Leichhardt Municipal Council v Green [2004] NSWCA 341

Leichhardt Municipal Council v Green [2004] NSWCA 341

A 'walk-away' offer by a defendant for judgment in its favour with each party paying its own costs, made prior to trial by Calderbank letter, may be a genuine offer in some circumstances but does not automatically attract an order for indemnity costs. Such offers do not constitute a genuine compromise unless they...

Source-derived case information.

Jurisdiction
Australia
Judgment Date
22 September 2004
Procedural Posture
Appeal / Post Judgment Application for Indemnity Costs
Outcome
Application for indemnity costs dismissed with costs.
Legal Topics
['costs' 'indemnity Costs' 'offers of Compromise' 'calderbank Letters']
['civil Procedure'] ['costs' 'indemnity Costs' 'offers of Compromise' 'calderbank Letters']

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Procedural Posture

Appeal / Post Judgment Application for Indemnity Costs

Legal Issues

  1. 1 ["Whether a Calderbank letter offering settlement in terms of 'verdict in favour of the Council with each party to bear its own costs' constitutes a genuine offer of compromise sufficient to justify an order for indemnity costs" "Whether the court's discretion to award indemnity costs should be exercised in these circumstances"]

Ratio Decidendi

A 'walk-away' offer by a defendant for judgment in its favour with each party paying its own costs, made prior to trial by Calderbank letter, may be a genuine offer in some circumstances but does not automatically attract an order for indemnity costs. Such offers do not constitute a genuine compromise unless they involve more than a call for capitulation. In this case, it was not unreasonable for the plaintiff to reject the offer, and there were not sufficient grounds to depart from the general rule of awarding costs on a party and party basis.

Court Disposition

Application for indemnity costs dismissed with costs.

Orders

  • ['Application for indemnity costs dismissed.' 'Costs awarded on party and party basis.']