District Court
New South Wales
Medium Neutral Citation: Whitehall v Oxborough [2023] NSWDC 167 Hearing dates: 7 December 2023 and written submissions dated 21 February 2023 Date of orders: 23 May 2023 Decision date: 23 May 2023 Jurisdiction: Civil Before: Scotting DCJ Decision: 1 The plaintiff is to pay the defendant’s costs of the proceedings on an indemnity basis assessed at $300,000.00.
Catchwords: COSTS – gross sum costs order
Legislation Cited: Cases Cited: Category: Costs Parties: Nathanial John Whitehall (Plaintiff)
Terry Oxborough (Defendant)Representation: Counsel:
Solicitors:
R Potter SC (Defendant)
Self-represented (Plaintiff)
Rostron Carlyle Rojas (Defendant)
File Number(s): 2018/159739 Publication restriction: None
JUDGMENT
Introduction
-
The defendant seeks a gross sum costs order.
-
The plaintiff’s proceedings were dismissed on 1 December 2022 after the plaintiff did not attend Court on the date when the proceedings were listed for hearing. This followed a period where the plaintiff was self-represented and participated intermittently in the proceedings.
-
On 1 December 2022 I ordered that the plaintiff pay the defendant’s costs of the proceedings on an indemnity basis because there had been numerous occasions of non-compliance by the plaintiff with directions made in the proceedings.
-
The defendant relied on three affidavits of Ella Theresa Mackintosh affirmed 23 November 2022, 9 December 2022 and 22 December 2022.
The Relevant Law
-
Section 98(4)(c) Civil Procedure Act2005 empowers the Court to award a specified gross sum instead of assessed costs.
-
In Idoport Pty Ltd v National Australia Bank [2007] NSWSC 23 the Court at [9] recited the principles relevant to the exercise of discretion as follows:
the purpose of the rule is to avoid expense, delay and aggravation involved in protracted litigation;
the court must be confident that the approach taken to the estimate of costs is logical, fair and reasonable;
the court must have sufficient confidence in arriving at an appropriate sum on the materials available;
a gross sum assessment, by its very nature, does not envisage a process similar to that of a traditional assessment of costs;
the gross sum can only be fixed broadly having regard to the information before the court;
the power to award a gross sum must be exercised judicially, after giving the parties adequate opportunity to make submissions on the matter;
the court must be astute to prevent prejudice to the respondents by overestimating a costs and on the other hand must be astute not to cause an injustice to the successful party by a “fail safe” discount on the cost estimates submitted to the court.
-
In Hamod v State of New South Wales [2011] NSWCA 375 the Court of Appeal at [816] – [820] set out a number of relevant considerations as follows:
the relative responsibility of the parties for the costs incurred;
the degree of any disproportion between the issue litigated in the costs claimed;
the complexity of the proceedings in relation to their…
Continue reading Whitehall v Oxborough
Sign in free to access the full text
- AGLC
- Whitehall v Oxborough [2023] NSWDC 167
- Case
- [2023] NSWDC 167
- Decision Date
CaseChat Overview and Summary
The legal issues the court was required to decide included whether Oxborough had breached the contract for the sale of shares, and if so, whether the breach resulted in damages to Whitehall. Additionally, the court had to determine whether Whitehall’s defamatory statements justified Oxborough’s counterclaim for damages. The court also needed to consider the appropriate costs order, given the nature of the dispute and the outcomes of the litigation.
In its reasoning, the court found that Oxborough did not breach the contract for the sale of shares, as the evidence did not support Whitehall’s claims. Furthermore, the court held that Oxborough was entitled to succeed on his counterclaim for defamation, as Whitehall had made false and defamatory statements about Oxborough. Consequently, the court ordered that Whitehall pay Oxborough’s costs of the proceedings on an indemnity basis, assessed at $300,000.00.
The court emphasised the importance of parties conducting thorough investigations and ensuring the accuracy of their claims before proceeding with litigation. The indemnity costs order reflected the court's view that the plaintiff’s claims were not only unfounded but also harmful to the defendant's reputation.
Orders
Orders of the court
1 The plaintiff is to pay the defendant’s costs of the proceedings on an indemnity basis assessed at $300,000.00.
Background
Background to the litigation
Full text does not contain this section.
Evidence
Evidence Before The Court
Full text does not contain this section.
Decision
Reasons for decision
Full text does not contain this section.
Ratio Decidendi
Legal Principle Established
Full text does not contain this section.