Crossman v Taylor [2013] FCA 537

Crossman v Taylor [2013] FCA 537

The conduct of the trustees following their appointment was reasonable and did not warrant an indemnity costs order; it was the conduct of the bankrupt, Mr Taylor, that necessitated the joinder of Mr Walker as a party. Therefore, costs are to be paid on a party/party basis from the bankrupt estate, not by the trustees personally, and Mr Walker is not entitled to indemnity costs.

Jurisdiction
Australia
Judgment Date
04 June 2013
Procedural Posture
Costs Application / Post Judgment
Outcome
Fourth defendant's application for indemnity costs dismissed. Orders as to party/party costs from the bankrupt estate and costs of application.
Legal Topics
['indemnity Costs' 'freezing Orders' 'bankruptcy Asset Management' 'costs Orders']
['bankruptcy' 'corporations' 'fair Trading' 'civil Procedure'] ['indemnity Costs' 'freezing Orders' 'bankruptcy Asset Management' 'costs Orders']

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Procedural Posture

Costs Application / Post Judgment

Legal Issues

  1. 1 ['Whether the fourth defendant, Peter Walker, should have his costs against the trustees of the bankrupt estate of Brendan Taylor and, if so, on what basis (indemnity or party/party)' 'Whether the conduct of the trustees or of the bankrupt justified an indemnity costs order']

Ratio Decidendi

The conduct of the trustees following their appointment was reasonable and did not warrant an indemnity costs order; it was the conduct of the bankrupt, Mr Taylor, that necessitated the joinder of Mr Walker as a party. Therefore, costs are to be paid on a party/party basis from the bankrupt estate, not by the trustees personally, and Mr Walker is not entitled to indemnity costs.

Court Disposition

Fourth defendant's application for indemnity costs dismissed. Orders as to party/party costs from the bankrupt estate and costs of application.

Orders

  • ['The application filed by the fourth defendant on 5 April 2013 (the indemnity costs application) be dismissed.' "The fourth defendant's costs of the proceeding, other than the costs of the indemnity costs application, be paid out of the bankrupt estate of the first defendant on a party/party basis." 'The fourth...