CPC Energy Pty Ltd v Bellevarde Constructions Pty Ltd & Anor [2007] NSWSC 1455

CPC Energy Pty Ltd v Bellevarde Constructions Pty Ltd & Anor [2007] NSWSC 1455

CPC Energy Pty Ltd achieved an outcome more favourable to it than the outcomes proposed in its offers of compromise and Calderbank letters, including the Calderbank letter of 22 November 2006. The defendants' failure to accept that Calderbank offer was unreasonable. The withdrawn ancillary claims and rectification issue did not alter the costs consequences, and the costs of the reference should follow the overall event. Accordingly the defendants were to pay the plaintiff's costs, including indemnity costs from 23 November 2006.

Jurisdiction
Australia
Judgment Date
14 December 2007
Procedural Posture
Equity Division, Technology and Construction List Proceedings Concerning Costs After Reserved Judgment / Costs Determination Following Reserved Judgment Delivered on 5 December 2007
Outcome
Defendants to pay plaintiff's costs.
Legal Topics
['offers of Compromise' 'calderbank Offers' 'indemnity Costs' 'reference Out' 'cross Claim' 'rectification' 'misleading and Deceptive Conduct' 'deceit' 'interest Under Section 100 of the Civil Procedure Act 2005']
['civil Procedure' 'costs' 'construction Law'] ['offers of Compromise' 'calderbank Offers' 'indemnity Costs' 'reference Out' 'cross Claim' 'rectification' 'misleading and Deceptive Conduct' 'deceit' 'interest Under Section 100 of the Civil Procedure Act 2005']

Case Brief

Summary, issues, holding and outcome

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Procedural Posture

Equity Division, Technology and Construction List Proceedings Concerning Costs After Reserved Judgment / Costs Determination Following Reserved Judgment Delivered on 5 December 2007

Legal Issues

  1. 1 ['Whether costs should follow the ultimate event in the proceedings.' 'Whether CPC Energy Pty Ltd achieved an outcome more favourable than its offers of compromise and Calderbank offers.' "Whether the defendants' failure to accept the Calderbank offer dated 22 November 2006 was unreasonable and warranted indemnity costs." 'Whether the costs of the cross-claim and the reference should be paid by the defendants.' "Whether withdrawn ancillary claims and the liquidated damages claim affected the consequences of the plaintiff's offers."]

Ratio Decidendi

CPC Energy Pty Ltd achieved an outcome more favourable to it than the outcomes proposed in its offers of compromise and Calderbank letters, including the Calderbank letter of 22 November 2006. The defendants' failure to accept that Calderbank offer was unreasonable. The withdrawn ancillary claims and rectification issue did not alter the costs consequences, and the costs of the reference should follow the overall event. Accordingly the defendants were to pay the plaintiff's costs, including indemnity costs from 23 November 2006.

Court Disposition

Defendants to pay plaintiff's costs.

Orders

  • ['Grant leave to the plaintiff to amend its pleadings to claim interest pursuant to section 100 of the Civil Procedure Act 2005 and dispense with any further requirement for the plaintiff to propound an amended pleading to this effect.' "On the plaintiff's claim, judgment is to be entered for the plaintiff against...