Tyree v National Trust of Australia

Case [1989] NSWLEC 162


Land and Environment Court


of New South Wales


CITATION: Tyree & Ors v National Trust of Australia & Anor [1989] NSWLEC 162
PARTIES:

APPLICANT
Tyree & Ors

RESPONDENT
National Trust of Australia & Anor

FILE NUMBER(S): 40230 of 1988
CORAM: Hemmings J
KEY ISSUES: :-
LEGISLATION CITED:
CASES CITED: Gould and Anor v. Vaggelas and Ors, 157 CLR, 215.
DATES OF HEARING:
DATE OF JUDGMENT:
02/24/1989
LEGAL REPRESENTATIVES:


JUDGMENT:

HIS HONOUR: This is a motion by the applicants in Matter 40230 of 1988 seeking orders that the first respondent, The National Trust of Australia, N.S.W., indemnify the applicants in relation to an order for costs made by me on 20th October, 1988, that the applicants pay the costs of the third respondent, Hiraz International Limited.

The conduct of the National Trust relied upon by the applicants on this Motion is the letting of the subject premises for a commercial purpose without the consent of the responsible authority. The third respondent was an exhibitor who had leased the premises from the owner, The National Trust of Australia, and the second respondent is the consenting authority of the council buildings on this property at Woollahra.

The applicants who were successful in the proceedings were owners and occupiers of adjoining premises. They had been complaining for some time to Council concerning claimed injury to their amenity as a consequence of the letting of the subject premises. When the matter came for hearing before me in relation to the proposed use by the third respondent, I was unpersuaded that I should make orders against the third respondent because of the conduct of the applicants and their delay in instituting proceedings, notwithstanding their awareness of the likelihood of the use of the premises in breach of the provisions of the Local Environmental Plan.

I was also concerned that, in all the circumstances, there would be unreasonable hardship caused to the third respondent if orders were made against it as distinct from orders made against the owner of the property itself.

In those circumstances I find it difficult to accept that the conduct of the first respondent is of the kind which could come within that described by Gibbs C.J. in Gould and Anor v. Vaggelas and Ors, 157 CLR, 215.

In that matter, Chief Justice Gibbs explained that the mere fact that a joinder of two defendants was reasonable does not mean that the unsuccessful defendant should be ordered to pay directly or indirectly for costs of another successful defendant. An order should only be made if the Court considers it just that the costs of the successful respondent should be borne by the unsuccessful respondent and, if nothing the successful respondent has said or done has led the applicant to institute proceedings against the other respondent who ultimately it was held not to be liable, it is difficult to see any reason why the unsuccessful respondent should be required to pay for the applicant's error.

I therefore consider that I should not exercise my discretion to make the order sought, and I dismiss the Motion. I order the applicants to pay the respondents' costs of the motion.

Details
AGLC
Tyree v National Trust of Australia [1989] NSWLEC 162
Case
[1989] NSWLEC 162
Decision Date

CaseChat Overview and Summary

The Land and Environment Court of New South Wales heard a motion brought by the applicants, Tyree and others, against the National Trust of Australia and others. The applicants sought an order for the first respondent, The National Trust of Australia, to indemnify them for costs previously awarded to the third respondent, Hiraz International Limited. The applicants were successful in proceedings against the third respondent, who had leased premises from the National Trust without the necessary consent from the local council. The applicants, who owned adjoining premises, argued that the letting of the premises caused them injury to their amenity. The applicants had delayed in instituting proceedings against the third respondent despite being aware of the potential breach of the Local Environment Plan. The court was tasked with deciding whether the National Trust should indemnify the applicants for the costs awarded to the third respondent and whether the court should make an order against the National Trust for allowing the premises to be let for commercial use without consent.

The court considered whether the National Trust's conduct warranted indemnification of the applicants for the costs awarded to the third respondent. The court noted that the applicants had delayed in instituting proceedings against the third respondent and that their conduct contributed to the third respondent's successful defence. The court also noted that making an order against the third respondent would cause unreasonable hardship, distinct from an order against the property owner. The court referred to the High Court case of Gould and Anor v. Vaggelas and Ors, which stated that an order for costs should not be made against an unsuccessful defendant if the successful party's actions led to the proceedings against the unsuccessful party. The court found that the National Trust's conduct did not meet the criteria for indemnification, and dismissed the motion. The court also ordered the applicants to pay the respondents' costs of the motion.

In conclusion, the Land and Environment Court of New South Wales dismissed the motion for indemnification brought by the applicants against the National Trust. The court found that the applicants' delay in instituting proceedings and their conduct contributed to the third respondent's successful defence. The court also found that the National Trust's conduct did not warrant indemnification and that the applicants' error should not be compensated by the unsuccessful party. The court ordered the applicants to pay the respondents' costs of the motion. This decision highlights the importance of timely action in legal proceedings and the potential consequences of delay.

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

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Ratio Decidendi

Legal Principle Established

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