Macura v Sarasevic (No 2) [2019] NSWSC 1621

Macura v Sarasevic (No 2) [2019] NSWSC 1621

VC Lawyers' motion was extant before final judgment and sought relief supplemental to the final disposition, so no standing or power issue arose. The proceedings resulted in a compromise under which money was payable to Mr Macura, and VC Lawyers' work in lodging the caveat, commencing and conducting the proceedings, briefing counsel, obtaining evidence and attending the mediation that produced the settlement established a sufficient causal link between its efforts and the settlement result. An equitable lien therefore arose, and the agreed priority and the defendants' entitlement to unpaid rent and costs justified payment out of the money held in court.

Jurisdiction
Australia
Judgment Date
06 November 2019
Procedural Posture
Civil Procedure Notice of Motion Seeking Declaratory Relief and an Equitable Lien Over a Settlement Sum Paid Into Court / Amended Notice of Motion Heard After Determination of the Substantive Proceedings and Final Orders Between the Plaintiff and Defendants
Outcome
Equitable lien established; $52,500 ordered to be paid to VC Lawyers from the sum paid into court; motion otherwise dismissed with no order as to costs; balance ordered to be paid to the defendants for unpaid rent and on account of costs.
Legal Topics
['equitable Lien' 'fruits of Litigation Lien' "solicitors' Costs" 'standing of Non Party Solicitor' 'supplemental Orders After Final Orders' 'set Off of Costs Against Judgment Sum' 'unpaid Occupation Fee']
['civil Procedure' 'equity' 'costs'] ['equitable Lien' 'fruits of Litigation Lien' "solicitors' Costs" 'standing of Non Party Solicitor' 'supplemental Orders After Final Orders' 'set Off of Costs Against Judgment Sum' 'unpaid Occupation Fee']

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Procedural Posture

Civil Procedure Notice of Motion Seeking Declaratory Relief and an Equitable Lien Over a Settlement Sum Paid Into Court / Amended Notice of Motion Heard After Determination of the Substantive Proceedings and Final Orders Between the Plaintiff and Defendants

Legal Issues

  1. 1 ['Whether VC Lawyers had standing, as a non-party to the proceedings, to seek relief after final orders between the parties had been made.' 'Whether an equitable lien, commonly referred to as a fruits of the litigation lien, arose over the settlement sum paid into court.' 'Whether VC Lawyers was instrumental in obtaining the settlement result and whether there was a sufficient causal link between its efforts and the compromise.' "Whether the defendants' unpaid rent and costs payable by the plaintiff should be paid from the balance of the moneys held in court."]

Ratio Decidendi

VC Lawyers' motion was extant before final judgment and sought relief supplemental to the final disposition, so no standing or power issue arose. The proceedings resulted in a compromise under which money was payable to Mr Macura, and VC Lawyers' work in lodging the caveat, commencing and conducting the proceedings, briefing counsel, obtaining evidence and attending the mediation that produced the settlement established a sufficient causal link between its efforts and the settlement result. An equitable lien therefore arose, and the agreed priority and the defendants' entitlement to unpaid rent and costs justified payment out of the money held in court.

Court Disposition

Equitable lien established; $52,500 ordered to be paid to VC Lawyers from the sum paid into court; motion otherwise dismissed with no order as to costs; balance ordered to be paid to the defendants for unpaid rent and on account of costs.

Orders

  • ['In relation to the VC Lawyers amended notice of motion filed on 18 October 2019, order that $52,500 be paid from $98,420 paid into court by the defendants pursuant to the orders of 18 October 2019 in satisfaction of the equitable lien.' 'Order that the motion be otherwise dismissed with no order as to costs.' 'In...