JMK Management Pty Ltd v Range Resources Ltd [2012] FCA 961

JMK Management Pty Ltd v Range Resources Ltd [2012] FCA 961

The applications for preliminary discovery were dismissed because they were pursued in a manner lacking detail and proper grounds. The applicant failed to adequately articulate the cause of action or justify the discovery sought, and proceedings were abandoned at the last minute. This conduct justified indemnity costs orders against the applicant.

Parties
Prospective Applicant: JMK Management Pty Ltd (ACN 111 000 072); First Prospective Respondent: Range Resources Ltd (ACN 002 522 009); Second Prospective Respondent: Captain Starlight Nominees Pty Ltd (ACN 073 161 592); Third Prospective Respondent: Opes Prime Group Ltd (ACN 120 372 223) (In Liq) with discovery to be provided by its liquidator, John Ross Lindholm of Ferrier Hodgson; Fourth Prospective Respondent: Okap Ventures Pty Ltd (ACN 131 358 266); Fifth Prospective Respondent: Computershare Investor Services Pty Ltd (ACN 078 279 277); Sixth Prospective Respondent: Berndale Securities Limited (ACN 006 687 467)
Jurisdiction
Australia
Judgment Date
28 August 2012
Procedural Posture
Preliminary Discovery Application / Disposition of Applications for Discovery and Costs Order
Outcome
Applications dismissed; costs orders against applicant, with indemnity costs for the second application.
Legal Topics
Preliminary Discovery, Interlocutory Applications, Costs, Indemnity Costs
Civil Procedure Preliminary Discovery Interlocutory Applications Costs Indemnity Costs

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Parties

JMK Management Pty Ltd (ACN 111 000 072)

Prospective Applicant

Range Resources Ltd (ACN 002 522 009)

First Prospective Respondent

Captain Starlight Nominees Pty Ltd (ACN 073 161 592)

Second Prospective Respondent

Opes Prime Group Ltd (ACN 120 372 223) (In Liq) with discovery to be provided by its liquidator, John Ross Lindholm of Ferrier Hodgson

Third Prospective Respondent

Okap Ventures Pty Ltd (ACN 131 358 266)

Fourth Prospective Respondent

Computershare Investor Services Pty Ltd (ACN 078 279 277)

Fifth Prospective Respondent

Berndale Securities Limited (ACN 006 687 467)

Sixth Prospective Respondent

Procedural Posture

Preliminary Discovery Application / Disposition of Applications for Discovery and Costs Order

Legal Issues

  1. 1 Whether the applications for preliminary discovery should be dismissed
  2. 2 Whether indemnity costs orders should be made against the applicant
  3. 3 Factors relevant to an award of indemnity costs

Ratio Decidendi

The applications for preliminary discovery were dismissed because they were pursued in a manner lacking detail and proper grounds. The applicant failed to adequately articulate the cause of action or justify the discovery sought, and proceedings were abandoned at the last minute. This conduct justified indemnity costs orders against the applicant.

Court Disposition

Applications dismissed; costs orders against applicant, with indemnity costs for the second application.

Orders

  • The originating application by prospective applicant for order for discovery dated 30 December 2011 (first application) be dismissed.
  • The prospective applicant pay the first and fourth prospective respondents' costs of the first application to be taxed if not agreed.