[2026] FCA 258
General information, not legal advice.
Federal Court of Australia
2026-03-13
Hill J
Original judgment source is linked above.
Note: Entry of orders is dealt with in Rule 39.32 of the Federal Court Rules 2011.
[T]he court wouldn't normally strike out a defence where there has now been an explanation given for the delay, and where it looks as though the ... respondent is ... keen to proceed with the matter properly. If there's any issue about timetabling, we can certainly amend the timetabling orders, but I wouldn't be striking out the defence in the circumstances of this case.
We're not here to be harsh or nasty. If there's a way of making everything move forward in a reasonable way, fairly to everyone, that's what we will go for. So if you need more time, just tell me what you need and we can look at that.
[5] ... The court does not have any available dates in July. The next available date would be in October 2026. When the matter came on today, pursuant to the liberty to apply, the applicant indicated that she would be willing to accept the hearing date in October 2026. However, the respondent said that it was not willing to accept that date. The respondent said that having the litigation hanging over its head was difficult, and it wished to preserve the existing hearing date.
[6] The court then looked to see whether there could be a reasonable rejigging of the timetable, and it seemed to me that that could be achieved. The applicant strenuously opposed that. She said that she needed more time for various steps. However, it seems to me that the timeframes that have been allowed are reasonable in all the circumstances.
[7] The applicant said that, although she is unrepresented, she is getting legal advice from an external source. She said that it takes more time than usual to get that legal advice. That may be so, but it seems to me that, even allowing for that, there is adequate time for this hearing to proceed on 27 April 2026 and that the timeframes allow everyone adequate time.
[8] If the applicant does wish to issue subpoenas, even if there are any objections, there should be time for them to be dealt with, assuming that the applicant issues the subpoenas early next week, as she said she would do on Tuesday.
The stay application was therefore dismissed: Anderson (No 3) at [4].
Ground 1 - Denial of Procedural Fairness (Course of Case Management)
The primary judge erred in denying the Applicant procedural fairness by adopting and maintaining a course of case management which, viewed as a whole, deprived the Applicant of a real and practical opportunity to prepare and present her case, including by:
(a) dismissing the Applicant's application to strike out the Respondent's amended defence notwithstanding established non-compliance with Court orders; and
(b) thereafter imposing a truncated pre-trial timetable to preserve the existing trial date,
in circumstances where the Applicant expressly contended that compliance was not practicable and that contention was not properly addressed or resolved.
Ground 2 - Error in Exercise of Discretion: Refusal to Strike Out (3 February 2026)
The primary judge erred in the exercise of discretion in dismissing the Applicant's application to strike out the Respondent's amended defence, where:
(a) the Respondent had failed to comply with Court orders requiring the amended defence to be filed and served by 5 December 2025;
(b) the non-compliance was admitted or established on the record and concerned pleaded matters central to the Respondent's defence of the unconscionable conduct claim; and
(c) the discretion was exercised without adequate reasons disclosing the basis upon which the Respondent's default was excused or the imposition of procedural consequences declined.
Ground 3 - Error in Exercise of Case Management Discretion (6 February 2026)
The primary judge erred in the exercise of case management discretion by maintaining the trial date of 27 April 2026 and truncating the pre-trial timetable, in circumstances where:
(a) the need for a revised timetable arose from the Respondent's prior non-compliance with Court orders;
(b) the resulting timetable imposed a materially greater burden on the Applicant than on the Respondent; and
(c) no sufficient consideration was given to whether the timetable afforded the Applicant a fair and reasonable opportunity to comply with Court-ordered processes.
Ground 4 - Misapplication of Case Management Principles
The primary judge erred in law by exercising case management powers by reference to considerations of efficiency and expedition in a manner that failed to give proper weight to the overriding requirement that proceedings be determined justly, including by permitting considerations of efficiency to prevail over the avoidance of unfair forensic prejudice caused by a party's non-compliance with Court orders.
Ground 5 - Failure to Properly Account for Consequences of Non-Compliance
The primary judge erred by making orders which had the practical effect of transferring the procedural consequences of the Respondent's non-compliance onto the Applicant, thereby exposing the Applicant to a real risk of default or forensic disadvantage not of her making.
Ground 6 - Apprehended Bias (Alternative)
In the alternative, the manner in which the Respondent's non-compliance was excused and accommodated, while the Applicant alone was subjected to compressed and onerous compliance obligations, would cause a fair-minded lay observer to reasonably apprehend that the discretion was not exercised with an impartial regard to the parties' respective positions.
