Weeding Party Hire Pty Ltd v Salters (Tas) Pty Ltd (No 2)

Weeding Party Hire Pty Ltd (the appellant) appealed to the Full Court of the Supreme Court of Tasmania against an order made by a single judge. The dispute concerned an application for an interlocutory injunction, and the appeal specifically challenged the costs order made by the single judge.

The central legal issue before the Full Court was whether the single judge had erred in law by failing to afford the appellant a proper opportunity to be heard on the question of whether the costs of the interlocutory application should be paid "forthwith" or "in any event". The appellant argued that this failure constituted a denial of natural justice.

The Full Court allowed the appeal, finding that the single judge had indeed committed an error of law. Their Honours held that the distinction between ordering costs "forthwith" and "in any event" is significant, as it impacts the immediate enforceability of the costs order and the potential for set-off against other amounts. By not allowing the appellant to make submissions on this specific aspect of the costs order, the single judge had denied the appellant a fundamental right to be heard on a material issue. The court affirmed that a party must be given a reasonable opportunity to present their case on all matters that are to be decided, including the terms upon which costs are to be paid.

Consequently, the Full Court set aside the costs order made by the single judge and remitted the matter back to the original court to determine the costs of the interlocutory application after providing the parties with an opportunity to be heard on the appropriate terms.