[2025] NSWIRComm 1079
General information, not legal advice.
Industrial Relations Commission (NSW)
2025-09-15
Original judgment source is linked above.
(1) In Ex 1, the Applicant says at [2] - [4], she has had approaches from schools to do casual work and wants to take it up, but "In my state of mind [on 25 August 2025] was not aware" that unless her case is "heard on its merits, [she would] be permanently prevented from returning to work as a teacher with the Respondent". As it was said in reply submissions, at that time she was "unsure of the implication of it"[5], the "it" as I understand it being the discontinuation of the proceedings and the consequent lack of opportunity for future employment with the Respondent.
(2) On 25 August 2025, the Applicant says (Ex 1at [6]), she was "overcome with anxiety and not in a proper state of mind to make any informed decision about discontinuing my case". She otherwise described (at [7]) ongoing flashbacks and nightmares connected with violent workplace events, which have impacted [her] ability to manage the litigation without medical support". It was said the Commission should accept the medical evidence in Ex 2 - 8 is corroborative of the fact the Applicant had a mental health condition (specifically, PTSD and depression) that resulted in overwhelming anxiety on 25 August 2025 such that she could not make a proper informed decision about the discontinuation of the proceedings.
(3) The Respondent will suffer "minimal" prejudice if the matter is restored to the list because evidence and witnesses remain available.
(4) The Applicant will suffer significant prejudice as the grounds of dismissal are damaging to her professional reputation, she will be shut out from employment from a large employer of teachers in this State, and that may potentially result in the loss of a teaching career and livelihood.
(5) The Commission must have a power to set aside a Notice of Discontinuance if to do so is in the interests of justice. The Applicant has acted in "good faith" throughout her employment and these proceedings. Setting aside the Notice of Discontinuance and restoring the matter to the list is the proper course in the interests of justice.
(1) Parts 12, 18 and 36 of the UCPR apply to proceedings before the Commission and govern notices of discontinuance, motions filed in the Commission, and the Commission's ability to set aside and vary judgments and orders.[6] None support a power to set aside a NOD:
(a) The legislature intended that whilst a NOD under UCPR 12.1 did not extinguish underlying rights (UCPR 12.3), any attempt to pursue those rights would be by way of fresh proceedings rather than by setting aside a NOD. Unlike other parts of the UCPR, there is no provision in Part 12 or elsewhere to permit application to set aside an NOD. The Applicant is seeking to circumvent UCPR 12.3 and the out of time issues that would arise on any such fresh proceedings, and for this reason the Motion should be dismissed.
(b) It is implicit in UCPR 18.1 that a motion may only be made in extant proceedings. These proceedings were ended on 25 August 2025. There are no active proceedings in which the Motion can be filed and heard. The motion is invalid. This is the approach taken by Courts in similar circumstances regarding the setting aside of consent orders dismissing a matter: see Spies v Commonwealth Bank of Australia (1991) 24 NSWLR 691 at 697 per Handley JA where it was observed: "...it is ...established that the jurisdiction to set aside a consent order on such a ground should be involved by a new action brought for that purpose and not by a motion in the original proceedings...". There is a distinction between the "dismissal" and "discontinuance" of proceedings, but the absence of an equivalent provision in the UCPR to what is found in Division 4 of Part 36 of the UCPR (relating to dismissed proceedings) reinforces that the proper approach in circumstances such as these is reflected in UCPR 12.3 by way of fresh proceedings[7]. The motion is invalid and should be dismissed.
(c) UCPR Part 36, being the power relied upon by the Applicant in the Motion, does not apply to proceedings discontinued by consent under UCPR 12.1(1)(a): there is no decision, judgment or order of the Commission when a matter is discontinued under that Rule. The Applicant's reliance on Part 36 of the UCPR is misplaced. The motion should be dismissed.
(2) If, contrary to the Respondent's primary argument the Commission finds there is the capacity to consider the Motion in the former unfair dismissal proceedings, it should be refused. By parallel of reasoning with the approach taken when setting aside dismissed proceedings under UCPR Part 36, any such discretion should be exercised "sparingly and with caution" having regard to the importance of the finality of litigation - any such discretion "does not give a licence to disgruntled litigants to re-agitate, in the hope of obtaining a more favourable outcome, issues that have been determined against them"[8]. The circumstances in which such a discretion may be considered were discussed in Laramie v Caul [2018] FCCA 1371, MZZIO v Minister for Immigration and Anor [2014] FCCA 618, albeit both need be considered in light of the subsequent Full Court decision in Chen v Monash University [2016] FCAFC 66 at [46] - [47]. None of those circumstances apply here. The Commission would accept what was said by the Court in Dalal & Dalal (No.2) [2019] FCCA 3332 at [61] - [62], and in particular "Just as parties cannot simply have final consent orders set aside because they regret agreeing to them, parties should not be able to simply withdraw a notice of discontinuance because they changed their minds".
