Stern v Addbuild Master Builders Pty Ltd (No. 4)

In this case, the plaintiff, Gary Stern, brought proceedings against Addbuild Master Builders Pty Ltd, the defendant. The dispute centres around the assessment of costs incurred during the litigation process. The matter was heard in the Supreme Court of Queensland. The primary issue before the court was whether the defendant's rejection of the plaintiff's Calderbank offer was reasonable and, consequently, if the plaintiff was entitled to recover costs from the defendant on a party/party basis.

The court was required to consider the principles governing the assessment of costs in relation to Calderbank offers, specifically focusing on the reasonableness of the defendant's decision to reject the offer. The court also needed to determine whether there were any other principles involved that would affect the outcome of the costs order. The plaintiff argued that the defendant's rejection of the offer was unreasonable, while the defendant contended that the rejection was justified and reasonable under the circumstances. The court's task was to evaluate the arguments and evidence presented by both parties to make a determination on the reasonableness of the rejection and the appropriate costs order.

The court concluded that the defendant's rejection of the Calderbank offer was unreasonable and that there were no other principles involved that would alter the outcome of the costs order. Consequently, the plaintiff was entitled to recover costs from the defendant on a party/party basis. The court ordered that Addbuild Master Builders Pty Ltd must pay Gary Stern his costs of these proceedings on a party/party basis. If the parties could not agree on the amount of costs, the costs would be assessed on the basis set out in the legal costs legislation as defined in section 3A of the Legal Profession Uniform Law Application Act 2014.