Kieren Leslie Welzel & Ors v Stephen Paul Francis (No 2) [2011] NSWSC 648

Kieren Leslie Welzel & Ors v Stephen Paul Francis (No 2) [2011] NSWSC 648

Mr Welzel is ordered to provide further security of $50,000 for Mr Francis's costs. The quantum is set by reference to the likelihood that assets, had they not been disposed of, would have been available to meet an adverse costs order, balanced with the need not to stultify the plaintiff's proceedings. The difficulty of precise assessment was caused by Mr Welzel's own conduct in disposing of his assets.

Jurisdiction
Australia
Judgment Date
30 June 2011
Procedural Posture
Procedural and Other Rulings / Security for Costs – Quantum and Related Orders
Outcome
Plaintiff ordered to provide further security for costs of $50,000; costs of motion awarded to defendant.
Legal Topics
['security for Costs' 'costs Orders' 'asset Disposal Prior to Litigation']
['civil Procedure'] ['security for Costs' 'costs Orders' 'asset Disposal Prior to Litigation']

Case Brief

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Procedural Posture

Procedural and Other Rulings / Security for Costs – Quantum and Related Orders

Legal Issues

  1. 1 ['What is the appropriate amount of additional security for costs to be ordered where a party has disposed of assets prior to commencing proceedings?']

Ratio Decidendi

Mr Welzel is ordered to provide further security of $50,000 for Mr Francis's costs. The quantum is set by reference to the likelihood that assets, had they not been disposed of, would have been available to meet an adverse costs order, balanced with the need not to stultify the plaintiff's proceedings. The difficulty of precise assessment was caused by Mr Welzel's own conduct in disposing of his assets.

Court Disposition

Plaintiff ordered to provide further security for costs of $50,000; costs of motion awarded to defendant.

Orders

  • ['Mr Welzel is to provide further security of $50,000 within 6 weeks.' 'Short minutes of order to be brought in to give effect to the judgment.' 'If parties cannot agree on orders within 14 days, matter may be re-listed for further argument.' 'Mr Francis awarded all costs of the motion dated 3 March 2011, unless...