(3) It has been held a NOD filed due to mistake or duress may be set aside[9], but there is no relevant mistake or duress here:
(a) There is no claim of duress. To the extent there may have been concern arising from the potential Mr Sharma may not have been given leave to appear, that was addressed by the Commission prior to the NOD being filed, and was expressly disavowed by Mr Sharma as a reason for the NOD.
(b) The medical records at Ex 2 to 8 are entirely unsatisfactory. They are inconsistent in the description of diagnosis. They are inconsistent as to whether the Applicant was taking medication. They say nothing about the impact of the Applicant's condition on her ability to make rational and informed decisions at any time. They certainly do not permit a finding that as at 25 August 2025, the Applicant's capacity to make decisions was so corrupted by any medical condition (and the evidence about what medical condition she may have is entirely unsatisfactory in any event), that her decision to discontinue the proceedings was not a genuine informed decision. The evidence does not explain how her medical condition changed overnight such that she could then make a rational decision the following day. The evidence, including the chronology of events, is more consistent with the Applicant simply having changed her mind about discontinuing the proceedings. What happened between the discontinuance of the proceedings mid-morning 25 August and the time the motion was filed the next day, that led the Applicant to the realisation that she could not secure casual teaching with the Respondent absent having her case heard is entirely unexplained. It is entirely within her knowledge. At the Directions hearing on 29 August 2025 she was directed to provide that explanation in her affidavit. She hasn't. The Commission would not accept the Applicant's claimed misunderstanding of her ability to pursue future employment with the Respondent, absent cross-examination.
(c) To the extent the Applicant suggests she was operating under some misunderstanding, there is no evidence of any relevant mistake. There is no evidence that on 25 August 2025 the Applicant did not understand the effect of the NOD, or did not understand what she was signing when she signed the NOD. Her suggested misunderstanding in Ex 1 at [2] - [4], was not a misunderstanding about what the document was (ie the NOD), or the effect of the NOD on the continuation of the proceedings. Her misunderstanding appears to be whether her dismissal and the circumstances surrounding her dismissal meant she could no longer work for the Respondent in any teaching capacity. That is not a relevant mistake. That reflects no more than the Applicant having changed her mind, after she realised that the Respondent would not employ her to teach. The Respondent's position as to her future teaching had been very clear in both the Penalty Letter and the Dismissal Letter. How it was misunderstood was not explained. In any event, that is not a mistake about the effect of a NOD on the continuation of her proceedings. Absent the evidence being tested, the Commission would not accept the Applicant had any such misunderstanding.
(4) The chronology of events, the absence of any proper explanation from the Applicant about how and why the proceedings were discontinued, and what happened overnight that caused her to change her mind, supports a finding that the NOD and the Motion to have it set aside, are a tactic - they are both steps in a scheme to avoid the Applicant having to get in the witness box on 25 August 2025, and to force an adjournment that they knew would be opposed if it was made, and as such an abuse of process. It should be dismissed.
(5) The Motion is frivolous or vexatious, and/or has been instituted without reasonable cause. If the Motion is dismissed, the Respondent seeks an opportunity to be heard on costs.
active party, in relation to any proceedings, means a party who has an address for service in the proceedings, other than -
(a) a party against whom judgment has been entered in the proceedings, or
(b) a party in respect of whom the proceedings have been dismissed, withdrawn or discontinued, being, in either case, a party against whom no further claim in the proceedings subsists.
"12.1 Discontinuance of proceedings
(1) The plaintiff in any proceedings may, by filing a notice of discontinuance, discontinue the proceedings, either as to all claims for relief or as to all claims for relief so far as they concern a particular defendant -
(a) with the consent of each other active party in the proceedings, or
(b) with the leave of the court.
(2) A notice of discontinuance -
(a) must bear a certificate by the plaintiff, or by his or her solicitor, to the effect that the plaintiff does not represent any other person, and
(b) except where it is filed with the leave of the court, must be accompanied by a notice from each party whose consent is required by subrule (1) to the effect that the party consents to the proceedings being discontinued in accordance with the notice of discontinuance.
(3) If any such consent is given on terms, those terms are to be incorporated in the notice of consent.
(4) If any party has not been served with the originating process, the plaintiff must file an affidavit to that effect.
