I express no view on it, a matter for the plaintiff's solicitors' insurer in due course.