Montague Mining Pty Ltd v Gore [1999] FCA 1804

Montague Mining Pty Ltd v Gore [1999] FCA 1804

Because the original damages figure proceeded on an incorrect assumption that the 250,000 Spinifex shares were saleable in January 1997, and the formal order had not been entered, the Court corrected the damages calculation to $616,200. Although the applicant would still have been better off accepting the first respondents' pre-liability offer, fairness required only limiting the applicant's costs to those incurred up to and including 20 August 1998, not ordering the applicant to pay the first respondents' later costs, because the offer was not renewed and the first respondents later maintained that the applicant had sustained no damage and declined settlement negotiations.

Jurisdiction
Australia
Judgment Date
22 December 1999
Procedural Posture
Practice and Procedure; Supplementary Reasons for Judgment Concerning Variation of Damages and Costs Orders / Post Judgment Motions After Orders Announced on 5 November 1999 But Before Formal Entry
Outcome
Orders made varying the orders announced on 5 November 1999; damages increased to $616,200; applicant's costs limited to costs incurred up to and including 20 August 1998; no order as to costs of the motions.
Legal Topics
['variation of Orders Before Formal Entry' 'correction of Damages Assessment' 'settlement Offers and Costs Consequences' 'escrowed Shares and Valuation']
['practice and Procedure' 'costs' 'damages'] ['variation of Orders Before Formal Entry' 'correction of Damages Assessment' 'settlement Offers and Costs Consequences' 'escrowed Shares and Valuation']

Case Brief

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Procedural Posture

Practice and Procedure; Supplementary Reasons for Judgment Concerning Variation of Damages and Costs Orders / Post Judgment Motions After Orders Announced on 5 November 1999 But Before Formal Entry

Legal Issues

  1. 1 ['Whether order 1 made on 5 November 1999 should be varied because the assessment of damages incorrectly assumed that 250,000 Spinifex shares could be sold in January 1997.' "Whether the first respondents' settlement offer of $600,000 plus costs, rejected on 20 August 1998, should affect the costs order in favour of the applicant." "Whether the applicant should pay the first respondents' costs incurred after rejection of the settlement offer."]

Ratio Decidendi

Because the original damages figure proceeded on an incorrect assumption that the 250,000 Spinifex shares were saleable in January 1997, and the formal order had not been entered, the Court corrected the damages calculation to $616,200. Although the applicant would still have been better off accepting the first respondents' pre-liability offer, fairness required only limiting the applicant's costs to those incurred up to and including 20 August 1998, not ordering the applicant to pay the first respondents' later costs, because the offer was not renewed and the first respondents later maintained that the applicant had sustained no damage and declined settlement negotiations.

Court Disposition

Orders made varying the orders announced on 5 November 1999; damages increased to $616,200; applicant's costs limited to costs incurred up to and including 20 August 1998; no order as to costs of the motions.

Orders

  • ['Order 1 made on 5 November 1999 be amended by substituting for the words and figures "five hundred and sixty one thousand four hundred and sixty dollars ($561,460)" the words and figures "six hundred and sixteen thousand two hundred dollars ($616,200)".' 'Order 2 made on 5 November 1995 be amended by deleting all...