(5) For the purposes of this rule, proceedings on a cross-claim are taken to be different proceedings to the proceedings on the originating process and to proceedings on any other cross-claim.
...
12.3 Effect of discontinuance
(1) A discontinuance of proceedings with respect to a plaintiff's claim for relief does not prevent the plaintiff from claiming the same relief in fresh proceedings.
(2) Subrule (1) is subject to the terms of any consent to the discontinuance or of any leave to discontinue.
(a) is not bound to act in a formal manner, and
(b) is not bound by the rules of evidence and may inform itself on any matter in any way that it considers to be just, and
(c) is to act according to equity, good conscience and the substantial merits of the case without regard to technicalities or legal forms.
(1) the power to "make any amendments to the proceedings that the Commission considers to be necessary in the interests of justice", "at any stage of the proceedings" and on such terms thought fit in s 170(1) and (2) of the IR Act (emphasis added); and
(2) the power to " wholly or partly set aside the proceedings, a step taken in the proceedings, or a decision in the proceedings" in subsection 170(4) operates in connection with s 170(3) (emphasis added): "If this Act, the regulations or a rule of the Commission is not complied with in relation to the institution or conduct of proceedings before the Commission, the failure to comply is to be treated as an irregularity and does not nullify the proceedings, any step taken in the proceedings, or any decision in the proceedings".
(1) Does the Commission have a discretionary power to set aside a NOD regularly prepared and filed with the Commission in accordance with UCPR 12.1(1)(a); and if so
(2) Ought the discretion to set aside the NOD of 25 August 2025 be exercised in the Applicant's favour on this occasion.
"Even where the separate procedure of a motion for a new trial might be concurrently available, if fraud is alleged then a fresh action will generally be the appropriate application relying upon the power to set aside a perfected judgment of any court for fraud. Independent proceedings, even where the application is to set aside an appellate court's decision, can permit "the whole issue [to] be properly defined, fought out, and determined".
"The court may, at any time and from time to time, give such directions and make such orders for the conduct of any proceedings as appear convenient (whether or not inconsistent with these rules or any other rules of court) for the just, quick and cheap disposal of the proceedings".
(a) is not bound to act in a formal manner, and
(b) is not bound by the rules of evidence and may inform itself on any matter in any way that it considers to be just, and
(c) is to act according to equity, good conscience and the substantial merits of the case without regard to technicalities or legal forms.
"...the fact that [a NOD], was effective to terminate the whole action does not mean that thereafter there were no proceedings between the parties...The discontinuance could be rescinded as in the Owners of the Cargo of the "Kroprinz" not in separate proceedings but in the proceedings in which the notice was filed. The proceedings did not cease to exist but remained. Further steps could be taken by the parties in the proceedings such as rescission of the notice of discontinuance or removal into the Supreme court. Whether such order should be made was of course another question"[29].
"Certainly, again speaking as a general proposition, a court has a discretion whether or not to give leave to allow the withdrawal of a notice of discontinuance and such leave ordinarily would only be given when it would be more likely to allow justice to be done and that the administration of law and justice may well be served by a power to reinstate proceedings: see Fowler v Renmark and FAI General Insurance Co Ltd v Southern Cross Exploration NL [1988] HCA 13; (1988) 165 CLR 268 at 288 per Gaudron J"
"There is no doubt that the effect of a discontinuance is to bring an action to an end. In a line of cases, beginning with Whistler v Hancock [1878] UKLawRpKQB 3; (1878) 3 QBD 83, most of them relating to self-executing orders, it was held that once an action had been dismissed, even for non-compliance with a procedural direction, and so was at an end, the court had no inherent power to revive it. The unfortunate consequences of such a rule soon being apparent, considerable judicial ingenuity was spent thereafter in devising ways of avoiding in certain cases its strict application - see, for example, Carter v Stubbs (1880) QBD 116 - but the soundness of the underlying reasoning was not generally doubted. It was applied by the High Court in Goodwin v Southern Tablelands Finance Co Pty Ltd (noted (1968) 42 ALJR 309) and Bailey v Marinoff [1971] HCA 49; (1971) 125 CLR 529 and Gamser v Nominal Defendant (1977) 136 CLR 145. Two things are to be noted, however, about the rule in_, Whistler v Hancock_ (supra). Its authority in this country has been severely qualified, if not practically destroyed, by the recent decision of the High Court in FAI General Insurance Co Ltd v Southern Cross Exploration NL [1988] HCA 13; (1988) 62 ALJR 216. (Whistler v Hancock had already been overruled in England. See Samuels v Linzi Dresses Ltd [1981] QB 115.) Secondly, Whistler v Hancock and the cases that followed it were concerned with the inherent jurisdiction, whereas the plaintiff here relies upon a rule of court. Cf the FAI case (supra).
