Valassis v McCabe

The Court of Appeal of New South Wales considered an appeal by Valassis (the appellant) against orders made by Newman J concerning the appellant's conduct as a litigant. The dispute centred on whether the appellant should be declared a vexatious litigant and subject to restrictions on commencing or continuing legal proceedings against Colin James Thomas McCabe (the respondent).

The primary legal issue before the Court of Appeal was whether Newman J had the jurisdiction to make the orders she did, specifically concerning the appellant's right to institute and continue proceedings. The Court also had to determine the appropriate scope and nature of any restrictions to be imposed on the appellant's future litigation activities.

The Court of Appeal found that Newman J had erred in her approach to the jurisdiction to declare a vexatious litigant. The Court reasoned that the power to make such orders was not unfettered and required careful consideration of the evidence. The Court ultimately allowed the appeal, setting aside the specific order made by Newman J. In its place, the Court ordered that the appellant be restrained from instituting proceedings in the Supreme Court of New South Wales or the Local Court against the respondent without leave of the Court. Furthermore, any existing proceedings commenced by the appellant against the respondent were also stayed, requiring leave of the Court to continue. The Court affirmed other orders made by Newman J and made no order as to costs.