Lawcover Insurance Pty Ltd v Muriniti and Newell [2018] NSWSC 558

Supreme Court New South Wales

Medium Neutral Citation: Lawcover Insurance Pty Ltd v Muriniti and Newell [2018] NSWSC 558 Hearing dates: 18 April 2018 Decision date: 03 May 2018 Before: Sackar J Decision: See para [42]-[43] Catchwords: COSTS – appropriate principles and considerations – indemnity costs – lump sum or gross costs order – whether indemnity costs or lump sum costs order should be made – appropriate discount to lump sum or gross costs order Legislation Cited: Civil Procedure Act 2005 (NSW) Cases Cited: Ann Ross v John William Padget [2016] NSWSC 1851 Cultus Petroleum v OMV Australia [1999] NSWSC 435 Fountain Selected Meats (Sales) Pty Ltd v International Produce Merchants Pty Ltd (1988) 81 ALR 397 Hamod v The State of New South Wales [2011] NSWCA 375 Harrison v Schipp (2002) 54 NSWLR 738 Seller v Jones [2014] NSWCA 19 Category: Costs Parties: Lawcover Insurance Pty Ltd (First Applicant) Leonardo Carlo Muriniti (First Respondent/Defendant) Robert Duane Newell (Second Respondent/Defendant) Representation: Counsel: A Zahra (Plaintiff) R D Newell (Defendants)

Solicitors: Sparke Helmore Lawyers (Plaintiff) L. C. Muriniti & Associates (Defendants) File Number(s): 2017/193095

Judgment 1. I gave judgment in this matter in Lawcover's favour on 16 November 2017. On 15 December I made final orders requiring the Defendants to pay Lawcover's costs of the proceedings and permitting Lawcover to make an application for indemnity costs or costs on a lump sum basis within 28 days of the entry of the final orders. 2. Lawcover filed a motion on 12 January 2018 seeking orders that the costs of the proceedings be paid by the Defendants in a fixed lump sum and on an indemnity basis ($395,522.43) or in the alternative on the standard basis ($366,141.36) and that its costs of the motion also be paid by the Defendants in a fixed lump sum on the standard basis ($15,588.00). 3. In support of the motion Lawcover seeks to rely on an affidavit of Mr John Coorey dated 12 January 2018 and an expert report of Mr Ross Nicholas dated 6 February 2018. As a result of these reports Lawcover now seeks revised amounts of $377,628.96 on an indemnity basis or in the alternative $308,857.56 on a standard basis. The Defendants oppose an order for indemnity costs and a lump sum approach and rely upon an affidavit of Mr Muriniti of 4 April 2018.