In my opinion, par (b) of r 3.04 should not be interpreted in a way that would deny the Court's power to allow a notice of discontinuance to be withdrawn. No doubt there is a sense in which, the action being at an end, the different steps that were taken while it was extant are thereby, in effect, obliterated, so that no order can now be made effectually with respect to them. However, it is also correct to say that, if the notice of discontinuance was a step in the proceeding at the time it was filed and delivered, nothing done thereafter can deprive it of that historic character. It is of the nature of par (b) of r 3.04 that it will always operate retrospectively, in the sense of acting upon something that has happened in the past, and there is no obvious justification for excluding from its operation a step that was taken in an action that is no longer on foot. Of course, when it comes to the exercise of a discretion to permit the step to be withdrawn the Court will give much weight to the general principle that there must be an end to litigation, but that is another matter. So far as the power is concerned, it is large enough, in my judgment, to permit the withdrawal of a notice of discontinuance, even though that means that the Court will be making an order that has the effect of reviving a dead action. A liberal construction of r 3.04 - if that is what it is - is more likely to allow justice to be done, and is certainly consonant with the general purpose of the Supreme Court Rules as explained in Rule 2."
(1) Contrary to the view she seems to hold (as reflected in her affidavit), the Applicant:
(a) Has no "statutory right to reinstatement" to preserve (cf affidavit at [9]);
(b) No longer has "a fundamental right to be heard in these proceedings" (cf affidavit at [1]). The Commission did not summarily terminate her proceedings[35]. She certainly had such a right prior to her discontinuing the matter, but having done so, the only means by which those proceedings may continue is by some dispensation by the Commission (either by this motion, or failing that, but an extension of time to file any fresh proceedings should they be brought). She of course has the right to be heard on this motion, and has been, but a right to be heard is not a right to succeed.
(c) There is no "denial of natural justice" visited upon the Applicant (cf affidavit at [1]) by either the Commission or the Respondent, by the Applicant being held to her choice to first seek the Respondent's consent to discontinue the proceedings, and for the proceedings to come to an end by her election to discontinue when that consent was forthcoming. There was no inducement or promise made by the Respondent about the future performance of work for the education service. The correspondence that preceded her dismissal was emphatic and there is nothing in the evidence before me that explained how it could be the subject of any misunderstanding, or how any misunderstanding was realised. The Commission expressly warned the Applicant that there was no other route to reinstatement other than these proceedings immediately prior to the NOD being filed.
(2) Where fresh proceedings may be commenced (because the underlying merits of a cause of action or claim have not been determined), the significant weight ordinarily afforded the finality of litigation may be seen as having significant, but somewhat diminished, weight. As Gaudron J observed in FAI General Insurance Co Ltd v Southern Cross Exploration NL[36], by reference to the reasoning of Barwick CJ in Bailey v Marinoff[37], "a distinction should...be made between orders operating by way of final determination of the matter in issue and orders dismissing proceedings but leaving it open to a party to commence fresh proceedings"[38]. In that case, her Honour remarked (at 288):
"Where an order for dismissal does no more than effect a situation in which fresh proceedings may be brought (involving additional expense and duplication of court time if, as here, there has been a hearing as to the issues in dispute or some of them) then it seems to me that the administration of law and justice may well be served by a power to reinstate proceedings."
The Applicant may, whatever my view on this application, initiate fresh proceedings alleging her dismissal was harsh, unjust or unreasonable[39]. Where discontinuance of proceedings brings the proceedings to an end, the later commencement of fresh proceedings may work no unfairness to the defendant[40]. For that reason, the weight to be afforded notions of finality of litigation, albeit ever present as a consideration, are somewhat reduced in this context. The obvious issue standing in the way is the time limitation imposed by s 85 of the IR Act, albeit an extension of time may be possible (see s 85(3)). The Applicant did not raise this matter, but I recognise the very fact that a limitation period impairs the ability of a party to pursue "fresh proceedings", in an appropriate case, may be a matter that "strongly favours" the grant of leave to withdraw an NOD[41]. Given the obligation to exercise discretion in dealing with procedural matters in a manner best suited to facilitate the just, quick and cheap disposition of the proceedings, if the Applicant had satisfactorily explained how the matter came to be discontinued, and otherwise demonstrated a sufficiently arguable case, I would consider it appropriate to set aside the NOD (particularly where, as here, the preparations for hearing were essentially complete). But that is not this case.
