Manfate Pty Ltd v Krahe & Krahe (No 2) [2016] NSWDC 71

Manfate Pty Ltd v Krahe & Krahe (No 2) [2016] NSWDC 71

Because the plaintiff's compliant offer of compromise for judgment in the sum of $35,000 was not accepted and the plaintiff recovered judgment in excess of $100,000, the offer was substantially bettered and the costs consequences of the Rules should apply. The defendants also served affidavits raising wide issues that were ultimately not pursued, unnecessarily expanding evidence peripheral to the real issues, contrary to the overriding purpose in s 56 of the Civil Procedure Act 2005 (NSW), justifying indemnity costs for costs incurred in relation to those affidavits.

Jurisdiction
Australia
Judgment Date
17 March 2016
Procedural Posture
Costs / Post Judgment Costs Determination
Outcome
Costs ordered in favour of the plaintiff, including indemnity costs from 25 February 2016 and indemnity costs relating to specified affidavits served by the defendants.
Legal Topics
['offer of Compromise' 'indemnity Costs' 'ordinary Basis Costs' 'overriding Purpose' 'affidavit Evidence']
['civil Procedure' 'costs'] ['offer of Compromise' 'indemnity Costs' 'ordinary Basis Costs' 'overriding Purpose' 'affidavit Evidence']

Case Brief

Summary, issues, holding and outcome

More case intelligence is available

Unlock the full research layer for this judgment.

Full judgment text Downloadable case file Legal principles 1 Authorities cited 2 Party arguments 2 Amounts and remedies 1
Sign in to unlock

Procedural Posture

Costs / Post Judgment Costs Determination

Legal Issues

  1. 1 ["Whether the defendants should pay the plaintiff's costs on an indemnity basis because the plaintiff's offer of compromise was bettered by the judgment." 'Whether the defendants should pay indemnity costs incurred by the plaintiff in relation to affidavits served by the defendants from Ms Virtue and Mr Hammond sworn on 15 October 2015.']

Ratio Decidendi

Because the plaintiff's compliant offer of compromise for judgment in the sum of $35,000 was not accepted and the plaintiff recovered judgment in excess of $100,000, the offer was substantially bettered and the costs consequences of the Rules should apply. The defendants also served affidavits raising wide issues that were ultimately not pursued, unnecessarily expanding evidence peripheral to the real issues, contrary to the overriding purpose in s 56 of the Civil Procedure Act 2005 (NSW), justifying indemnity costs for costs incurred in relation to those affidavits.

Court Disposition

Costs ordered in favour of the plaintiff, including indemnity costs from 25 February 2016 and indemnity costs relating to specified affidavits served by the defendants.

Orders

  • ["Defendants to pay the plaintiff's costs on the ordinary basis until 24 February 2016." "Defendants to pay the plaintiff's costs on an indemnity basis from 25 February 2016." "Defendants to pay the plaintiff's costs on an indemnity basis for all costs incurred by the plaintiff in relation to the affidavits served...