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[2019] NSWCA 319
Court of Appeal (NSW)
2019-11-05
Gleeson JA, Payne JA, Brereton JA
Original judgment source is linked above.
609 Platford v van Veenendaal and Shoalhaven City Council (No 2) [2018] NSWLEC 86 Rodger v De Gelder (2011) 80 NSWLR 594; [2011] NSWCA 97 Seller v Jones [2014] NSWCA 19 Spratt v Perilya Broken Hill Ltd; Spratt v Rowe [2016] NSWCA 192 Zurich Australian Insurance Ltd v Lewis [2019] NSWSC 1232 Texts Cited: K Lewison and D Hughes, The Interpretation of Contracts in Australia (Thomson Reuters, 2012) RF Norton, A Treatise on Deeds (Sweet and Maxwell, 1906) N Seddon, Seddon on Deeds (Federation Press, 2015) GP Stuckey, The Conveyancing Act, 1919-1969 (Law Book Co, 2nd ed, 1970) Halsbury's Laws of England (Butterworth & Co, 2nd ed, 1933) Category: Principal judgment Parties: Qianxia Lou (Appellant) IAG Limited t/as NRMA Insurance (First Respondent) State Insurance Regulatory Authority of New South Wales (Second Respondent) Helen Wall, in her capacity as a Claims Assessor of State Insurance Regulatory Authority of New South Wales (Third Respondent) Representation: Counsel: A Stone SC / J Gumbert (Appellant) M Robinson SC / J Lucy (First Respondent)
Solicitors: AJB Stevens (Appellant) Hall & Wilcox (First Respondent) File Number(s): 2019/00189102 Publication restriction: Nil Decision under appeal Court or tribunal: Supreme Court of New South Wales Jurisdiction: Common Law Citation: [2019] NSWSC 599 Date of Decision: 22 May 2019 Before: Wilson J File Number(s): 2018/00331495
[Note: The Uniform Civil Procedure Rules 2005 provide (Rule 36.11) that unless the Court otherwise orders, a judgment or order is taken to be entered when it is recorded in the Court's computerised court record system. Setting aside and variation of judgments or orders is dealt with by Rules 36.15, 36.16, 36.17 and 36.18. Parties should in particular note the time limit of fourteen days in Rule 36.16.]
HEADNOTE [This headnote is not to be read as part of the judgment] The appellant was injured in a motor accident in 2014. She made a claim for compensation on the first respondent, IAG Limited t/as NRMA Insurance ("NRMA"), as the CTP insurer of the vehicle at fault in that accident. Liability was admitted. The appellant lodged an application with the Claims Assessment and Resolution Service ("CARS") for general assessment pursuant to s 94 of the Motor Accidents Compensation Act 1999 (NSW). The matter was allocated to a claims assessor at the State Insurance Regulatory Authority ("SIRA"). The NRMA made an application seeking to have the matter exempted pursuant to s 92(1)(b). The claims assessor determined that the matter was suitable for assessment by CARS and declined the application for exemption. On 23 October 2018, the NRMA filed a summons in the Supreme Court seeking judicial review of the claims assessor's decision. On 5 November 2018, the appellant (the first defendant below) filed a submitting appearance "save as to costs". On 4 April 2019, the matter was heard without the appellant and her legal representatives present. On 22 May 2019, the primary judge awarded costs against the appellant in favour of the NRMA. The appellant sought leave to appeal against her Honour's decision of 22 May 2019. The issues on the appeal were: (1) Whether the primary judge erred in the exercise of the discretion to award costs against the appellant in favour of the NRMA. (2) Whether the primary judge erred in the exercise of the discretion to award the appellant a certificate under the Suitors' Fund Act 1951 (NSW). As to issue (1), Payne JA (Gleeson JA agreeing), granting leave to appeal and allowing the appeal, held: Other than UCPR rr 6.11 and 42.1 and s 98 of the Civil Procedure Act 2005 (NSW), there is no rule of court or provision dealing with the costs consequences of the filing of a submitting appearance, whether or not expressed to be "save as to costs". There is no prima facie rule that a submitting party will never be ordered to pay costs. What is called for, in all cases, is the principled exercise of the s 98 costs discretion: [41]-[43]. Oshlack v Richmond River Council (1998) 193 CLR 72; [1998] HCA 11; Latoudis v Casey (1990) 170 CLR 534; [1990] HCA 59; Seller v Jones [2014] NSWCA 19 applied. The primary judge fell into House v The King error by failing to take into account relevant considerations: (a) that the appellant did not cause the errors the subject of the proceedings before the primary judge; and (b) that these proceedings could not be resolved by consent. In re-exercising the costs discretion, it would not be appropriate to order that the appellant bear the NRMA's costs of the judicial review proceedings: [44], [46]. Zurich Australian Insurance Ltd v Lewis [2019] NSWSC 1232; Kovalev v Minister for Immigration and Multicultural Affairs (1999) 100 FCR 323; [1999] FCA 557 applied. Kisimul Holdings Pty Ltd v Clear Position Pty Ltd (No 2) (2014) 86 NSWLR 645; [2014] NSWCA 317; Mahenthirarasa v State Rail Authority of New South Wales (No 2) (2008) 72 NSWLR 273; [2008] NSWCA 201; IAG Limited t/a NRMA Insurance v Khaled [2019] NSWSC 320; Platford v van Veenendaal and Shoalhaven City Council (No 2) [2018] NSWLEC 86 distinguished. As to issue (1), Brereton JA (dissenting), refusing leave to appeal, held: No question of principle arises on the application for leave to appeal from the costs order. The decision turns on the particular circumstances of the case. The decision does not establish a precedent which would create an environment in which parties to motor accident claims are effectively forced into consenting to orders for judicial review for fear of costs awards regardless of the merits of the case: [83]-[84]. Because costs are compensatory, the proper approach is to regard the matter primarily from the perspective of the successful party. In ordering that the unsuccessful first defendant pay the successful plaintiff's costs, the primary judge was acting in accordance with that principle, in accordance with UCPR r 42.1, and in accordance with ordinary practice. No error of the kind referred to in House v The King was made in her Honour's discretionary decision: [71], [74]. As to issue (2), Payne JA (Gleeson and Brereton JJA agreeing): The decision of a claims assessor under the Motor Accidents Compensation Act is a decision of a "court or tribunal". The conclusive nature of the proceedings before the claims assessor helped characterise the nature of the claims assessor's decision as one that falls within the relevant definition of a "court or tribunal" for the purposes of the Suitors' Fund Act. A judicial review pursuant to s 69 of the Supreme Court Act 1970 (NSW) constitutes "an appeal" for the purposes of s 6 of the Suitors' Fund Act. The judicial review proceedings had the relevant characteristics of the losing party below seeking to have the decision overturned and the recontesting of the matter before a different body exercising a statutory power of review. The consequence of the exercise of jurisdiction was that the decision below was quashed and the matter remitted to be re-determined. The terms "court" and "an appeal" for the purposes of the Suitors' Fund Act should be given a broad and beneficial construction in keeping with the subject matter, scope and purpose of that Act: [63], [66]. Mahenthirarasa v State Rail Authority Of New South Wales [2008] NSWCA 101; Spratt v Perilya Broken Hill Ltd; Spratt v Rowe [2016] NSWCA 192; Insurance Australia Limited t/as NRMA Insurance v Banos (No 2) [2013] NSWSC 1668; Australian Postal Commission v Dao (No 2) (1986) 6 NSWLR 497 applied. Henderson v QBE Insurance [2013] NSWCA 480 distinguished. Rodger v De Gelder (2011) 80 NSWLR 594; [2011] NSWCA 97; Meeuwissen v Boden (2010) 78 NSWLR 143; [2010] NSWCA 253 considered. Per Brereton JA: In circumstances where NRMA would inevitably incur costs in bringing proceedings to obtain correction of the error, where the appellant did nothing to exacerbate those costs, and where she was ordered to pay NRMA's costs, declining to grant the appellant a certificate was contrary to the purpose of the Suitors' Fund Act, and worked a substantial injustice, meriting a grant of leave to appeal: [88].
Judgment
Relevant facts
The primary judgment
Grounds of appeal
Leave to appeal
Appellant's submissions
The NRMA's submissions
Consideration of ground 1
Grounds 2 and 3
Conclusion and orders
The costs order
Suitors' Fund certificate
Conclusion
Endnotes
Amendments 25 August 2020 - Corrected typographical errors and updated references for consistency at [3], [31], [39], [44], [62] and FN 3. DISCLAIMER - Every effort has been made to comply with suppression orders or statutory provisions prohibiting publication that may apply to this judgment or decision. The onus remains on any person using material in the judgment or decision to ensure that the intended use of that material does not breach any such order or provision. Further enquiries may be directed to the Registry of the Court or Tribunal in which it was generated. Decision last updated: 25 August 2020
Lou
IAG Limited t/as NRMA Insurance
[1999] SASC 113
(1986) 6 NSWLR 497
(1999) 72 SASR 596
(1936) 55 CLR 499
(2014) 86 NSWLR 645
(1999) 100 FCR 323
(2008) 236 CLR 1
(1990) 170 CLR 534
(2008) 72 NSWLR 273
(2010) 78 NSWLR 143
(1998) 193 CLR 72
(1987) 77 ALR 609
(2011) 80 NSWLR 594
(1985) 1 NSWLR 491
[1998] HCA 11
[2008] HCA 26
[1936] HCA 40
[1990] HCA 59