Lambert Leasing Inc. v QBE Insurance Ltd (No 2) [2015] NSWSC 1196

Supreme Court New South Wales

Medium Neutral Citation: Lambert Leasing Inc. v QBE Insurance Ltd (No 2) [2015] NSWSC 1196 Hearing dates: 30, 31 March and 1, 2, 8, 9, 10 April 2015 Date of orders: 20 August 2015 Decision date: 20 August 2015 Jurisdiction: Equity - Commercial List Before: Rein J Decision: See [21] and [39] Catchwords: EQUITY - Aviation insurance - The effect of a pay to be paid clause - Costs orders - Indemnity costs - Calderbank offers - Reasonable refusal - Offer of compromise under the Uniform Civil Procedure Rules 2005 - Walk away offer - Whether genuine compromise Legislation Cited: Uniform Civil Procedure Rules 2005 Cases Cited: Baulderstone Hornibrook Engineering Pty Ltd v Gordian Runoff Ltd [2008] NSWCA 243 Bennette v Cohen (No 2) [2009] NSWCA 162 Calderbank v Calderbank [1975] 3 All ER 333 Charter Reinsurance Co Ltd v Fagan [1997] AC 313 Conohan v Cooperators (2002) Fed Ct App 60 ; 2002 Fed Ct App LEXIS 45 Dean v Stockland Property Management Pty Ltd (No 2) [2010] NSWCA 141 Eddystone Marine Insurance Co, Re Ex parte Western Insurance Co [1892] 2 Ch 423 Firma C-Trade SA v Newcastle Protection & Indemnity Association (The Fanti) [1991] 2 AC 1 Lambert Leasing Inc. v QBE Insurance Ltd [2015] NSWSC 750 Leichhardt Municipal Council v Green [2004] NSWCA 341 Miwa Pty Ltd v Siantan Properties Pte Ltd (No 2) [2011] NSWCA 344 Regency Media Pty Ltd v AAV Australia Pty Ltd [2009] NSWCA 368) Roads and Traffic Authority of New South Wales v Refrigerated Roadways Pty Ltd (No 2) [2009] NSWCA 336 Robb Evans of Robb Evans & Associates v European Bank Ltd (No 2) [2009] NSWCA 170 Versicherungs und Transport A/G Daugava v Henderson (1934) 49 Ll L Rep 252 at p 254; [1934] All ER Rep 626 Texts Cited: Sutton on Insurance Law (4th ed, RM Merkin and WIB Enright, Lawbook Co, 2015) The Law of Liability Insurance (3rd ed, DK Derrington and RS Ashton, LexisNexis Butterworths, 2013) Category: Principal judgment Parties: Lambert Leasing Inc. (First Plaintiff) Saab Aircraft Leasing Inc. (Second Plaintiff) QBE Insurance Ltd (First Defendant) Jalgrid Pty Ltd (Second Defendant) Dramatic Investments Pty Ltd (Third Defendant) Representation: Counsel: D.L Williams SC/ C.S Ward (First and Second Plaintiffs) A.J Sullivan QC/ T Brennan (First Defendant) C.R.C Newlinds SC/ J.S Emmett (Second and Third Defendants)