Brehm v Stretch Studio Aus Pty Limited [2020] FCA 1381

Brehm v Stretch Studio Aus Pty Limited [2020] FCA 1381

Because the applicant is not ordinarily resident in Australia and did not provide sufficient evidence regarding enforcement of potential costs orders in Germany, and after adjusting the respondents’ costs estimate to a reasonable figure and applying a discount, security for costs in the sum of $45,000 was appropriate. The proceeding should be stayed until security is provided.

Parties
Applicant: Kathrin Maria Brehm; First Respondent: Stretch Studio Aus Pty Limited ACN 618 503 610; Second Respondent: Yaron Remen; Third Respondent: Damien Scarf; Fourth Respondent: Myles David Donaldson
Jurisdiction
Australia
Judgment Date
25 September 2020
Procedural Posture
Interlocutory Application / Application for Security for Costs
Outcome
Application for security for costs granted.
Legal Topics
Security for Costs, Applicants Not Resident in Australia, Amount of Security for Costs
Practice and Procedure Commercial Law Security for Costs Applicants Not Resident in Australia Amount of Security for Costs

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Parties

Kathrin Maria Brehm

Applicant

Stretch Studio Aus Pty Limited ACN 618 503 610

First Respondent

Yaron Remen

Second Respondent

Damien Scarf

Third Respondent

Myles David Donaldson

Fourth Respondent

Procedural Posture

Interlocutory Application / Application for Security for Costs

Legal Issues

  1. 1 Whether the applicant should be ordered to provide security for costs under r 19.01 of the Federal Court Rules 2011 (Cth)
  2. 2 Whether the amount of security sought is appropriate
  3. 3 Whether security should be limited to the cost of enforcing a costs judgment overseas

Ratio Decidendi

Because the applicant is not ordinarily resident in Australia and did not provide sufficient evidence regarding enforcement of potential costs orders in Germany, and after adjusting the respondents’ costs estimate to a reasonable figure and applying a discount, security for costs in the sum of $45,000 was appropriate. The proceeding should be stayed until security is provided.

Court Disposition

Application for security for costs granted.

Orders

  • Applicant to provide security for respondents' costs in the sum of $45,000 by payment into Court or unconditional bank guarantee.
  • Proceeding stayed pending provision of security.