ZD by his tutor LD v Fast Lane Karting Centre Pty Ltd [2013] NSWDC 52

ZD by his tutor LD v Fast Lane Karting Centre Pty Ltd [2013] NSWDC 52

The offer of compromise served by the plaintiff was invalid for containing the phrase 'without any prejudice save as to costs and interest', creating ambiguity and uncertainty beyond a mere reference to costs, thereby defeating any entitlement to indemnity costs. Even if the offer had been valid, the court would have declined to order indemnity costs given the circumstances of the settlement and the absence of exceptional circumstances justifying departure from the usual order.

Jurisdiction
Australia
Judgment Date
26 April 2013
Procedural Posture
Civil / Costs Application Following Settlement Approval
Outcome
Plaintiff's application dismissed.
Legal Topics
['offer of Compromise Validity' 'indemnity Costs' 'approval of Settlements for Minors' 'costs of Approval Applications']

Case Brief

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Procedural Posture

Civil / Costs Application Following Settlement Approval

  1. 1 ["Whether the plaintiff is entitled to indemnity costs after serving an offer of compromise that lapsed and the matter settled for the same sum as that offer, given the form of the offer referencing 'without any prejudice save as to costs and interest'." 'Whether the reference to costs and interest in the offer of compromise rendered the offer invalid for the purposes of Uniform Civil Procedure Rules 2005 (NSW) r 20.26, and thus defeated a claim to indemnity costs.' "Whether exceptional circumstances or the court's discretion should result in a different order as to costs."]

Ratio Decidendi

The offer of compromise served by the plaintiff was invalid for containing the phrase 'without any prejudice save as to costs and interest', creating ambiguity and uncertainty beyond a mere reference to costs, thereby defeating any entitlement to indemnity costs. Even if the offer had been valid, the court would have declined to order indemnity costs given the circumstances of the settlement and the absence of exceptional circumstances justifying departure from the usual order.

Court Disposition

Plaintiff's application dismissed.

Orders

  • ["Plaintiff's application dismissed." "Plaintiff to pay the defendant's costs of Friday 19 April 2013 and today."]