adjournment application on 21 March 2016
26 In February 2016, the judge fixed 21 March 2016 as the date for making further 'final' submissions following the trial of the action. On 21 March 2016 his Honour made an order in the primary proceedings dismissing the applicants' application to adjourn the hearing of further closing submissions. The applicants seek an extension of time to seek leave to appeal from that order and leave to appeal.
27 Omitting formal parts, the orders of 21 March 2016 were in the following form in proceeding NSD 975 of 2014:
THE COURT NOTES THAT:
The trial of the action has now concluded. Notwithstanding Order 1, should the second, third and fourth respondents file and serve further written submissions by 10 May 2016 directed to the issues about which they wish to make further submissions, the Court will take those submissions into account in the determination of the issues the subject of the trial and in the event that the applicants wish to address submissions in response, the Court will take those submissions into account provided that those submissions are put on within one week of receipt of any submissions of the second, third and fourth respondents. The Court proposes to give judgment in the matter by 31 May 2016.
THE COURT ORDERS THAT:
1. The application of the second, third and fourth respondents to adjourn the hearing of further closing submissions on 21 March 2016 is dismissed.
2. The second, third and fourth respondents pay the costs of the applicants of the appearance on 21 March 2016.
28 Orders in substantially the same terms were made in the related proceeding NSD 1019 of 2014.
29 At the time the orders were made, the applicants' case was that they needed additional time to gain the approval of Mr Minus' professional indemnity insurer to obtain a copy of the transcript and the assistance of senior counsel to make submissions on his behalf. Mr Minus specifically deposed that, on 21 March 2016, the judge "refused to allow [him] the time required to obtain legal support for a transcript and senior counsel representation and formally denied [him] procedural fairness by dismissing the applications to adjourn the hearing of further closing submissions".
30 Broadly speaking, the applicants' submission before me was that his Honour denied them procedural fairness in the conduct of the hearings because he did not allow them the time they sought to obtain legal assistance and, in particular, did not allow Mr Minus to defend himself against potentially serious allegations. In written submissions, the applicants submitted that "[t]he refusal of the Court to allow [them] time to obtain assistance to deal with the oral submissions of Senior Counsel for the applicants at the trial, leaves the Applicant for leave to Appeal, Mr Minus, potentially exposed to substantial injustice, and serious adverse findings which would impact upon his livelihood, professional reputation and standing as an experienced practitioner of 25 years"; and "could also expose Mr Minus to the potential for professional disciplinary action in circumstances where he was denied the opportunity to adequately rebut allegations put in cross-examination". Mr Minus reiterated these submissions at the hearing on 21 July 2016.
31 On the matter of delay, as noted already, Mr Minus deposed that the applicants did not have the time or the financial resources to seek leave to appeal within the time provided in the Federal Court Rules and referred to numerous difficulties between 22 December 2015 and the end of the trial. Mr Minus deposed that he was in Japan between 5 April 2016 and 28 April 2016, on a trip with a sporting association that had been planned over 12 months before.
32 As already noted, Mr Minus deposed to his difficulties in obtaining suitable legal representation in February and March 2016 to deal with the issues arising in the course of cross-examination. He further deposed that, between 15 March 2016 and 20 May 2016, he waited for a response from the Financial Ombudsman Service (FOS) in relation to a review of his insurer's decision with respect to obtaining counsel in the proceedings. Ultimately the FOS advised that his complaint was outside its terms of reference (as foreshadowed by his insurer's letter to him of 10 March 2016). In consequence, Mr Minus lodged a complaint with the Australian Small Business and Family Enterprise Ombudsman (ASBFEO) on 30 May 2016; and on 22 June 2016 the ASBFEO wrote to his insurer about its decision.
33 Mr Minus submitted that the applicants had at all times proceeded expeditiously to obtain representation and assistance to deal with matters concerned with his reputation and that he should not be penalised for the difficulties he encountered. He submitted that the delay "has been accounted for by reasonable actions" and that he had "done the best [he could] within the circumstances that [he'd] found [him]self". Mr Minus elaborated at the hearing on his difficulties in obtaining legal representation through his professional indemnity insurer, referring to his dealings with counsel that the insurer engaged who, according to Mr Minus, "without the benefit of transcript, decided not to appear on my behalf at all, not even to come to the court to advise the judge that they had been engaged by the insurer". According to Mr Minus, counsel advised him that he "would be better served if they simply didn't attend court at all". Mr Minus described how he made his unsuccessful claim to the FOS and a consequent complaint to ASIC. Mr Minus submitted that the Court should "take judicial notice that there has been much criticism of FOS as an organisation in the Senate of the Australian Parliament, and calls that FOS should be replaced by a statutory body which provides protection to people who have to deal with banks and insurers". Mr Minus concluded by describing how the ASBFEO was in fact pursuing the matter with his insurer.