(3) Despite my attempts to guide the Applicant to ensure she provided an explanation for how and why the proceedings came to be discontinued in the affidavit I directed she provide, she failed to do so. This factor warrants further consideration below. It is sufficient for present purposes to record that in the absence of any proper explanation for how the Applicant's position came to change, the most likely rational and logical inference is that she simply changed her mind. If she had a reason that reflected more favourably on the Applicant's change of position, she could (and should) have said so. It is exclusively a matter within her knowledge.
(4) Fourth, I do not accept the Respondent would suffer no relevant prejudice, although it should be immediately said such prejudice would not be sufficient of itself to reject the application if it otherwise appeared meritorious. The discontinuance happened on the first day of a 7-day hearing. The Respondent had briefed counsel to appear and may well have made arrangements for various witnesses to be available. Costs thrown away are likely to have been significant. Dates for any future hearing of that magnitude are unlikely to be available for some time. The Respondent will no doubt incur further costs associated with the preparation and conduct of that further hearing. UCPR Part 42 does not apply to the Commission, and in my preliminary view, s 181(2)(c) of the IR Act would not appear to enable costs orders to be made to ameliorate that prejudice. I accept that on the evidence there is no reason to think witnesses would likely become unavailable or that any delay would be such as to materially prejudice recollections. Nonetheless, the Respondent would suffer some prejudice in the form of irrecoverable costs if the matter were restored and permitted to run. The efficient use of the public resources of the Commission to deal with this and other matters competing for time before the Commission, is also a significant consideration.
(5) Fifth, one question that must always arise in an application seeking to restore a matter to the list whether dismissed (other than on the merits), or discontinued, must be whether any useful purpose would be served by setting aside the discontinuance or dismissal. That invites a consideration of the Applicant's prospects of success - or more accurately, whether there is a real (as opposed to theoretical) likelihood that it would be unjust to hold the Applicant to her decision to discontinue the proceedings (and thereby deny the Applicant the opportunity to have the matter finally determined on its merits). For this purpose, the Applicant need not demonstrate a likelihood of success. The Applicant addressed these matters in paragraphs numbered [9] - [23] of the Grounds in the Motion (and paragraphs [10] and [11] of Ex 1). Because the Applicant was not legally represented, I also reviewed her submissions (in chief and reply), and her statements of evidence (in chief and reply). Taking the matters outlined in the Grounds of the motion (which relate to the adequacy and fairness of the assessment of performance during the TIP, and the fairness of the conclusion the Applicant failed the TIP despite some performance improvement over its term), and the other matters raised in the submissions at their highest, conscious that the protection of children is to be the paramount consideration[42], I am not satisfied that there is any real likelihood that it would be unjust to refuse this application.
(1) Paragraphs [2] - [4] essentially describe the Applicant having operated under a mistaken view that if she discontinued these proceedings she may have been able to continue casual employment with the Respondent (it is not clear what "distinction" she is referring to, but that seems to be the substance of what she is saying). The reference to her "state of mind" in paragraph [4], appears to refer to paragraph [6], in which she says she was "overcome with anxiety and not in a proper state of mind to make an informed decision about discontinuing my case".
(2) Mr Sharma invited me to accept, based on the evidence showing the Applicant had a mental health condition (see Exhibits 2 - 8), and her evidence in the affidavit at [6], that on 25 August 2025 she was overwhelmed by anxiety and did not understand that by discontinuing the proceedings she would not be able to perform casual work for the Respondent.
(1) In the course of argument on 25 August 2025 (in particular in reply to submissions that the NOD and Motion were a tactic and abuse of process), Mr Sharma had indicated part of the reason for the NOD was the Applicant was not fit to give evidence on 25 August 2025, and that his wife's desire to not get in the witness box was not some tactic, but because of a genuine medical condition[43];
(2) The Applicant was in the Commission premises, but not in the court-room, when the matter was discontinued on 25 August 2025;
(3) The Applicant's reluctance to, as the Respondent said, take the few short steps to the witness box at the hearing of this motion on 3 September 2025, to answer questions in cross-examination arising from her affidavit filed in support of this motion, was again because of the Applicant's claimed unfitness to give evidence. It was that unfitness to give evidence at the hearing of this motion because of that mental health condition that was relied upon by Mr Shama to support a grant of leave to rely upon the Applicant's affidavit on the motion absent cross-examination. That same medical evidence was relied upon to establish the Applicant unable to give instructions to discontinue the matter on 25 August 2025.
(1) First, the medical evidence just does not say that. It is one thing to establish the Applicant has a medical condition. It is entirely another to say that that medical condition, on a particular day, led to her being incapable of rational thought or decision making. The evidence does not permit that conclusion.
