Maurice Tarabay v Fifty Property Investments Pty Ltd [2009] NSWSC 951

New South Wales Supreme Court

CITATION : Maurice Tarabay v Fifty Property Investments Pty Ltd [2009] NSWSC 951

HEARING DATE(S) : 3 & 11 September 2009

JUDGMENT DATE : 25 September 2009

JUDGMENT OF : Hammerschlag J

DECISION : Plaintiff to pay, on the indemnity basis from 15 April 2009, defendants' costs of all issues in the proceedings, except the costs of Maria relating to the claim for interference with contractual relations and defendants' costs of the application for indemnity costs (with the exception of the appearance before lunch on 3 September 2009 in respect of which defendants to pay plaintiff's costs), which are to be paid on the ordinary basis. Interest is to be paid on any amount payable under the order for costs from the dates on which the costs concerned were paid.

CATCHWORDS : PROCEDURE - costs - departing from the general rule that costs are payable on the ordinary basis – whether the plaintiff should pay the costs of the defendants on an indemnity basis because they had imprudently and unreasonably rejected offers of settlement – held that the non-acceptance of the defendants' offers did not warrant indemnity costs, as they did not involve a real and genuine element of compromise - whether indemnity costs should be awarded because the plaintiff had maintained proceedings that had no real prospects of success or should have been seen to be hopeless – held that plaintiff's two claims against the defendants for engaging in unconscionable conduct, but not the plaintiff's third claim for inducing breach of contract, had no real prospects of success and should have been seen to have been hopeless - that indemnity costs should be awarded in respect of them – INTEREST – interest on cost orders – s 101(4) of the Civil Procedure Act (NSW) 2005 – purpose of interest is to compensate successful party for prior payment of costs and disbursements in the conduct of the proceedings – order for payment of interest on costs awarded