Homart Pharmaceuticals Pty Ltd v Careline Australia Pty Ltd (No 2) [2017] FCA 769

Homart Pharmaceuticals Pty Ltd v Careline Australia Pty Ltd (No 2) [2017] FCA 769

It was not unreasonable for Homart to refuse the offer letter because the offer included a request to capitulate on the cross-claim, proposed packaging changes that were unclear and more proscriptive than the final orders, sought an apology and corrective advertising that were not sought or not granted, and contained uncertain terms. Those circumstances did not warrant indemnity costs.

Jurisdiction
Australia
Judgment Date
21 June 2017
Procedural Posture
Application for Indemnity Costs / Costs Application After Final Orders
Outcome
Respondents' application for indemnity costs dismissed.
Legal Topics
['indemnity Costs' 'without Prejudice Except as to Costs Offer' 'offer of Compromise' 'deceptively Similar Packaging' 'corrective Advertising']

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Procedural Posture

Application for Indemnity Costs / Costs Application After Final Orders

  1. 1 ['Whether the Respondents should receive indemnity costs based on the offer in the letter dated 8 June 2016.' 'Whether it was unreasonable for Homart to refuse the offer letter.']

Ratio Decidendi

It was not unreasonable for Homart to refuse the offer letter because the offer included a request to capitulate on the cross-claim, proposed packaging changes that were unclear and more proscriptive than the final orders, sought an apology and corrective advertising that were not sought or not granted, and contained uncertain terms. Those circumstances did not warrant indemnity costs.

Court Disposition

Respondents' application for indemnity costs dismissed.

Orders

  • ["The Respondents' application for costs payable on an indemnity basis be dismissed." "The Respondents pay the applicant's costs of the application for indemnity costs." 'The proceeding be listed for case management at 9.30 am on 12 July 2017.']