Sethi v The Owners – Strata Plan 93392 (No 8)

The defendant, The Owners – Strata Plan 93392, filed an application for gross sum costs orders under section 98(4)(c) of the Civil Procedure Act 2005 (NSW) against the plaintiff, Sethi, following the summary dismissal of Sethi's claim. Sethi, who was self-represented, brought the action against the defendant in relation to a dispute under the Strata Schemes Management Act 1996 (NSW). The defendant's application for costs was predicated on the basis that Sethi's conduct had significantly increased the costs and disbursements incurred by the defendant.

The central legal issue before the court was whether the defendant was entitled to a gross sum costs order due to the plaintiff's conduct. The court had to consider the provisions of section 98(4)(c) of the Civil Procedure Act 2005 (NSW), which allows for such orders in cases of unreasonable conduct by a party. In this instance, the court was tasked with determining whether Sethi's conduct was unreasonable and whether it had substantially contributed to the escalation of costs and disbursements for the defendant. The court reviewed the nature and extent of Sethi's conduct, including any procedural missteps or lack of cooperation that may have contributed to the increased costs.

The court granted the defendant's application for gross sum costs orders. It found that Sethi's conduct throughout the proceedings was unreasonable and had indeed significantly increased the costs and disbursements for the defendant. The court detailed specific instances of Sethi's conduct that were deemed unreasonable, including repeated failures to comply with procedural requirements and a lack of cooperation during the litigation process. Given these findings, the court concluded that the defendant was entitled to the costs orders sought under section 98(4)(c) of the Civil Procedure Act 2005 (NSW).

The final orders of the court included the granting of the defendant's application for gross sum costs orders. The court set the amount of costs payable by Sethi to the defendant, reflecting the significant increase in costs and disbursements attributable to Sethi's unreasonable conduct.