Leonards Pharmacy Pty Ltd v Double Up 888 Pty Ltd (No 2) [2018] NSWSC 1166

Leonards Pharmacy Pty Ltd v Double Up 888 Pty Ltd (No 2) [2018] NSWSC 1166

On a reasonably careful reading, the 24 November 2017 letter made clear that the plaintiff's total claim was $429,286.02 plus interest, that allowance had been made for the forfeited deposit of $271,000, and that the offer was to accept $400,000 in full settlement with that sum already received to the extent of the forfeited deposit. The plaintiff's eventual result, including forfeiture of the deposit, judgment for $158,286.02 and costs of both the claim and cross-claim, was more favourable than the offer. It was therefore appropriate to order indemnity costs after the offer expired on 15 December 2017.

Jurisdiction
Australia
Judgment Date
31 July 2018
Procedural Posture
Costs / On the Papers Determination of Costs Following Declarations and Orders Made on 13 July 2018
Outcome
The defendants were ordered to pay the plaintiff's costs on the ordinary basis up to 15 December 2017 and on the indemnity basis on and from 15 December 2017.
Legal Topics
['party/party Costs' 'indemnity Costs' 'offers of Compromise' 'calderbank Offers' 'uniform Civil Procedure Rules 2005, R 20.26']
['civil Procedure' 'costs'] ['party/party Costs' 'indemnity Costs' 'offers of Compromise' 'calderbank Offers' 'uniform Civil Procedure Rules 2005, R 20.26']

Case Brief

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Procedural Posture

Costs / On the Papers Determination of Costs Following Declarations and Orders Made on 13 July 2018

Legal Issues

  1. 1 ["Whether the plaintiff's offer made by letter of 24 November 2017 was ambiguous." "Whether the defendants should pay the plaintiff's costs on an indemnity basis from the date the offer was to be accepted."]

Ratio Decidendi

On a reasonably careful reading, the 24 November 2017 letter made clear that the plaintiff's total claim was $429,286.02 plus interest, that allowance had been made for the forfeited deposit of $271,000, and that the offer was to accept $400,000 in full settlement with that sum already received to the extent of the forfeited deposit. The plaintiff's eventual result, including forfeiture of the deposit, judgment for $158,286.02 and costs of both the claim and cross-claim, was more favourable than the offer. It was therefore appropriate to order indemnity costs after the offer expired on 15 December 2017.

Court Disposition

The defendants were ordered to pay the plaintiff's costs on the ordinary basis up to 15 December 2017 and on the indemnity basis on and from 15 December 2017.

Orders

  • ["The defendants pay the plaintiff's costs on the ordinary basis up to 15 December 2017." "The defendants pay the plaintiff's costs on the indemnity basis on and from 15 December 2017."]