(2) Second, taken at its highest, the Applicant's evidence is she was (without any suggestion of representation or promise from the Respondent) operating on a mistaken view that if she discontinued these proceedings she may have been able to continue casual employment with the Respondent. Even if that is accepted, as the Respondent argued, that is not a relevant 'mistake' for the purpose of this motion. A relevant mistake would be a mistake about the effect of an NOD on these proceedings. It is not suggested the Applicant did not understand the document she signed on 25 August 2025 was a NOD, or that she did not understand that by signing it she was indicating her desire that these proceedings be brought to an end, or that by bringing these proceedings to an end she would lose the chance to have a decision of this Commission considering whether her dismissal was harsh, unjust or unreasonable. There is no suggestion she did not instruct Mr Sharma to file the NOD (she signed) in Court, or that when he did that, she did not appreciate it would bring the proceedings to an end. Indeed, the very fact she was so anxious would support the conclusion that bringing these proceedings to a close without her having to mount the witness box is precisely what she wanted to have happen. That she subsequently changed her mind does not mean she did not understand or was mistaken or was in some way misled as to what was happening on 25 August 2025.
(3) Third, the affidavit does not explain three important matters:
(a) It does not explain what the Applicant in fact understood about her ability to continue work as a teacher with the Respondent, given the terms of the Show Cause, Penalty and Dismissal letters as at 25 August 2025 (or what led her to that view, particularly in light of what was said in the reply affidavit and reply submissions filed by her on 21 August 2025).
(b) On 25 August 2025, Mr Sharma explained that his wife had lawyers acting for her in other proceedings, and the discontinuance in part was based on the advice she had received from those lawyers. That led me to raise with Mr Sharma a concern that his wife may have been operating on a misunderstanding as to the potential to secure reinstatement with the Respondent from the Personal Injury Commission. Mr Sharma's answers (extracted above) indicated it was understood that reinstatement was not available elsewhere. The proceedings were then adjourned, at which time Mr Sharma could and should have raised that matter with his wife, if he had any concerns arising from that exchange. In Mattner v Director of Public Prosecutions (Cth) [2011] SASC 89; (2011) 252 FLR 239 at [59], Kelly J of the Supreme Court of South Australia (referring to R v Brain [1999] SASC 358; (1999) 74 SASR 92 at [76]- [77]) said:
"It would only be in very unusual circumstances that a person who had filed a notice of discontinuance in the exercise of a deliberate choice based on legal advice by senior counsel, would ever be permitted to withdraw that notice."
The Applicant obviously did not have advice of senior counsel. However, I was advised at the time of the discontinuance that the Applicant chose to discontinue the proceedings after having legal advice about the relief she may be able to receive in other proceedings before the Personal Injury Commission. Having heard that explanation on 25 August 2025, I specifically sought to address any potential misunderstanding as to the Applicant's ability to secure reinstatement in other proceedings elsewhere, with her representative. On the evidence, the Applicant chose to discontinue these proceedings in part based on legal advice and otherwise in the face of my observation she could not secure reinstatement through proceedings elsewhere. The Applicant's affidavit is entirely silent on that exchange with Mr Sharma, despite me having provided her the transcript of the proceedings on 25 August 2025 (at the Directions hearing held on 29 August 2025), and asking her to take that transcript into account in whatever explanation she provided in her affidavit. Moreover, the affidavit does not explain what information she was supplied (or what otherwise changed her position) between the time the matter was discontinued on 25 August 2025, and the time the Notice of Motion was filed on 26 August 2025. Exhibit 1 does not say, for example, she got further advice or clarification from her personal injury lawyers. It does not say, for example, her husband raised with her the exchange I had with him about reinstatement for the first time after the NOD was filed (ie it does not claim representative error). It does not say, for example, she went back and re-read the Show Cause letter and/or Penalty letter and/or Dismissal letter. It says nothing of what transpired over night to cause her to have the NOD set aside.
"Just as parties cannot simply have final consent orders set aside because they regret agreeing to them, parties should not be able to simply withdraw a notice of discontinuance because they changed their minds."
· Did the applicant knowingly and voluntarily file the Notice of Discontinuance?
· Was a valid explanation given as to why the Notice of Discontinuance was filed?
· Was the filing of the Notice of Discontinuance procured by fraud or duress?
· Was it filed pursuant to a void or voidable agreement?
· Did the filing of the notice otherwise involve an abuse of process?
· Is the setting aside of the notice necessary to ensure that the Court's process does not cause an injustice?
