Fubilan Catering Services Limited v Compass Group (Australia) Pty Ltd No 3 [2005] FCA 1009

Fubilan Catering Services Limited v Compass Group (Australia) Pty Ltd No 3 [2005] FCA 1009

The proceeding had become more complex and likely more expensive since the original security order, and the applicants did not suggest inability to provide security or that security would frustrate the action. However, the respondents did not justify the amount sought, particularly the assumption of a 38 day trial. Additional security of $50,000, rather than $620,000, was warranted.

Jurisdiction
Australia
Judgment Date
22 July 2005
Procedural Posture
Practice and Procedure; Security for Costs / Reasons for Judgment on Motion for Additional Security for Costs
Outcome
Motion allowed in part; additional security for costs ordered in the sum of $50,000.
Legal Topics
['security for Costs' 'additional Security for Costs' 'discovery' 'cross Claims' 'trial Preparation Costs']
['civil Procedure'] ['security for Costs' 'additional Security for Costs' 'discovery' 'cross Claims' 'trial Preparation Costs']

Case Brief

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Procedural Posture

Practice and Procedure; Security for Costs / Reasons for Judgment on Motion for Additional Security for Costs

Legal Issues

  1. 1 ["Whether the applicants should provide additional security for the respondents' costs." 'Whether the amount of further security sought by the respondents was justified in light of increased discovery, mediation, cross-claim and trial preparation costs.']

Ratio Decidendi

The proceeding had become more complex and likely more expensive since the original security order, and the applicants did not suggest inability to provide security or that security would frustrate the action. However, the respondents did not justify the amount sought, particularly the assumption of a 38 day trial. Additional security of $50,000, rather than $620,000, was warranted.

Court Disposition

Motion allowed in part; additional security for costs ordered in the sum of $50,000.

Orders

  • ['The applicants are to provide additional security for costs in the sum of $50,000 by way of bank guarantee in a form acceptable to the Registrar on or before 1 September 2005.' 'In the event that the additional security for costs is not provided in accordance with this order by 1 September 2005 the action will be...