Wigmans v AMP Ltd (No 4)

In this case, the court considered the implications of costs orders in the context of representative proceedings. The plaintiff, Wigmans, who was a representative party in a class action, applied for an anti-suit injunction to prevent the defendant, AMP Limited, from proceeding with proceedings in another jurisdiction. The application was not pursued, and the court ultimately dismissed it by consent. The court was required to determine whether costs should be awarded against the plaintiff for the unsuccessful application.

The legal issues before the court centred on the principles governing costs orders in interlocutory proceedings, particularly in cases involving representative parties in class actions. The central question was whether the court should make a costs order against the plaintiff for the anti-suit injunction application, given that the application was not pursued and was dismissed by consent. The court needed to balance the need to deter frivolous applications with the potential unfairness of penalising a representative party for the actions of the broader class.

The court held that in cases where a representative party applies for an anti-suit injunction and the application is not pursued, the court should consider whether to make a costs order against the representative party. The court noted that such orders should be made sparingly and only in cases where there is a clear indication that the application was without merit or was pursued in bad faith. In this instance, the court found that the plaintiff's decision not to pursue the application and the subsequent dismissal by consent did not warrant a costs order. The court emphasised the importance of avoiding unfairness to the broader class and ensuring that costs orders are proportionate and justified.

The court dismissed the application for a costs order against the plaintiff, noting that the circumstances did not warrant such an order. The court's decision highlights the need for careful consideration of the principles governing costs orders in interlocutory proceedings, particularly in cases involving representative parties.