[2018] VCAT 1323
General information, not legal advice.
Victorian Civil and Administrative Tribunal
2018-09-03
Original judgment source is linked above.
To the express powers conferred by such statutes are added a wide penumbrum of powers implied both in the language of the relevant statutes and derived from the nature and purposes of the court as a court. Beyond that, however I would not go.
A superior court's inherent jurisdiction to uphold, protect and fulfil its function by ensuring that justice is administered according to law and in an effective manner ... enables it in the absence of statutory limitation to discharge or revoke a consent order made by it giving effect to a compromise of proceedings before the court and entered into by a party under a mistake.
Say, for limited purposes, it may be doubted that a judge of the county court, an inferior statutory court, would have power to set aside a perfected judgment of the court. The only remedy would be by way of appeal to the court of appeal, and that is the course which the applicant has attempted to pursue. An appellant court has power 'to strike off the fetters', which might restrain an inferior court from setting aside the judgement entered pursuant to a consent agreement.
The applicant contends that the Tribunal's orders of 21 May 2015 are invalid because Mr Fishlock did not have her power of attorney to sign the proposed consent orders on her behalf. In my view, I have no power to declare the orders of 21 May 2015 to be invalid. The Tribunal made a final order on 21 May 2015, subject to the provisions in that order for seeking reinstatement. By making a final order on 21 May 2015, the Tribunal fulfilled its function in this proceeding. Except for the possibility of reinstatement set out in order 9 of that day (or perhaps if all parties consented to an order), VCAT has no power to make further substantive orders in this proceeding.
In the Courts, a consent judgement giving effect to a settlement agreement; "may only be set aside on grounds which would justify setting aside the contractual agreement upon which the settlement for compliance was based...".
The parties' submissions did not address this issue, but I consider VCAT does not have power to set aside a final order for invalidity in the proceeding in which that order was made. I am not aware that VCAT has ever considered it has inherent jurisdiction to set aside its own orders, in separate proceedings either.
[9] This proceeding is a review proceeding initiated under the FOI Act, seeking access to CCTV footage. On 20 October 2015, the Tribunal made a final order disposing of the proceeding by affirming the decision under review.
[10] I am satisfied that the Tribunal is functus officio, having made and perfected an order disposing of the proceeding. It is well established that the Tribunal is functus officio when it has made a final determination in a proceeding and a final order has been authenticated. As a result, the Tribunal does not have jurisdiction or power to make the declaratory orders now sought by the applicant.
[12] This is an application of a doctrine which is summed up by a Latin phrase "functus officio". What it means is that once the Tribunal has decided a matter once and concluded the proceeding, it cannot go back and do it a second time, or modify one that is already done...
Firstly, the general power of a court to set aside its perfected judgment requires actual fraud, although there are other discrete grounds to set aside a perfected judgment... Secondly, it is not a precondition to the exercise of the power that the party seeking to set aside the judgment exercised reasonable diligence to attempt to discover the fraud during the earlier proceedings.
Issue of Conflict of Interest relating to the Respondent's Counsel
Statutory Provisions sections 119 and 120 of the VCAT Act
For the reasons that follow there was in this case fraud in the necessary sense which was perpetrated "on" the Tribunal, as well as upon the appellants. The result was that, in law, the jurisdiction of the Tribunal remained unexercised...
It follows that a person cannot make an application under section 120 if they attended the "hearing" at which the order was made (either personally or through a representative)": Koromilas v Housing Guarantee Fund Ltd [2004] VCAT 2184 at [14]. There are numerous cases in which an application under section 120 has failed because the applicant attended the relevant hearing. For one example, see Zolis v Vero Insurance Ltd [2004] VCAT 1753; (2004) 21 VAR 497.
[50] ...only if the general law so requires or the [Migration] Act impliedly so directs, are [administrative] decisions involving jurisdictional error to be treated as effective unless and until set aside...
[51] There is, in our view, no reason in principle why the general law should treat administrative decisions involving jurisdictional error as binding or having legal effect unless and until set aside. A decision that involves jurisdictional error is a decision that lacks legal foundation and is properly regarded, in law, as no decision...
[54] There being no provision of the [Migration] Act which, in terms, purports to give any legal effect to decisions of the Tribunal which involve jurisdictional error, as did the September decision [first decision], it is necessary to consider whether, nevertheless, the [Migration] Act which might impliedly have that effect...
[60] It is impossible to impute such an intention to the Parliament.
Even if VCAT had jurisdiction to hear and determine the O'Bryans' application, the manner in which it purported to exercise that jurisdiction meant that it failed to do so. It failed to accord the O'Bryans procedural fairness.
In the present case, the departure from the rules of procedural fairness was egregious. It can hardly be doubted that, had Mrs O'Bryan applied to the Court to set aside the decision made in VCAT or appeal under section 148 of the VCAT Act, she would have been successful. Any contention that Mrs O'Bryan was estopped from seeking proprietary remedy in the present proceedings should be rejected.
The decision of VCAT involved a jurisdictional error and as such, may be regarded as no decision at all. Nevertheless, in the absence of any application to set aside the decision, it appears that the order of VCAT remains capable of enforcement and, prima facie, affords the O'Bryans a right to a remedy in respect of their claim.
I am satisfied that the notice of contention filed by the O'Bryans in this proceeding constitutes a collateral challenge to the validity of VCAT decision of the kind described by Hayne J in Minister for Immigration and Multicultural Affairs v Bhardwaj - indeed, it expressly asserts that the order was made without jurisdiction and invalid and had no legal effect. In the circumstances it is appropriate that this Court make a declaration confirming that the VCAT order is a nullity and is incapable of enforcement.
Having determined that the VCAT decision is a nullity, any contention that it is an abuse of process by the O'Bryans to seek proprietary remedy in this proceeding cannot be sustained. The O'Bryans are not seeking to litigate anew a case which has already been disposed of by an earlier proceeding. [emphasis supplied]
But Bhardwaj is not an authority for the broad proposition that administrative tribunals can, in general, conduct inquiries into the validity of purported decisions of any administrative body if the decision happens to be material to the dispute before the tribunal. Rather, the extent of an administrative tribunal's ability, if any, to conduct such inquiries remains a question of construction of the relevant statutory provisions. The question is whether the provisions evince an intention that the tribunal should attach "some relevant legal consequence" to a purported decision of the kind in question, even if the decision is vitiated by jurisdictional error.
Accordingly, to determine whether VCAT can carry out collateral review, it is necessary to interpret the relevant provisions of the RTA, the VCAT Act and the Charter.
Even if the decisions (_Bhardwa_j and Sudi) were applicable, it is evidence that the VCAT Act does not expressly or impliedly permit the Tribunal to conduct a collateral review of a decision of the Tribunal made in the exercise of its civil jurisdiction. The reasons, set out below, adopt, and adapt to the present case, the reasons given, and the language used, by Warren CJ in Sudi at [34] to [36]:
(a) VCAT is a forum for the speedy and inexpensive resolution of specific kinds of dispute - a power to undertake collateral review would be wholly inconsistent with that purpose.
(b) In order to ascertain whether the consent order should be set aside, the Tribunal would in effect need to conduct a trial within a trial. It would need to leave the subject of retail leasing and enter the field of fraud, misrepresentation and jurisdictional error. A detour into these areas of law would be anomalous given that the Tribunal does not possess general civil jurisdiction but only has original jurisdiction in respect of specific kinds of disputes and claims. This would destroy the advantages of litigating before the Tribunal.
Robert Davis
Senior Member
Big Apple Group Pty Ltd
Melbourne City Council
(1993) 33 NSWLR 13