Drummond v Gordian Runoff Ltd (No 2) [2023] NSWSC 731

Supreme Court New South Wales

Medium Neutral Citation: Drummond v Gordian Runoff Ltd (No 2) [2023] NSWSC 731 Hearing dates: On the papers Date of orders: 3 July 2023 Decision date: 03 July 2023 Jurisdiction: Equity - Technology and Construction List Before: Rees J Decision: Order indemnity costs from offer of compromise. Catchwords: PRECEDENT — whether NCAT decisions binding on tribunal — whether District Court judgments binding on NCAT — principles at [21] — neither binding but legally persuasive. COSTS – plaintiffs sue insurer for $215,000 in NCAT – case turns on legal issue already determined by NCAT and District Court in insurer's favour – insurer makes Calderbank offer when serving defence – $10,000 inclusive – insurer does not refer to NCAT and District Court decisions – no evidence plaintiffs aware of these decisions — rejection of offer not unreasonable in circumstances. COSTS — offer of compromise — 'walk away' — proceedings on foot for a year — legal issues fully ventilated — application of Regency Media considered at [28]-[31]. Legislation Cited: Uniform Civil Procedure Rules rr 20.26, 42.14 Cases Cited: Botany Bay City Council v Latham (No 2) [2013] NSWCA 450 Calderbank v Calderbank [1975] 3 All ER 333 CGU Insurance Ltd v Corrections Corporation of Australia Staff Superannuation Ltd [2008] FCAFC 173 Director of Liquor Licensing v Kordister Pty Ltd [2011] VSC 207 Foy v Calliden Insurance Ltd [2017] NSWDC 33 Gold & Copper Resources Pty Ltd v Hon Chris Hartcher, Minister For Resources & Energy, Special Minister (No 2) [2015] NSWCA 163 Hungry Jack's Pty Ltd v Fourtounas (No 2) [2011] NSWCA 26 Leach v Nominal Defendant (QBE Insurance (Australia) Ltd) (No 2) [2014] NSWCA 391 LMI Australasia Pty Ltd v Baulderstone Hornibrook Pty Ltd (No 2) [2002] NSWSC 72 Loulach Developments Pty Ltd v Roads and Maritime Services (No 2) [2019] NSWSC 601 Miwa Pty Ltd v Siantan Properties Pte Ltd (No 2) [2011] NSWCA 344 Owners Corporation Strata Plan 61288 v Brookfield Multiplex Ltd [2012] NSWSC 1586 Prospect Resources Ltd v Molyneux [2015] NSWCA 171 Puckeridge v Calliden Insurance Ltd (Home Building) [2013] NSWCTTT 450 Regency Media Pty Ltd v AAV Australia Pty Ltd [2009] NSWCA 368 Taheri v Vitek (No 2) [2014] NSWCA 344 Valentine v Eid (1992) 27 NSWLR 615, 621-622 Category: Costs Parties: John Stephen Drummond (First Plaintiff) Colleen Anne Drummond (Second Plaintiff) Gordian Runoff Ltd (Defendant) Representation: Counsel: Mr J Hutton SC (Plaintiffs) Mr PJ Bambagiotti (Defendant)