Sharpless v McKibbin (Costs)

In the matter of Sharpless v McKibbin, the dispute centred around the costs incurred in proceedings under the Property (Relationships) Act 1984, following a claim by the applicant, Sharpless, against the respondent, McKibbin, for property settlement following the end of their de facto relationship. The case was heard in the Family Court of Australia, where the primary judge, Justice Lee, was tasked with determining the allocation of costs between the parties.

The central legal issue was whether the costs incurred by the applicant should follow the event, in light of the applicant's substantial success in the proceedings. The court was required to consider the relevant factors, including the degree of success, the conduct of the parties, and the overall outcome of the litigation. The respondent argued that, despite the applicant's success, the costs should not follow the event due to the adjustive order made under section 90AB of the Family Law Act 1975, which was below the jurisdictional limit of the Local Court.

The court found that the applicant had achieved substantial success in the proceedings, with the majority of the claims being upheld. Justice Lee emphasised that the primary consideration in determining costs was the overall outcome of the litigation and the degree of success achieved by the successful party. The court noted that while the adjustive order was below the jurisdictional limit of the Local Court, this did not alter the fact that the applicant had been substantially successful. Consequently, the court held that the costs should follow the event, and the respondent was ordered to pay the applicant's costs of the proceedings.