The Commonwealth of Australia v Crowe, R.C

Case [1992] FCA 953


JUDGMENT No. ...?gx.i;!~a.&

IN THE FEDERAL COURT OF AUSTWIA )

)

NEW SOUTH WALES DISTRICT REGISTRY ) No. NG 180 of 1992

1

GENERAL DIVISION )

ON APPEAL FROM A JUDGE OF

THE FEDERAL COURT OF AUSTRALIA

BETWEEN: THE COMMONWEALTH OF AUSTRALIA

Appellant

AND: REGINALD CHESTER CROWE, JOHN

LOUIS MARONESE, EXTENDED HOURS

PHARMACIES' ASSOCIATION

First respondents

J.M. RIORDAN, J.R. RICHARDSON,
G. MILLER, M. O'BRIEN and
I. McCAULRY (constitutina the

PHARMACEUTICAL BENEFITS

14 DEC 1992 REMUNERATION TRIBUNAL)

Second respondents

THE PHARMACY GUILD OF AUSTRALIA

Third respondent

MINUTE OF ORDER

36 of the Federal Court Rules.
THE COURT Neaves, Gummow and French JJ.
DATE OF ORDER 11 December 1992
WHERE MADE Sydney

THE COURT ORDERS THAT the application by the first respondents to vary Order 5 made by the Court on 27 November 1992 be dismissed.

Note:  Settlement and entry of orders is dealt with in Order
IN THE FEDERAL COURT OF AUSTRALIA  )
)
NEW SOUTH WALES DISTRICT REGISTRY )  No. NG 180 of 1992

)

GENERAL DIVISION 1

ON APPEAL FROM A JUDGE OF

THE FEDERAL COURT OF AUSTRALIA

BETWEEN: THE COMMONWEALTH OF AUSTRALIA

Appellant

AND: REGINALD CHESTER CROWE, JOHN

LOUIS MARONESE, EXTENDED HOURS

PHARMACIES' ASSOCIATION

First respondents

Second respondents

THE PIWRJUiCY GUILD OF AUSTRALIA

Third respondent

=AM:  Neaves, Gummow and French JJ.

m: 11 December 1992

SUPPLEMENTARY REASONS FOR JUDGMENT

On 27 November 1992, the Court delivered judgment in an appeal against orders made by a Judge of this Court (Einfeld J.) on 18 March 1992. The Court allowed the appeal and made consequential orders. Included in those orders was an order (Order 5) that the first respondents, Reginald Chester Crowe, John Louis Maronese and Extended Hours Pharmacies' Association, pay the costs of the third respondent, The Pharmacy Guild of Australia, of the proceedings at first instance and, as a submitting party, of the appeal.

By leave, the first respondents have made written

submissions why Order 5 should be varied so that the third

respondent would be required to bear its own costs of the proceedings both at first instance and on appeal. The submissions refer to the circumstance that the third respondent had not been named as a party in the original application filed on behalf of the first respondents but was, on its application pursuant to s.12 of the Administrative Decisions (Judicial Review) Act 1977 (Cth) ("the Judicial Review Act"), made a party respondent by order made by Morling J. on 5 March 1991. The submissions assert that the third respondent could not have played a part in the proceedings "since [it] was not a member of the administrative body" that made the decisions the subject of review; that .the third respondent was not "a necessary party to the proceedings and

Commonwealth"; and that the third respondent did not in fact had no legal interest separate and apart from the

assist the Court with any submissions of law or fact either at first instance or on appeal. Lastly, it is said that if Order 5 be allowed to stand, "unnecessary costs and Court delays would be encouraged by the addition of 'interested' parties which in matters like the one presently before the Court could be every pharmacy in Australia".

We are unable to agree that Order 5 should be varied as proposed by the first respondents. In the proceedings at first instance, the first respondents challenged certain decisions made by the Pharmaceutical Benefits Remuneration Tribunal established by s.98A of the National Health Act 1953 (Cth) giving effect to an agreement dated 6 December 1990 made between the Minister of State for Aged, Family and Health Services and the third respondent under s.98BAA of that Act. As a party to that agreement, the third respondent was clearly a person interested in the decisions under review and, although its interests coincided with those of the Commonwealth, we are not satisfied that it should be deprived of the costs incurred by it in relation to the proceedings.

The question whether a person who is made a party pursuant to s.12 of the Judicial Review Act to an application under that Act should have an order for costs is, of course, a matter for the discretion of the Court. Nothing we have said in relation to Order 5 will operate to bind the Court as to

how that discretion should be exercised in other cases. We should add that it is not correct to say, as the first

respondents submit, that, if Order 5 be allowed to stand, "every pharmacy in Australia" could have been made a party to the application as being interested in the decisions under review. The situation of the third respondent clearly differed from those of "every pharmacy in Australia" because the third respondent was a party, and a necessary party, to the agreement that was the subject of the proceeding. Further, it is not correct to say that the third respondent did not assist the Court with any submissions of law or fact either at first instance or on appeal. It is true that the third respondent made no separate submissions on the hearing of the appeal but, at first instance, affidavit material was filed on its behalf and submissions were made to the primary Judge by counsel retained by it.

The application to vary Order 5 is dismissed.

I certify that this and the preceding 3 pages are a true copy of the Reasons for Judgment herein of the Court.

Associate

Dated: 11 December 1992

Details
AGLC
The Commonwealth of Australia v Crowe, R.C [1992] FCA 953
Case
[1992] FCA 953
Decision Date

CaseChat Overview and Summary

This case involved an appeal by the Commonwealth of Australia against decisions made by a judge of the Federal Court. The first respondents, Reginald Chester Crowe, John Louis Maronese, and the Extended Hours Pharmacies' Association, had appealed against orders made by a judge of the Court on 18 March 1992, which were subsequently overturned by the Court on 27 November 1992. The Court made consequential orders, including an order that the first respondents pay the costs of the third respondent, The Pharmacy Guild of Australia, for the proceedings at first instance and on appeal. The first respondents sought to vary this order, arguing that The Pharmacy Guild of Australia was not a necessary party and should not be required to bear its own costs.

The legal issue before the Court was whether the order for costs should be varied to require The Pharmacy Guild of Australia to bear its own costs, given that it was not a party to the original proceedings but was added later under s.12 of the Administrative Decisions (Judicial Review) Act 1977 (Cth). The first respondents argued that The Pharmacy Guild of Australia did not play a part in the proceedings and did not have a separate legal interest from the Commonwealth. The Court considered whether The Pharmacy Guild of Australia was a person interested in the decisions under review and whether it should be deprived of the costs incurred in relation to the proceedings.

The Court found that The Pharmacy Guild of Australia was a party to the agreement that was the subject of the proceedings and, therefore, had a separate legal interest in the decisions under review. The Court also noted that The Pharmacy Guild of Australia had made submissions and filed affidavit material at first instance. The Court held that it was not correct to say that The Pharmacy Guild of Australia did not assist the Court with any submissions of law or fact. The Court dismissed the application to vary the order for costs, stating that the situation of The Pharmacy Guild of Australia differed from that of other pharmacies in Australia because it was a party to the agreement that was the subject of the proceeding. The Court also noted that it was not correct to say that The Pharmacy Guild of Australia did not assist the Court with any submissions of law or fact, as it had made submissions at first instance.

Orders

Orders of the court

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Background

Background to the litigation

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Evidence

Evidence Before The Court

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Decision

Reasons for decision

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Ratio Decidendi

Legal Principle Established

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