Hill v Zhang (No 3) [2020] FCA 969

Hill v Zhang (No 3) [2020] FCA 969

Given the applicants' history of unpaid costs orders, inability to demonstrate ability to pay, and the respondents’ justified risk and costs estimates, an order should be made for release of taxed costs from existing security and for the applicants to provide further security for costs of $100,000. Proceedings are stayed pending provision of such security.

Jurisdiction
Australia
Judgment Date
09 July 2020
Procedural Posture
Interlocutory Application / Application for Release of Funds From Security for Costs and Additional Security for Costs Order
Outcome
Application granted; orders made for release of funds and additional security; proceedings stayed pending provision of security; costs awarded to respondents.
Legal Topics
['security for Costs' 'interlocutory Applications' 'costs Orders' 'stay of Proceedings']
['civil Procedure' 'commercial Law'] ['security for Costs' 'interlocutory Applications' 'costs Orders' 'stay of Proceedings']

Case Brief

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Procedural Posture

Interlocutory Application / Application for Release of Funds From Security for Costs and Additional Security for Costs Order

Legal Issues

  1. 1 ['Whether the respondents are entitled to the release of existing security for costs and further security for costs from the applicants' 'Whether the applicants have the ability to pay the respondents’ costs if unsuccessful' 'Whether a stay and potential dismissal should be ordered pending provision of security for costs']

Ratio Decidendi

Given the applicants' history of unpaid costs orders, inability to demonstrate ability to pay, and the respondents’ justified risk and costs estimates, an order should be made for release of taxed costs from existing security and for the applicants to provide further security for costs of $100,000. Proceedings are stayed pending provision of such security.

Court Disposition

Application granted; orders made for release of funds and additional security; proceedings stayed pending provision of security; costs awarded to respondents.

Orders

  • ['The sum of $48,598.46 plus interest from 9 April 2020 released to respondents from $50,000.00 security lodged by applicants.' "Applicants jointly and severally liable to give additional security for respondents' costs in the amount of $100,000.00." "Security to be given in the form of a bank guarantee (or as...