Sresbodan & Sresbodan and Ors

In the Family Court of Australia, Aldridge J considered applications for costs arising from protracted proceedings involving Mr Sresbodan, Ms Sresbodan, and various interveners, including trustees of Mr Sresbodan's bankrupt estate and his former lawyers. The central dispute revolved around the allocation of costs given Mr Sresbodan's bankrupt status and limited assets, specifically funds held in a controlled money account.

The court was required to determine whether costs orders were appropriate against Mr Sresbodan, given his financial circumstances and conduct throughout the litigation. Further issues included whether costs should be fixed or assessed, and if assessed, whether on a party/party or indemnity basis. The court also considered the claims of Mr Sresbodan's former lawyers for payment of their outstanding fees, which they asserted a lien over funds in the controlled money account. Additionally, the court addressed applications for freezing orders to preserve Mr Sresbodan's funds pending the resolution of costs.

Aldridge J reasoned that while Mr Sresbodan's financial position weighed against making costs orders, his conduct in prolonging the proceedings and refusing reasonable settlement offers favoured such orders. The court found it could not be satisfied that the fixed sums sought by the parties were reasonable, thus directing that costs be assessed. Ms Sresbodan was awarded costs on an indemnity basis due to Mr Sresbodan's conduct. The Trustees, not having been wholly successful, were awarded costs on a party/party basis. The court also ordered the payment of a specific sum to Mr Sresbodan's former lawyers, R Lawyers, from the controlled money account, acknowledging their lien. Freezing orders were made to preserve the remaining funds in the controlled money account.