Grounds on Which Leave to Appeal Is Sought:
Leave to appeal is sought on the basis that the proposed appeal raises arguable error in the exercise of discretionary case management powers, including errors of principle, failure to take into account mandatory considerations, and the denial of procedural fairness. The impugned orders arise from a single course of case management which permitted the Respondent to benefit from its non-compliance with Court orders and imposed a truncated timetable that materially impaired the Applicant's real and practical ability to prepare and present her case.
Absent appellate intervention, the Applicant will suffer substantial injustice which cannot be adequately remedied by an appeal after final judgment, as the prejudice arises from the conduct of the proceedings themselves and the loss of procedural opportunity. The appeal further raises issues of general importance concerning the proper exercise of case management discretion where considerations of expedition are said to compete with the requirement to ensure a fair hearing and to impose appropriate consequences for noncompliance with Court orders.
It is therefore in the interests of the administration of justice that leave to appeal be granted.
See Shepherd v Watt [2022] FCAFC 78 at [54]- [56] (the Court); Dimitrovski v Boland [2023] FCAFC 86 at [29] (the Court); Decor Corporation Pty Ltd v Dart Industries Inc [1991] FCA 844; (1991) 33 FCR 397 at 398 (the Court).
A. Appeal from 6 February 2026 orders - effect of Federal Court Act s 24(1AA)
(b) a decision to do, or not to do, any of the following:
(i) join or remove a party;
(ii) adjourn or expedite a hearing;
(iii) vacate a hearing date. (emphasis added)
[14] It does not matter that the hearing on 25 October 2022 was not an adjournment hearing. What is relevant for the purposes of s 24(1AA) of the FCA Act is that the consequence of Order 1, which "listed" the summary judgment and trial together on 5 December 2022, was that it was a decision by a Judge to defer or postpone the hearing of the summary judgment application to a future date, namely, the date also fixed for the trial and not to a date prior to the trial date of the Bankruptcy Proceeding. (emphasis added)
I certify that the preceding forty-one (41) numbered paragraphs are a true copy of the Reasons for Judgment of the Honourable Justice Hill.
Anderson
Morgan Crest Pty Ltd trading as Ray White Benalla [2026] FCA 258
Chamberlain Group, Inc v Giant Alarm System Co, Ltd (No 2) [2019] FCA 1606
Chetcuti v Minister for Immigration and Border Protection [2019] FCAFC 112; (2019) 270 FCR 335
Decor Corporation Pty Ltd v Dart Industries Inc [1991] FCA 844; (1991) 33 FCR 397
Dimitrovski v Boland [2023] FCAFC 86
Doggett v Commonwealth Bank of Australia [2019] FCAFC 19
Drummond v Canberra Institute of Technology (No 3) [2022] FCAFC 169; (2022) 294 FCR 346
EV20 Consulting Group Pty Ltd v Paperless Warehousing Pty Ltd [2025] FCA 328
Harper v Gold Coast Pistol Club Limited [2023] FCAFC 165
House v The King [1936] HCA 40; (1936) 55 CLR 499
Kazar (liquidator), in the matter of AE Charter Services Pty Ltd (in liq) v Adelaide Equity Holdings Pty Ltd [2025] FCA 59
Kim v Wang [2025] FCA 1244
Kitchen v Director of Professional Services Review [2023] FCAFC 160
Kumar v Minister for Immigration, Citizenship and Multicultural Affairs [2024] FCAFC 79
Lee v Huo [2026] NSWCA 15
Lenijamar Pty Ltd v AGC (Advances) Ltd [1990] FCA 520; (1990) 27 FCR 388
Luck v Chief Executive Officer of Centrelink [2015] FCAFC 75
Monks v Pieman Resources Pty Ltd [2025] FCAFC 121
NWQR v Minister for Immigration, Citizenship, Migrant Services and Multicultural Affairs [2021] FCAFC 30
Praljak v Office of the Australian Information Commissioner [2025] FCAFC 126; (2025) 311 FCR 178
QYFM v Minister for Immigration, Citizenship, Migrant Services and Multicultural Affairs [2023] HCA 15; (2023) 279 CLR 148
Re JRL; Ex parte CJL [1986] HCA 39; (1986) 161 CLR 342
Shepherd v Watt [2022] FCAFC 78
SZRUR v Minister for Immigration and Border Protection [2013] FCAFC 146; (2013) 216 FCR 445
Tucker v State of Victoria [2022] FCA 1449
(2019) 270 FCR 335
(1991) 33 FCR 397
(2022) 294 FCR 346
(1936) 55 CLR 499
(1990) 27 FCR 388
(2025) 311 FCR 178
(2023) 279 CLR 148
(1986) 161 CLR 342
(2013) 216 FCR 445