Australian Development Corporation Pty Limited v White Constructions (ACT) Pty Limited (in Liquidation) & Ors [2002] NSWSC 280

Australian Development Corporation Pty Limited v White Constructions (ACT) Pty Limited (in Liquidation) & Ors [2002] NSWSC 280

The court held that there is jurisdiction to order payment of interest on costs both under s 95(4) and, for periods prior to its enactment, under s 95(1) and s 76 of the Supreme Court Act. There is no requirement for 'special circumstances' for such an order. The rationale is compensation, not penalty, and ordering interest on costs is appropriate where the successful party has been out of pocket for legal costs during lengthy litigation.

Jurisdiction
Australia
Judgment Date
05 April 2002
Procedural Posture
Civil / Costs Application Following Final Determination
Outcome
Application granted
Legal Topics
['costs' 'interest on Costs' 'jurisdiction of Supreme Court' 'recompense for Litigants' 'principles on Awarding Interest' 'discretion to Order Interest']
['civil Procedure'] ['costs' 'interest on Costs' 'jurisdiction of Supreme Court' 'recompense for Litigants' 'principles on Awarding Interest' 'discretion to Order Interest']

Case Brief

Summary, issues, holding and outcome

More case intelligence is available

Unlock the full research layer for this judgment.

Full judgment text Downloadable case file Legal principles 1 Authorities cited 2 Party arguments 2 Amounts and remedies 1
Sign in to unlock

Procedural Posture

Civil / Costs Application Following Final Determination

Legal Issues

  1. 1 ['Whether the Supreme Court has jurisdiction to award interest on costs under s 95(1), s 95(4), and s 76 of the Supreme Court Act 1970' "Whether 'special circumstances' are required to order interest on costs" 'Whether awarding interest on costs penalises the unsuccessful party']

Ratio Decidendi

The court held that there is jurisdiction to order payment of interest on costs both under s 95(4) and, for periods prior to its enactment, under s 95(1) and s 76 of the Supreme Court Act. There is no requirement for 'special circumstances' for such an order. The rationale is compensation, not penalty, and ordering interest on costs is appropriate where the successful party has been out of pocket for legal costs during lengthy litigation.

Court Disposition

Application granted

Orders

  • ['Order in terms of paragraph 1 of the amended notice of motion filed on 5 April 2002.' 'Plaintiff to pay the costs of the applicants of the motion.']