Carolia Pty Ltd & Ors v Crompton & Ors [2010] NSWSC 549

Carolia Pty Ltd & Ors v Crompton & Ors [2010] NSWSC 549

Because the first contract claim occupied the substantial part of the trial, all plaintiffs failed on that claim, Carolia's claims failed, and the Hargreaves' monetary success on the late-amended second contract claim was limited, justice required departure from the usual costs order. A fair overall result was to treat the plaintiffs as one and order them to pay 75 per cent of the defendants' costs, excluding expert report costs.

Jurisdiction
Australia
Judgment Date
28 May 2010
Procedural Posture
Consequential Orders / Judgment on Costs and Final Orders After Judgment Delivered on 21 May 2010 With Costs Reserved
Outcome
Orders made on 21 May 2010 revoked and substituted; Paul Hargreaves and Elizabeth Hargreaves each obtained judgment against the first and second defendants, Carolia Pty Ltd's claim failed, plaintiffs ordered to pay 75 per cent of defendants' costs excluding expert report costs, and proceedings otherwise dismissed.
Legal Topics
['costs Following the Event' 'apportionment of Costs' 'indemnity Costs' 'amended Pleadings' 'shareholders Agreement' 'expert Report Costs']
['costs' 'contract' 'equity'] ['costs Following the Event' 'apportionment of Costs' 'indemnity Costs' 'amended Pleadings' 'shareholders Agreement' 'expert Report Costs']

Case Brief

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Procedural Posture

Consequential Orders / Judgment on Costs and Final Orders After Judgment Delivered on 21 May 2010 With Costs Reserved

Legal Issues

  1. 1 ["Whether the usual order that costs follow the event should be varied where two plaintiffs succeeded on one contract claim but all plaintiffs failed on a major contract claim and Carolia Pty Ltd's claim failed." 'Whether the defendants should receive indemnity costs based on pre-proceeding offers and alleged misconduct by the Hargreaves.' 'How costs should be apportioned where the successful claim was introduced by a late amendment and represented a small part of the action.' 'Whether costs of expert reports should be allowed on assessment.']

Ratio Decidendi

Because the first contract claim occupied the substantial part of the trial, all plaintiffs failed on that claim, Carolia's claims failed, and the Hargreaves' monetary success on the late-amended second contract claim was limited, justice required departure from the usual costs order. A fair overall result was to treat the plaintiffs as one and order them to pay 75 per cent of the defendants' costs, excluding expert report costs.

Court Disposition

Orders made on 21 May 2010 revoked and substituted; Paul Hargreaves and Elizabeth Hargreaves each obtained judgment against the first and second defendants, Carolia Pty Ltd's claim failed, plaintiffs ordered to pay 75 per cent of defendants' costs excluding expert report costs, and proceedings otherwise dismissed.

Orders

  • ['Revoke the orders made on 21 May 2010 and in lieu thereof make the following orders.' 'Judgment for the plaintiff Paul Hargreaves against the first and second defendants for $40,000 plus interest of $4,877.64 giving a total $44,877.64.' 'Judgment for the plaintiff Elizabeth Hargreaves against the first and second...