Diamond Ace Super Fund Pty Ltd v Rodapa Development Pty Ltd [2020] FCA 1582

Diamond Ace Super Fund Pty Ltd v Rodapa Development Pty Ltd [2020] FCA 1582

The second and third respondents effectively surrendered to the relief sought by the applicants, justifying a costs order against them. Mr Hunt, as non-party, played an active role, controlled and funded the defence through his directorship and interests, and the exceptional circumstances justified an order for joint and several liability for costs, including costs of the interlocutory application.

Jurisdiction
Australia
Judgment Date
02 November 2020
Procedural Posture
Application for Costs Order in Corporations/trusts Proceedings / Post Substantive Determination (costs/ancillary Orders)
Outcome
Application for costs order granted against second and third respondents and non-party director, jointly and severally, on the normal basis.
Legal Topics
['costs' 'trustees' 'non Party Costs Orders' 'corporate Control' 'directors’ Duties']
['commercial Law' 'corporations Law' 'equity and Trusts' 'civil Procedure'] ['costs' 'trustees' 'non Party Costs Orders' 'corporate Control' 'directors’ Duties']

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Procedural Posture

Application for Costs Order in Corporations/trusts Proceedings / Post Substantive Determination (costs/ancillary Orders)

Legal Issues

  1. 1 ["Whether the second and third respondents and a non-party (director) should be jointly and severally liable for the applicants' costs" 'Whether respondents effectively surrendered or capitulated such that costs should follow the event' 'Whether a non-party costs order is appropriate in the circumstances']

Ratio Decidendi

The second and third respondents effectively surrendered to the relief sought by the applicants, justifying a costs order against them. Mr Hunt, as non-party, played an active role, controlled and funded the defence through his directorship and interests, and the exceptional circumstances justified an order for joint and several liability for costs, including costs of the interlocutory application.

Court Disposition

Application for costs order granted against second and third respondents and non-party director, jointly and severally, on the normal basis.

Orders

  • ["The second and third respondents and David Hunt are jointly and severally liable to pay the applicants' costs of and incidental to the proceeding on the normal basis, as agreed or taxed."]