Shanvale v Council of the Shire of Livingstone

In the Supreme Court of Queensland, Shanvale Pty Ltd, a real estate developer, sought a review of a decision by the Council of the Shire of Livingstone to impose a special rate on a parcel of land containing about 950 allotments, most about one quarter acre in area, for the purpose of providing reasonable road access. The imposition of the rate resulted in a special rate of $900 per block being levied on all owners within the benefitted area, irrespective of the size of their land. This decision had a significant impact on the applicant's ability to sell the lots of land, as it would reduce the net profit on the sales. The applicant argued that the decision was made in bad faith to achieve the improper purpose of merely mulcting the applicant due to the large profits it was making and would make on the resale of the allotments. The applicant also argued that the respondent lacked statutory power to levy the rate and that the decision was unreasonable or irrational.

The court found that the applicant failed to demonstrate that the decision was made in bad faith or that the respondent lacked statutory power. The court also found that the applicant did not have reasonable prospects of success in arguing that the decision was unreasonable or irrational. The court held that the applicant did not disclose a reasonable basis for bringing the application, and that the real motivation for bringing the application was to pursue an investigation of the respondent's Councillors. The court found that the proceedings did not involve an issue which affected or might affect "the public interest" in the Shire.

The court ordered that the applicant pay to the respondent its costs of and incidental to the application, including reserved costs to be taxed. The court found that there was no sound reason why the ratepayers of Livingstone Shire should ultimately bear the costs incurred in the respondent successfully refuting the allegations made by the applicant. The court held that the successful party should recover its taxed costs of and incidental to a proceeding upon which it succeeds.