Rangi v K-Mart Australia Ltd (No.2)

In *Rangi v K-Mart Australia Ltd (No.2)*, the applicant, Rangi, brought proceedings against the respondent, K-Mart Australia Ltd. The substantive application brought by Rangi was summarily dismissed by the court.

The central legal issue before the court was whether costs should be awarded to the respondent. This question arose due to the court's finding that the proceedings had been instituted without reasonable cause and that the applicant had unreasonably omitted to discontinue the proceedings despite an invitation from the respondent to do so.

The court reasoned that the applicant's conduct in persisting with proceedings that lacked reasonable cause, particularly after being invited to discontinue them, warranted an order for costs in favour of the respondent. The legal principle applied was that a party who institutes and maintains proceedings without a reasonable basis, and who fails to act reasonably in discontinuing them when given the opportunity, may be liable for the costs incurred by the other party.

Consequently, the court ordered that the applicant pay the respondent's costs.