Zhang v State of New South Wales; Liao v State of New South Wales (No 2)

The proceedings in the Federal Circuit Court of Australia involved two plaintiffs, Zhang and Liao, against the State of New South Wales. The dispute centred on the issue of costs incurred in relation to a motion made by the plaintiffs seeking various reliefs, including compensation for damages suffered. The court was tasked with determining whether the plaintiffs were entitled to the costs of the motion and, if so, the quantum of those costs.

The legal issues before the court involved the principles governing the award of costs in interlocutory proceedings, particularly in relation to the success of the motion. The plaintiffs argued that they were entitled to the costs of the motion as they had achieved a measure of success, which justified an award of costs. The State of New South Wales contended that the motion had not been entirely successful and, as such, the plaintiffs were not entitled to any costs.

The court considered the principles established in prior case law and found that while the plaintiffs had achieved some measure of success, it was not sufficient to warrant an award of costs. The court held that the costs of the motion should not be awarded to the plaintiffs, as the overall outcome of the motion did not align with the traditional success criteria required for such an award. Consequently, the plaintiffs' application for the costs of the motion was dismissed.

The final orders of the court included the dismissal of the plaintiffs' application for the costs of the motion, with no orders as to costs made in relation to the substantive proceedings. The plaintiffs were not awarded any costs for the motion, reflecting the court's determination that the motion did not achieve the requisite level of success to justify such an award.