· If the Notice of Discontinuance was set aside, does the applicant have no reasonable prospect of success?
· Is there any prejudice occasioned to either party by the grant of an order setting aside the notice or, conversely, by the refusal to grant such an order?
· Whether in all of the circumstances it is just to set aside the notice and whether on discretionary grounds an order should be made setting aside the Notice of Discontinuance.
(1) The Applicant's Notice of Motion seeking to set aside the Notice of Discontinuance dated 25 August 2025, is dismissed.
(2) Any application for costs in connection with the Applicant's Notice of Motion is to be made within 14 days of the publication of this decision.
[1] LB v Secretary, Department of Education (No.3) [2025] NSWSC 940
[2] LB v Secretary, Department of Education (No.2) [2025] NSWSC 939
[3] See LB v Secretary, NSW Department of Education [2025] NSWSC 892, published 8 August 2025
[4] See Bauskis v Liew [2013] NSWCA 297 Gleeson JA (Beazley P and Barrett JA agreeing) at [66] - [70], in particular at [69]: "Thirdly, the duty of a trial judge to assist an unrepresented litigant does not extend to advising the litigant as to how his or her rights should be exercised. That is, it is not the function of the court to give judicial advice to, or conduct the case on behalf of, the unrepresented litigant: see Bhagwanani v Martin [1999] SASC 406 ; (1999) 2004 LSJS 449; Clark v State of New South Wales (No 2) [2006] NSWSC 914."; see also Chalik v Chalik [2025] NSWCA 136 at [69] - [72]
[8] Referring to Majak v Rose (No.5) [2017] NSWCA 238 at [12] - [13]
[9] Referring to Olofsson v Oloffson [2019] FCCA 3467
[10] See Section 4, Schedule 1 that provides the CPA applies to all civil proceedings before the Commission when not in Court Session, subject to UCPR rules 1.5 and 1.6, noting Schedule 1 Columns 3 and 4 do not exclude either Part 7 of the CPA or Part 36 of the UCPR. Similarly, the Industrial Relations Commission Rules 2022 rules 1.5 and 1.6, and Schedule 1, do not exclude either CPA Part 7 of UCPR Part 36.
[14] For example, s 162(2)(h) of the IR Act
[16] See for example, UCPR 6.31(2), 11.6, 12.7 - 12.9, 13.6, 15.6, 20.29, 22.5, 23.9, 29.7, 29.8, 31.36, 42.21, 50.8, 51.8, Schedule 10 rule 3; Schedule 11 Part 2, rules 19,20, 31
[17] Generally, service is only required on an "active party" (UCPR 10.1(1)), but Part 10 contemplates service on someone who is not an active party: see UCPR 10.5, 10.16. UCPR 18.3(1)(c) contemplate a motion being made by a person who is not an active party. UCPR 18.5(b) contemplates service on a person against whom orders are sought that is not currently an active party.
[18] Noted by the Full Court of the Tasmanian Supreme Court in Professional Health Partners Pty Ltd v Spiers & Others (2010) 20 Tas R 126 at [17]
[20] See by way of parallel Buksh v Ramsay Health Care t/a Peninsula Private Hospital [2020] FWCFB 4352 at [19] ; Narayan v MW Engineers Pty Ltd [2013] FWCFB 2530 at [6]
[21] Cf AB v TabCorp [2015] FWCFB 523 referred to at RSUB[25]
[22] Baffico v YMCA of Great Lakes Inc [2014] NSWCA 61 at [34]
[23] See for example Halpin & Ors v Lumley General Insurance Ltd [2009] NSWCA 372 at [90] - [92]
[24] Smith v NRMA Insurance Limited [2016] NSWCA 250 at [35]
[25] There is nothing in the IR Act that would deny a power to set aside a NOD in appropriate circumstances
[26] See Narayan v MW Engineers Pty Ltd [2013] FWCFB 2530 at [11] - [14] and Tomlinson v Leveda Inc (1996) 65 IR 178.
[27] Narayan at [13], referring to s 578(b) of the Fair Work Act 2009 (Cth).
