QBE Insurance (Australia) Ltd v CSR Limited [2009] NSWDDT 7

QBE Insurance (Australia) Ltd v CSR Limited [2009] NSWDDT 7

CSR's $80,000 limit on the Single Claims Manager's authority was unreasonable in light of the available medical and occupational therapy evidence and the reasonable $150,000 settlement offer. From the time CSR imposed that limit, its unreasonable attitude was the real cause and occasion of the continued litigation and increased QBE's costs. CSR failed to comply with the Claims Resolution Process, and cl 67 and cl 52(3) of the Dust Diseases Tribunal Regulation 2007 justified ordering CSR to pay QBE's relevant costs, with the costs of resisting the plaintiff's claim on an indemnity basis.

Jurisdiction
Australia
Judgment Date
09 April 2009
Procedural Posture
Dust Diseases Tribunal Proceedings Concerning Claims Resolution Process Contribution Assessment and Costs / Ruling on Notice of Motion After Settlement of the Plaintiff's Claim and Cross Claim
Outcome
Motion allowed in part; CSR ordered to pay QBE's specified costs.
Legal Topics
['claims Resolution Process' 'contribution Assessment' 'single Claims Manager Settlement Authority' 'reasonableness of Monetary Settlement Limit' 'indemnity Costs']
['dust Diseases Litigation' 'civil Procedure' 'costs' 'contribution Between Defendants'] ['claims Resolution Process' 'contribution Assessment' 'single Claims Manager Settlement Authority' 'reasonableness of Monetary Settlement Limit' 'indemnity Costs']

Case Brief

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Procedural Posture

Dust Diseases Tribunal Proceedings Concerning Claims Resolution Process Contribution Assessment and Costs / Ruling on Notice of Motion After Settlement of the Plaintiff's Claim and Cross Claim

Legal Issues

  1. 1 ["Whether CSR acted unreasonably by imposing a monetary limit of $80,000 on the Single Claims Manager's authority to settle the plaintiff's claim." "Whether QBE incurred additional costs because of CSR's refusal to authorise settlement at $150,000 inclusive of costs as provisional damages." "Whether the Tribunal should order CSR to pay QBE's costs, including on an indemnity basis, under the Civil Procedure Act 2005 and the Dust Diseases Tribunal Regulation 2007."]

Ratio Decidendi

CSR's $80,000 limit on the Single Claims Manager's authority was unreasonable in light of the available medical and occupational therapy evidence and the reasonable $150,000 settlement offer. From the time CSR imposed that limit, its unreasonable attitude was the real cause and occasion of the continued litigation and increased QBE's costs. CSR failed to comply with the Claims Resolution Process, and cl 67 and cl 52(3) of the Dust Diseases Tribunal Regulation 2007 justified ordering CSR to pay QBE's relevant costs, with the costs of resisting the plaintiff's claim on an indemnity basis.

Court Disposition

Motion allowed in part; CSR ordered to pay QBE's specified costs.

Orders

  • ["CSR Limited is to pay the costs of QBE Insurance (Australia) Ltd incurred in resisting the plaintiff's claim from and including 27 March 2008 to 24 September 2008 on an indemnity basis." 'CSR Limited is to pay the costs of this motion on a party party basis.']