Khabiya t/as Samso Wall Printing v Sachdeva & Ors (No. 2) [2019] NSWDC 498

Khabiya t/as Samso Wall Printing v Sachdeva & Ors (No. 2) [2019] NSWDC 498

The Court refused to depart from the usual costs orders because the Calderbank offer was a global offer involving both the First and Third Defendants, the Local Court matter and broader releases, so the Court was not satisfied the offerors had bettered the result offered. In any event, the offer was not a genuine offer of settlement because it required the Plaintiff to abandon his claim and pay $50,000 to the First and Third Defendants, involving no compromise by them. It was also not unreasonable for the Plaintiff to reject the offer. Ordinary costs orders were therefore made.

Jurisdiction
Australia
Judgment Date
13 September 2019
Procedural Posture
Civil Proceeding / Final Orders and Costs on the Papers After Judgment
Outcome
Final orders made; Calderbank-based departure from ordinary costs refused.
Legal Topics
['calderbank Offer' 'ordinary Costs' 'costs Follow the Event' 'genuine Offer of Settlement' 'reasonableness of Rejecting Settlement Offer' 'breach of Contract Damages']
['civil Procedure' 'costs' 'contract'] ['calderbank Offer' 'ordinary Costs' 'costs Follow the Event' 'genuine Offer of Settlement' 'reasonableness of Rejecting Settlement Offer' 'breach of Contract Damages']

Case Brief

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Procedural Posture

Civil Proceeding / Final Orders and Costs on the Papers After Judgment

Legal Issues

  1. 1 ['Whether the First Defendant should receive a special costs order based on the Calderbank letter dated 22 July 2019.' 'Whether the offerors obtained a better result than the terms offered in the Calderbank letter.' 'Whether the Calderbank letter represented a genuine offer of settlement.' 'Whether it was unreasonable for the Plaintiff to reject the Calderbank offer.' 'What final costs orders should be made as between the Plaintiff, the First Defendant, the Second Defendant and the Third Defendant.']

Ratio Decidendi

The Court refused to depart from the usual costs orders because the Calderbank offer was a global offer involving both the First and Third Defendants, the Local Court matter and broader releases, so the Court was not satisfied the offerors had bettered the result offered. In any event, the offer was not a genuine offer of settlement because it required the Plaintiff to abandon his claim and pay $50,000 to the First and Third Defendants, involving no compromise by them. It was also not unreasonable for the Plaintiff to reject the offer. Ordinary costs orders were therefore made.

Court Disposition

Final orders made; Calderbank-based departure from ordinary costs refused.

Orders

  • ["The Plaintiff's claims against the First Defendant are dismissed." 'Verdict and judgment in favour of the Plaintiff, as against the Second Defendant, in the sum of AUD $92,000.' 'On the judgment sum referred to in order 2, the Second Defendant pay pre-judgment interest to the Plaintiff in the sum of AU$19,896.'...