Griffith & Ors v John Fairfax Publications & Anor [2009] NSWSC 100

Griffith & Ors v John Fairfax Publications & Anor [2009] NSWSC 100

The court found that FHA's financial ability to pay any adverse costs order rested on voluntary donations, which could not be guaranteed to continue if FHA lost at trial. There was reason to believe FHA would be unable to pay costs if ordered, and delay by the defendants did not outweigh the appropriateness of an order for security in the circumstances. Security was therefore ordered in the sum of $500,000 by instalments.

Jurisdiction
Australia
Judgment Date
03 March 2009
Procedural Posture
Application for Security for Costs / Interlocutory Determination Prior to Trial
Outcome
Application for security for costs granted against second plaintiff (FHA)
Legal Topics
['security for Costs' 'delay' 'frustration of Proceedings' 'company Limited by Guarantee' 'charity Litigation' 'costs Orders']
['practice and Procedure' 'defamation'] ['security for Costs' 'delay' 'frustration of Proceedings' 'company Limited by Guarantee' 'charity Litigation' 'costs Orders']

Case Brief

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Procedural Posture

Application for Security for Costs / Interlocutory Determination Prior to Trial

Legal Issues

  1. 1 ['Whether security for costs should be ordered against a plaintiff corporation limited by guarantee dependent on donations under UCPR r 42.21 and/or s 1335(1) Corporations Act 2001 (Cth)' 'Whether delay or frustration justifies refusing security for costs']

Ratio Decidendi

The court found that FHA's financial ability to pay any adverse costs order rested on voluntary donations, which could not be guaranteed to continue if FHA lost at trial. There was reason to believe FHA would be unable to pay costs if ordered, and delay by the defendants did not outweigh the appropriateness of an order for security in the circumstances. Security was therefore ordered in the sum of $500,000 by instalments.

Court Disposition

Application for security for costs granted against second plaintiff (FHA)

Orders

  • ["The second plaintiff provide security for the defendants' costs of the proceedings in the sum of $500,000, by way of $100,000 monthly instalments on or before 30 March, April, May, June, and July 2009, failing which the proceedings be stayed until further order." "The second plaintiff to pay the defendants' costs...