Alexander v Australian Community Pharmacy Authority (No 3) [2010] FCA 506

Alexander v Australian Community Pharmacy Authority (No 3) [2010] FCA 506

The Authority's inadequate statement of reasons did not justify an adverse costs order against it because the applicants did not prove or provide a basis to infer that they would have discontinued the proceeding but for that inadequacy, and the Authority was prepared to bear its own costs. Indemnity costs were refused because the applicants' rejection of the Chemist Warehouse respondents' offer was not unreasonable: the applicants' case was not weak, the issues had not been fully crystallised, and the offer involved only a modest compromise. Indemnity costs were also refused on the alleged ulterior purpose ground because the 22 January 2010 letter showed at most an ultimate commercial...

Jurisdiction
Australia
Judgment Date
26 May 2010
Procedural Posture
Costs in Administrative Decisions (judicial Review) Act 1977 (cth) Proceeding / Post Dismissal Costs Determination
Outcome
Application for indemnity costs refused; applicants ordered to pay the second, third and fourth respondents' costs on a party and party basis, with no order as to the Authority's costs and no order as to costs of the indemnity costs application.
Legal Topics
['statement of Reasons' 'adjr Act Judicial Review' 'party and Party Costs' 'indemnity Costs' 'calderbank Offer' 'ulterior or Extraneous Purpose' 'abuse of Process']
['administrative Law' 'costs' 'federal Court Procedure'] ['statement of Reasons' 'adjr Act Judicial Review' 'party and Party Costs' 'indemnity Costs' 'calderbank Offer' 'ulterior or Extraneous Purpose' 'abuse of Process']

Case Brief

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Procedural Posture

Costs in Administrative Decisions (judicial Review) Act 1977 (cth) Proceeding / Post Dismissal Costs Determination

Legal Issues

  1. 1 ["Whether inadequacy in the Australian Community Pharmacy Authority's statement of reasons should affect costs after the applicants' ADJR Act application was dismissed." "Whether the applicants should pay the second, third and fourth respondents' costs on an indemnity basis because they rejected a Calderbank offer." 'Whether indemnity costs should be ordered because the proceeding was brought and maintained for an ulterior or extraneous purpose.']

Ratio Decidendi

The Authority's inadequate statement of reasons did not justify an adverse costs order against it because the applicants did not prove or provide a basis to infer that they would have discontinued the proceeding but for that inadequacy, and the Authority was prepared to bear its own costs. Indemnity costs were refused because the applicants' rejection of the Chemist Warehouse respondents' offer was not unreasonable: the applicants' case was not weak, the issues had not been fully crystallised, and the offer involved only a modest compromise. Indemnity costs were also refused on the alleged ulterior purpose ground because the 22 January 2010 letter showed at most an ultimate commercial...

Court Disposition

Application for indemnity costs refused; applicants ordered to pay the second, third and fourth respondents' costs on a party and party basis, with no order as to the Authority's costs and no order as to costs of the indemnity costs application.

Orders

  • ['Subject to order 2, the Applicants pay the costs of the Second, Third and Fourth Respondents.' 'Each party bear their own costs in relation to the application made by the Second, Third and Fourth Respondents for indemnity costs.']