Blaze Advertising Pty Ltd v Momentum Accounting Pty Ltd [2019] NSWSC 962

Blaze Advertising Pty Ltd v Momentum Accounting Pty Ltd [2019] NSWSC 962

Because Blaze Advertising Pty Ltd appeared, Cardinal House Pty Ltd and Paul Carroll did not appear, the claim was liquidated, the evidence established that Cardinal House had not paid the amount due and that Paul Carroll was liable under his guarantee, judgment was appropriate under UCPR r 29.7(3) for $719,943.97 after crediting the $275,000 settlement payment. Blaze was also entitled to interest of $127,123.52. The unaccepted 1 July 2019 offer justified indemnity costs after that date, and the costs material and fairness considerations justified a gross sum costs order of $77,500 under s 98(4)(c) of the Civil Procedure Act 2005.

Jurisdiction
Australia
Judgment Date
31 July 2019
Procedural Posture
Civil Proceedings for Recovery of Professional Fees and Enforcement of Guarantee / Application for Judgment Against Absent Defendants Pursuant to UCPR R 29.7(3)
Outcome
Judgment for Blaze Advertising Pty Ltd against Cardinal House Pty Ltd and Paul Carroll, with interest and gross sum costs.
Legal Topics
['failure to Appear at Hearing' 'liquidated Claim' 'professional Fees' "director's Guarantee" 'offer of Compromise' 'calderbank Offer' 'indemnity Costs' 'gross Sum Costs Order']
['civil Procedure' 'costs' 'contract' 'guarantee'] ['failure to Appear at Hearing' 'liquidated Claim' 'professional Fees' "director's Guarantee" 'offer of Compromise' 'calderbank Offer' 'indemnity Costs' 'gross Sum Costs Order']

Case Brief

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Procedural Posture

Civil Proceedings for Recovery of Professional Fees and Enforcement of Guarantee / Application for Judgment Against Absent Defendants Pursuant to UCPR R 29.7(3)

Legal Issues

  1. 1 ['Whether judgment should be given against Cardinal House Pty Ltd and Paul Carroll pursuant to UCPR r 29.7(3) when they failed to appear.' 'Whether Blaze Advertising Pty Ltd proved the liquidated amount due, taking into account the settlement payment by the first and third defendants.' 'Whether Blaze Advertising Pty Ltd was entitled to interest on the principal amount claimed.' 'Whether costs after 1 July 2019 should be awarded on an indemnity basis because of the offer of compromise or Calderbank offer.' 'Whether a gross sum costs order should be made under s 98(4)(c) of the Civil Procedure Act 2005.']

Ratio Decidendi

Because Blaze Advertising Pty Ltd appeared, Cardinal House Pty Ltd and Paul Carroll did not appear, the claim was liquidated, the evidence established that Cardinal House had not paid the amount due and that Paul Carroll was liable under his guarantee, judgment was appropriate under UCPR r 29.7(3) for $719,943.97 after crediting the $275,000 settlement payment. Blaze was also entitled to interest of $127,123.52. The unaccepted 1 July 2019 offer justified indemnity costs after that date, and the costs material and fairness considerations justified a gross sum costs order of $77,500 under s 98(4)(c) of the Civil Procedure Act 2005.

Court Disposition

Judgment for Blaze Advertising Pty Ltd against Cardinal House Pty Ltd and Paul Carroll, with interest and gross sum costs.

Orders

  • ['Judgment for Blaze Advertising Pty Ltd against Cardinal House Pty Ltd and Paul Carroll for $719,943.97 together with interest up to judgment in the amount of $127,123.52.' "Order Cardinal House Pty Limited and Paul Carroll to pay Blaze Advertising Pty Ltd's costs of the proceedings, specified as a gross sum...