Richmond v Ora Gold Limited

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FEDERAL COURT OF AUSTRALIA

Richmond v Ora Gold Limited [2020] FCA 70

File number: WAD 234 of 2018
Judge: COLVIN J
Date of judgment: 6 February 2020
Catchwords: COSTS - application by respondents for costs of and incidental to applicant's application for leave to amend, costs thrown away by reason of amendments and costs to be paid forthwith - where amendments were substantial re‑pleading of case - whether amendments caused by concealment and deceit - whether unreasonable conduct in bringing application - orders made for applicant to pay costs of and incidental to application for leave to amend and to pay costs thrown away - orders not made for costs to be paid forthwith
Legislation:

Federal Court of Australia Act 1976 (Cth) s 43

Federal Court Rules 2011 (Cth) r 40.13

Cases cited:

Allstate Life Insurance Co v Australia and New Zealand Banking Group Limited (No 13) [1995] FCA 1459

Aon Risk Services Australia Limited v Australian National University [2009] HCA 27; (2009) 239 CLR 175

Australian Flight Test Services Pty Ltd v Minister of Industry, Science and Technology [1996] FCA 1425

Bagley v Pinebelt Pty Ltd [2000] NSWSC 830

Dale v Clayton Utz (a firm) (No 3) [2013] VSC 593

Donnellan v Public Trustee [No 2] [2010] WASC 214

Federal Treasury Enterprise (FKP) Sojuzplodoimport v Spirits International B.V.  (No 5) [2018] FCA 19

Fewin Pty Limited v Prentice [2018] FCA 852

Fiduciary Ltd v Morningstar Research Pty Ltd [2002] NSWSC 432; (2002) 55 NSWLR 1

Foots v Southern Cross Mine Management Pty Ltd [2007] HCA 56; (2007) 234 CLR 52

Gloucester Shire Council v Fitch Ratings, Inc(No 2) [2017] FCA 248

Hamod v State of New South Wales [2007] NSWSC 707

Harris v Cigna Insurance Australia Limited [1995] FCA 1656; (1995) ATPR 41-445

Huntingdale Village Pty Ltd (recs and mgrs apptd) atf Huntingdale Village Unit Trust v Perpetual Nominees [2013] WASC 352 (S)

IFTC Broking Services Limited v Commissioner of Taxation [2010] FCAFC 22

Kazar (Liquidator) v Kargarian; In the matter of Frontier Architects Pty Ltd (in liq) [2011] FCAFC 136; (2011) 197 FCR 113

Lamond (No 2) [2017] FCA 548

Life Airbag Co of Australia Pty Ltd v Life Airbag Co (New Zealand) Ltd [1998] FCA 545

Lynx Engineering Consultants Pty Ltd v The ANI Corporation Ltd (t/as ANI Bradken Rail Transportation Group) (No 3) [2010] FCA 32

Media Ocean Limited v Optus Mobile Pty Limited (No 6) [2009] FCA 1319

Norilya Minerals Pty Ltd v Easterday [2009] WASC 191

Olson v Keefe (No 4) [2019] FCA 691

Oshlack v Richmond River Council[1998] HCA 11; (1998) 193 CLR 72

Power Infrastructure Pty Ltd v Downer EDI Engineering Power Pty Ltd (No 2) [2010] FCA 1347

Rafferty v Time 2000 West Pty Limited (No 3) [2009] FCA 727

Rosegum Corporation Pty Ltd v Young, in the matter of Rosegum Corporation Pty Ltd (No 2) [2017] FCA 36

Rush v Nationwide News Pty Ltd (No 6) [2018] FCA 1851

Stanley v…

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Details
Case
[2020] FCA 70
Decision Date

CaseChat Overview and Summary

In the Federal Court of Australia, Richmond, the plaintiff, filed an application against Ora Gold Limited, the defendant, seeking to amend their statement of claim. Richmond's initial claim involved allegations of deceit and concealment by Ora Gold. The court was tasked with determining whether Richmond's amendments to the statement of claim were justified and whether the amendments resulted from any concealment or deceit on the part of Ora Gold. Furthermore, the court had to decide if Richmond's conduct in bringing the application was unreasonable and whether costs should be awarded to Ora Gold.

The court found that Richmond's amendments to their statement of claim were substantial and constituted a re-pleading of their case. However, the court determined that the amendments were not due to any concealment or deceit by Ora Gold. The court also held that Richmond's conduct in bringing the application was not unreasonable. The court ruled that Richmond should bear the costs of their application for leave to amend, as well as the costs incurred by Ora Gold as a result of the amendments. The court did not order that the costs be paid forthwith but directed that the orders be entered in accordance with Rule 39.32 of the Federal Court Rules 2011.

In summary, the court ordered Richmond to pay the costs of their application for leave to amend and the costs thrown away by reason of the amendments to the amended statement of claim. Additionally, each party was to bear its own costs of the hearing concerning appropriate costs orders. The court did not order that the costs be paid forthwith, leaving the timing of payment to be determined in accordance with the relevant rules.

Orders

Orders of the court

1. Subject to order 3, the applicant do pay the costs of and incidental to the applicant's application for leave to amend in terms of the further amended statement of claim filed 24 September 2019.

2. The applicant pay the costs thrown away by reason of the amendments to the amended statement of claim dated 12 September 2018.

3. Each party bear its own costs of the hearing on 31 January 2020 concerning appropriate costs orders consequent upon the amendments to the amended statement of claim, including the costs of written submissions and affidavits received on that application.

Note: Entry of orders is dealt with in Rule 39.32 of the Federal Court Rules 2011.

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

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