Ye v Chen (No 2) [2022] NSWSC 630

Ye v Chen (No 2) [2022] NSWSC 630

Although the defendant made an offer of compromise under UCPR r 20.26 and UCPR r 42.15A(2) would otherwise support indemnity costs after the offer, the offer required the plaintiffs to abandon the proceedings and pay the defendant's ordinary costs, and contained no real element of compromise. The Court therefore ordered otherwise: the plaintiffs must pay the defendant's costs of the proceedings only on the ordinary basis, and each party must bear its own costs of the costs application.

Jurisdiction
Australia
Judgment Date
20 May 2022
Procedural Posture
Costs Application / On the Papers Following Orders and Reasons in Ye V Chen [2022] NSWSC 494
Outcome
Plaintiffs ordered to pay the defendant's costs of the proceedings on the ordinary basis only; no order for indemnity costs; each party to pay her or its own costs of the costs application.
Legal Topics
['party/party Costs' 'offers of Compromise' 'indemnity Costs' 'ordinary Basis Costs' 'ucpr R 42.15 A']
['costs' 'civil Procedure'] ['party/party Costs' 'offers of Compromise' 'indemnity Costs' 'ordinary Basis Costs' 'ucpr R 42.15 A']

Case Brief

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Procedural Posture

Costs Application / On the Papers Following Orders and Reasons in Ye V Chen [2022] NSWSC 494

Legal Issues

  1. 1 ['Whether the defendant should receive ordinary costs up to and including 5 February 2021 and indemnity costs thereafter under UCPR r 42.15A(2) following an offer of compromise.' 'Whether the Court should order otherwise because the offer of compromise contained no real element of compromise.' 'What costs order should be made for the costs application.']

Ratio Decidendi

Although the defendant made an offer of compromise under UCPR r 20.26 and UCPR r 42.15A(2) would otherwise support indemnity costs after the offer, the offer required the plaintiffs to abandon the proceedings and pay the defendant's ordinary costs, and contained no real element of compromise. The Court therefore ordered otherwise: the plaintiffs must pay the defendant's costs of the proceedings only on the ordinary basis, and each party must bear its own costs of the costs application.

Court Disposition

Plaintiffs ordered to pay the defendant's costs of the proceedings on the ordinary basis only; no order for indemnity costs; each party to pay her or its own costs of the costs application.

Orders

  • ["Subject to orders (2) and (3) below, order the plaintiffs to pay the defendant's costs of the proceedings, such costs to be paid on the ordinary basis." 'Confirm that order (1) above does not affect the orders for costs made by Harrison AsJ on 31 August 2021 and 6 October 2021 in Ye v Chen (No 2) [2021] NSWSC...