AM Stevens Pty Ltd v Australian Red Cross Society [2002] FCA 91

AM Stevens Pty Ltd v Australian Red Cross Society [2002] FCA 91

A gross sum costs order is not appropriate here due to inadequate evidence and lack of case complexity; costs thrown away by the amendment shall be taxed in the usual way but payable forthwith, given the applicant’s substantial delay and leisurely prosecution of the case. Costs of the motion to amend are to be paid by the applicant to the respondents, as respondent’s conduct was not unreasonable.

Parties
Applicant: AM Stevens Pty Ltd; First Respondent / First Cross Claimant: Australian Red Cross Society; Second Respondent / Second Cross Claimant: Prank Nominees Pty Ltd (formerly National Capital Properties Pty Ltd); Cross Respondent: Leightons Contractors Pty Ltd
Jurisdiction
Australia
Judgment Date
12 February 2002
Procedural Posture
Civil / Costs Determination Following Amendment of Statement of Claim
Outcome
Application for gross sum order refused; costs awarded on taxable basis, payable forthwith.
Legal Topics
Costs, Amendment of Pleadings, Taxation of Costs, Gross Sums
Civil Procedure Costs Amendment of Pleadings Taxation of Costs Gross Sums

Case Brief

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Parties

AM Stevens Pty Ltd

Applicant

Australian Red Cross Society

First Respondent / First Cross Claimant

Prank Nominees Pty Ltd (formerly National Capital Properties Pty Ltd)

Second Respondent / Second Cross Claimant

Leightons Contractors Pty Ltd

Cross Respondent

Procedural Posture

Civil / Costs Determination Following Amendment of Statement of Claim

Legal Issues

  1. 1 Whether a gross sum costs order should be made for costs thrown away by amendment of statement of claim
  2. 2 Whether costs should be taxed forthwith or after conclusion of proceedings
  3. 3 On what basis costs should be assessed (party and party, or otherwise)

Ratio Decidendi

A gross sum costs order is not appropriate here due to inadequate evidence and lack of case complexity; costs thrown away by the amendment shall be taxed in the usual way but payable forthwith, given the applicant’s substantial delay and leisurely prosecution of the case. Costs of the motion to amend are to be paid by the applicant to the respondents, as respondent’s conduct was not unreasonable.

Court Disposition

Application for gross sum order refused; costs awarded on taxable basis, payable forthwith.

Orders

  • Applicant to pay first and second respondents' costs of the Notice of Motion of 14 June 2001.
  • First and second respondents at liberty to tax the costs occasioned by the amendment of the statement of claim, including the costs of the motion of 14 June 2001; applicant to pay those costs forthwith upon taxation.