Feldman v GNM Australia Pty Limited (No 2) [2016] NSWSC 1188

Feldman v GNM Australia Pty Limited (No 2) [2016] NSWSC 1188

Although the defendants' offer was genuine and was an offer of compromise, it was not unreasonable for the plaintiff not to accept it because the defendants' stay application involved new legal territory concerning the ostensible authority of a solicitor to bind a client to a settlement agreement before proceedings commenced in the context of a concerns notice under the Defamation Act 2005 (NSW). Indemnity costs were therefore not warranted.

Jurisdiction
Australia
Judgment Date
19 August 2016
Procedural Posture
Defamation Proceedings; Costs Application / Application by Defendants for Indemnity Costs After Proceedings Were Permanently Stayed
Outcome
Application for indemnity costs dismissed. Plaintiff to pay the defendants' costs as assessed on the ordinary basis.
Legal Topics
['indemnity Costs' 'offer of Compromise' 'settlement Agreement' 'ostensible Authority of Solicitor']
['defamation' 'costs'] ['indemnity Costs' 'offer of Compromise' 'settlement Agreement' 'ostensible Authority of Solicitor']

Case Brief

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Procedural Posture

Defamation Proceedings; Costs Application / Application by Defendants for Indemnity Costs After Proceedings Were Permanently Stayed

Legal Issues

  1. 1 ["Whether the defendants' offer to consent to dismissal of the proceedings with no order as to costs was a genuine offer of compromise." 'Whether it was unreasonable for the plaintiff not to accept the offer so as to warrant indemnity costs.']

Ratio Decidendi

Although the defendants' offer was genuine and was an offer of compromise, it was not unreasonable for the plaintiff not to accept it because the defendants' stay application involved new legal territory concerning the ostensible authority of a solicitor to bind a client to a settlement agreement before proceedings commenced in the context of a concerns notice under the Defamation Act 2005 (NSW). Indemnity costs were therefore not warranted.

Court Disposition

Application for indemnity costs dismissed. Plaintiff to pay the defendants' costs as assessed on the ordinary basis.

Orders

  • ['Application for indemnity costs dismissed.' "Plaintiff to pay the defendants' costs as assessed on the ordinary basis."]