[28] See for example Anthony v Maxam Australia Pty Ltd [2012] TASFC 5 at [6]
[29] KBRV Resort Operations Pty Ltd v Chilcott [2001] NSWCA 116; (2001) 51 NSWLR 516 at [40] per Sheller JA, with whom Ipp AJA and Grove AJA agreed, referring to Owners of the Cargo of the "Kronprinz", v Owners of the "Kronprinz" (The "Ardandhu") [1887] UKLawRpAC 7; (1887) 12 App Cas 256. KBRV Resort Operations Pty Ltd v Chilcott has been applied on a number of occasions, including by this Backman J of this Commission in DPP v PSAPOA of NSW ob Tupua and Shearman [2007] NSWIRComm 121 at [15] - [16]
[31] Fowler v Renmark (1988) 51 SASR 506 at 507; Castanho v Brown & Root [1981] AC 557
[32] See for example Castanho v Brown & Root [1981] AC 557 at 571; Packer v Meagher [1984] 3 NSWLR 486 at 491A to C, Chen v Monash University [2016] FCAFC 66; (2010) 244 FCR 424 at [40] - [41]
[33] Chen v Monash University [2016] FCAFC 66; (2010) 244 FCR 424 at [46]
[34] Williams v Spautz (1992) 174 CLR 509; [1992] HCA 34 at 529 per Mason CJ, Dawson, Toohey and McHugh JJ.
[35] Cf the discussion of the "fundamental right" to bring and continue proceedings in Batistatos v Roads and Traffic Authority of New South Wales [2006] HCA 27; (2006) 226 CLR 256;
[37] [1971] HCA 49; (1971) 125 CLR 529 at 530
[38] See more recently recognition of a similar concept in the context of setting aside a judgment rendered in the absence of a party: Petrou v Vassiliadis [2025] NSWCA 174 at [10]
[40] UBS AG v Tyne [2018] HCA 45; (2018) 265 CLR 77 at [52]
[41] See for example KBRV Resort Operations Pty Ltd v Chilcott [2001] NSWCA 116; (2001) 51 NSWLR 516 at [41] per Sheller J, with whom Ipp J and Grove J agreed, where it would appear an error was made in deciding to discontinue proceedings in the District Cout because of a jurisdictional limit to pursue proceedings in the Supreme Court (due to an initial error in the jurisdictional limits of the District Court), rather than seeking to transfer the case whilst it was still on foot: "To read the section as preventing a party which has erroneously begun proceedings in the District Court, believing there to be jurisdiction when there was not, from removing them into the Supreme Court where there was jurisdiction would indeed be a triumph of form and technicality over substance and merit". In Fowler v Renmark (1988) 51 SASR 506 at 509, Cox J considered the prejudice to a Respondent in permitting a discontinuance to be withdrawn arising from "its loss of a defence under the Limitation of Actions Act 1936" if left to commence fresh proceedings was "not enough" and in that case "would be quite unjust".
[43] See for example the exchange with Mr Sharma at TS 3/9/2025 pg 58 lines 39 - 44
[44] NSW Department of Education v Buchanan [2019] NSWIRComm 1022
[45] Applicant Reply Submissions at [48(I) - (iii)] - [49]
[46] In a number of cases including Laramie & Caul [2018] FCCA 1371, Olofsson & Olofsson [2019] FCCA 3467, Dalal & Dalal (No 2) [2019] FCCA 3332, Cao & Trong [2019] FamCA 336, Maddison v Qualtime Association Inc [2010] FMCA 25, and MZZIO v Minister for Immigration & Anor [2014] FCCA 618.
[47] TS 3/9/2025 pg 61 line 20 - 23, 44-45, pg 63 line 16 - 19
[48] LB v Secretary, NSW Department of Education (No 2) [2025] NSWSC 939
Boncales
Secretary, Department of Education
Clone Pty Ltd v Players Pty Ltd (In Liquidation)(Receivers & Managers Appointed) & Ors [2018] HCA 12
Narayan v MW Engineers Pty Ltd [2013] FWCFB 2530
KBRV Resort Operations Pty Ltd v Chilcott [2001] NSWCA 116; (2001) 51 NSWLR 516
Re Criminal Property Confiscation Act 2000 (WA); Ex parte DPP (WA) [2002] WASC 117; (2002) 130 A Crim R 581
FAI General Insurance Co Ltd v Southern Cross Exploration NL [1988] HCA 13; (1988) 62 ALJR 216
Chen v Monash University [2016] FCAFC 66; (2010) 244 FCR 424
Dalal & Dalal (No.2) [2019] FCCA 3332
(1991) 24 NSWLR 691
(2001) 51 NSWLR 516
(1988) 51 SASR 506
(1988) 62 ALJR 216
(1996) 65 IR 178
(2010) 244 FCR 424
(1956) 95 CLR 235
(1988) 165 CLR 268
(1968) 42 ALJR 309
(1971) 125 CLR 529
(1977) 136 CLR 145
(2011) 252 FLR 239
(1999) 74 SASR 92
(2010) 20 Tas R 126
(1992) 174 CLR 509
(2006) 226 CLR 256
(2018) 265 CLR 77