Stanilite Pacific Ltd. (In Liq) and Anor. v Seaton and Ors. (No.2)

The appeal concerned the Stanilite Pacific Ltd. (In Liquidation) and another party (the appellants) against Seaton and others (the respondents). The dispute revolved around the assessment of damages and interest awarded in the primary court, as well as the apportionment of costs. The matter was heard in the Court of Appeal of New South Wales.

The Court of Appeal was required to determine whether the liquidation of the plaintiff and the delay in proceedings should operate to reduce the amount of interest awarded. Furthermore, the court had to consider the appropriate apportionment of costs, particularly given that the plaintiff had achieved only partial success in the primary proceedings.

The Court of Appeal allowed the appeal, setting aside the orders of the primary court. It entered judgment for the first appellant, awarding damages of $1,576,000.00, plus interest calculated according to Schedule 5 of the Rules from 4 December 1995 to the date of the appeal judgment. The court also ordered the respondents to refund the costs paid by the appellants in the trial, amounting to $2,150,000.00, with interest on that sum from 12 July 2004. Finally, the respondents were ordered to pay one-third of the appellants’ costs of the first instance proceedings and one-half of the appellants’ costs of the appeal, with a certificate under the Suitors’ Fund Act if eligible.