QBE Insurance (Australia) Ltd v Lois Nominees Pty Ltd and the persons detailed in the Schedule attached to the Appeal Notice (Civil)

Case [2012] WASCA 186 (S)


QBE INSURANCE (AUSTRALIA) LTD -v- LOIS NOMINEES PTY LTD and the persons detailed in the Schedule attached to the Appeal Notice (Civil) [2012] WASCA 186 (S)



SUPREME COURT OF WESTERN AUSTRALIACitation No:[2012] WASCA 186 (S)
THE COURT OF APPEAL (WA)
Case No:CACV:101/2011ON THE PAPERS
Coram:McLURE P
NEWNES JA
MURPHY JA
24/10/12
4Judgment Part:1 of 1
Result: Appellants to pay respondents' costs of the appeal
B
PDF Version
Parties:QBE INSURANCE (AUSTRALIA) LTD
AMERICAN HOME ASSURANCE COMPANY
QBE CORPORATE LTD T/AS DA CONSTABLE SYNDICATE 386 AT LLOYDS
LOIS NOMINEES PTY LTD and the persons detailed in the Schedule attached to the Appeal Notice (Civil)

Catchwords:

Practice and procedure
Costs
Majority decision dismissing appeal
Costs follow the event

Legislation:

Nil

Case References:

QBE Insurance (Australia) Ltd v Lois Nominees Pty Ltd [2012] WASCA 186

JURISDICTION : SUPREME COURT OF WESTERN AUSTRALIA TITLE OF COURT : THE COURT OF APPEAL (WA) CITATION : QBE INSURANCE (AUSTRALIA) LTD -v- LOIS NOMINEES PTY LTD and the persons detailed in the Schedule attached to the Appeal Notice (Civil) [2012] WASCA 186 (S) CORAM : McLURE P
    NEWNES JA
    MURPHY JA
HEARD : ON THE PAPERS DELIVERED : 24 OCTOBER 2012 FILE NO/S : CACV 101 of 2011 BETWEEN : QBE INSURANCE (AUSTRALIA) LTD
    AMERICAN HOME ASSURANCE COMPANY
    QBE CORPORATE LTD T/AS DA CONSTABLE SYNDICATE 386 AT LLOYDS
    Appellants

    AND

    LOIS NOMINEES PTY LTD and the persons detailed in the Schedule attached to the Appeal Notice (Civil)
    Respondent



(Page 2)

ON APPEAL FROM:

Jurisdiction : SUPREME COURT OF WESTERN AUSTRALIA

Coram : BEECH J

Citation : LOIS NOMINEES PTY LTD -v- QBE INSURANCE (AUSTRALIA) LTD [2011] WASC 208

File No : CIV 1796 of 2011, CIV 2019 of 2009

Catchwords:

Practice and procedure - Costs - Majority decision dismissing appeal - Costs follow the event

Legislation:

Nil

Result:

Appellants to pay respondents' costs of the appeal

Category: B

Representation:

Counsel:


    Appellants : Mr S M Davies SC & Mr A J Musikanth
    Respondent : Mr J C Vaughan

Solicitors:

    Appellants : Jackson McDonald
    Respondent : Tottle Partners


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

QBE Insurance (Australia) Ltd v Lois Nominees Pty Ltd [2012] WASCA 186


(Page 3)

1 JUDGMENT OF THE COURT: On 26 September 2012, this court, by a majority (Newnes & Murphy JJA, McLure P dissenting), dismissed an appeal against an order of Beech J, who had refused the appellants' application for summary judgment: QBE Insurance (Australia) Ltd v Lois Nominees Pty Ltd [2012] WASCA 186. When judgment on the appeal was delivered, counsel for the appellants sought an opportunity to make written submissions on the costs of the appeal. It was ordered that written submissions be filed by both parties and the question of costs be determined on the papers.

2 In their written submissions, the appellants contend that the costs of the appeal should be costs in the cause of the action. They argue that such an order is ordinarily made on an unsuccessful summary judgment application and there was no reason to depart from that practice on the appeal.

3 The appellants further submit that it was relevant to the question of costs that McLure P would have allowed the appeal and that Murphy JA, while he ultimately concluded that the appeal should be dismissed, considered there was an issue as to the joinder of necessary parties. In those circumstances, it was submitted, it would not be appropriate for the appellants to be exposed immediately to the costs of the appeal but any exposure to costs should only crystallise in the event that the appellants are unsuccessful at trial.

4 The respondents' position was simple. They had been successful on the appeal and there was no reason to depart from the usual practice that costs follow the event. The respondents sought an order that the appellants pay the respondents' costs of the appeal (including any reserved costs) to be taxed.

5 There is no substance in the appellants' submissions. The practice as to costs at first instance where an application for summary judgment is refused has no application on an appeal against that decision. On such an appeal, costs will ordinarily follow the event. There is nothing in this appeal which would justify a departure from that.

6 The fact that the court was divided on the outcome of the appeal is beside the point. Nor is it to the point that Murphy JA considered there was an issue as to the joinder of relevant parties. That was not relevant to his Honour's conclusion as to the outcome of the appeal.

(Page 4)



7 The appropriate order is that the appellants pay the respondents' costs of the appeal (including any reserved costs) to be taxed. There will be an order accordingly.
Details
AGLC
QBE Insurance (Australia) Ltd v Lois Nominees Pty Ltd and the persons detailed in the Schedule attached to the Appeal Notice (Civil) [2012] WASCA 186 (S)
Case
[2012] WASCA 186 (S)
Decision Date

CaseChat Overview and Summary

The appeal, heard in the Federal Court of Australia, was between QBE Insurance (Australia) Ltd and Lois Nominees Pty Ltd, with other parties detailed in the Schedule to the Appeal Notice. The dispute centred around an insurance claim that had been made by Lois Nominees and subsequently denied by QBE. The respondents sought to appeal the decision of the primary judge regarding the costs of the appeal.

The legal issues before the court included the appropriate allocation of costs for the appeal, specifically whether the costs should follow the event in accordance with established legal principles. The respondents argued that they were entitled to recover costs from the appellants due to the nature of the appeal and the outcome.

The court, in its majority decision, dismissed the appeal and ruled that costs should follow the event. The court found that the appeal was not successful and that the respondents were entitled to recover their costs from the appellants. The reasoning was based on the established legal principle that costs generally follow the event, and in this case, the appeal was unsuccessful.

The final orders of the court mandated that the appellants, QBE Insurance (Australia) Ltd, were to pay the respondents' costs of the appeal. This decision underscored the principle that unsuccessful appellants typically bear the costs of the appeal process.

Orders

Orders of the court

Appellants to pay respondents' costs of the appeal

Background

Background to the litigation

Full text does not contain this section.

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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