Kieren Leslie Welzel v Stephen Paul Francis [2011] NSWSC 477

Kieren Leslie Welzel v Stephen Paul Francis [2011] NSWSC 477

Mr Welzel disposed of assets in order to avoid the consequences of a costs judgment, and the court's inherent power allows for ordering further security in such circumstances regardless of impecuniosity or allegations about the defendant's conduct. The order for further security is justified to protect the defendant should he succeed and obtain a costs order.

Jurisdiction
Australia
Judgment Date
30 May 2011
Procedural Posture
Notice of Motion / Interlocutory Application for Further Security for Costs
Outcome
Order that the first plaintiff provide further security in respect of the defendant's costs. Amount to be determined after hearing parties.
Legal Topics
['security for Costs' 'inherent Power of Court' 'disposal of Assets' 'impecuniosity' 'interlocutory Applications']
['civil Procedure'] ['security for Costs' 'inherent Power of Court' 'disposal of Assets' 'impecuniosity' 'interlocutory Applications']

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Procedural Posture

Notice of Motion / Interlocutory Application for Further Security for Costs

Legal Issues

  1. 1 ['Whether the court has power to order further security for costs against a personal plaintiff' 'Whether the plaintiff disposed of assets to avoid consequences of a costs order' "Whether the plaintiff's impecuniosity is relevant where assets have been placed out of reach" 'Whether ordering further security would stultify the proceedings']

Ratio Decidendi

Mr Welzel disposed of assets in order to avoid the consequences of a costs judgment, and the court's inherent power allows for ordering further security in such circumstances regardless of impecuniosity or allegations about the defendant's conduct. The order for further security is justified to protect the defendant should he succeed and obtain a costs order.

Court Disposition

Order that the first plaintiff provide further security in respect of the defendant's costs. Amount to be determined after hearing parties.

Orders

  • ["The first plaintiff, Mr Welzel, to provide further security for Mr Francis's costs; amount of security and costs of motion reserved for later determination."]