34 In the course of the hearing, I asked Mr Minus why he did not challenge the judge's decision not to recuse himself directly after his decision and before the trial. Mr Minus responded, frankly:
So your Honour says to me, "Well, why is it practically that you challenged or made an application that Greenwood J recuse himself, which he declined to do, why was it not that - why did you not then take this matter further?". Well, your Honour, practically, I'm appearing for four respondents or was, at that stage, including myself, I had argued that two other justices recuse themselves throughout the case, which they did, I was faced with a trial that was about to begin with a month and I had to make a practical decision, Greenwood J having refused to recuse himself should I spend my time and my funds to try to mount an appeal to that or should I prepare for the trial that Greenwood J had set down to be given 1 February.
Practically, it seemed that given that Greenwood J was specially selected, as I understood somebody who did not have a history as a barrister but as a solicitor, that practically it appeared that I should focus on dealing with the trial, which was set down for a week, and preparing to represent those four bodies in that trial. After the trial was over, you may then say, again, "Well, you could have appealed it at that stage", but my fundamental focus at that stage was that I had the opportunity - in fact, the insurer had accepted in a limited way that they would provide representation.
It seemed to me a very simple outcome that that representation be provided so that I could make those submissions.
35 It does not appear to me that the difficulties outlined by Mr Minus adequately explain why he and the other applicants did not act more promptly after 21 March 2016, either to seek leave to appeal within the requisite period, or to seek an extension of time for leave to appeal more speedily than has been done, particularly where there had been a trial of the action, with judgment reserved and an indicative delivery date of 31 May 2016: see the interlocutory orders of 21 March 2016. The fact that Mr Minus went to Japan on 5 April 2016 does not explain why he failed to make his application for leave to appeal by the due date, 4 April 2016. Nor does it explain why he failed to act immediately on his return, either to file submissions prior to 10 May 2016 or immediately to seek an extension of time for leave to appeal. As indicated at [25] above, the respondents' interests would be prejudiced, in these circumstances, if an extension of time (and leave to appeal) were granted. Further, an extension of time would not serve the objectives mentioned in s 37M of the Federal Court Act.
36 Moreover, the applicants failed to demonstrate that there is any merit in the proposed appeal on the basis of a denial of procedural fairness. When considering an adjournment application, the court considers the interests of justice, including the competing interests of all parties, in determining, as a matter of discretion, whether the adjournment sought should be granted. Mr Minus acknowledged that the 21 March 2016 interlocutory orders took account of his trip to Japan, which he had notified to the judge. It is evident from the note preceding the substantive orders made on 21 March 2016 that his Honour gave the applicants sufficient time to make further written submissions taking into account that Mr Minus would be overseas for a period in April, and, accordingly, allowed for the possibility for further submissions to be filed by 10 May 2016. This was a period of approximately seven weeks from the making of the orders and a period of three months from the end of the trial. This was ample time for further written submissions to be made in all the circumstances. No relevant error has been shown in the judge's exercise of discretion: see House v R [1936] HCA 40; (1936) 55 CLR 499 at 504-5.
37 Further, it would appear that, by 21 March 2016, Mr Minus had advised the judge that the insurer had given approval to engage counsel and to obtain transcript. Annexed to the supporting affidavit was a letter from Mr Minus to the judge dated 18 March 2016, in which Mr Minus advised:
On 19 February 2016, I received a three-page letter of advice from the solicitors which in summary suggested that there was no valid claim on the insurer, however that the insurer had decided to provide limited support, such support to include, senior counsel who would be of Suncorp's choice, and may not be of my preference.
38 This is consistent with a subsequent letter (also annexed to the supporting affidavit) from Ms Kate Carnell AO, ASBFEO, to Mr Minus' insurer dated 22 June 2016 (a little over month after the 10 May date mentioned in the note to the interlocutory orders of 21 March 2016) in which Ms Carnell stated:
Mr Minus has informed my office that Suncorp Insurance has offered to fund legal representation to assist in court proceedings made against Mr Minus by both the New South Wales Bar Association and the Australian Bar Association. Mr Minus has raised concerns that the senior counsel offered by you to assist him is a member of the NSW Bar Association, and accordingly there may be a perceived conflict of interest. Mr Minus advises that he suggested a suitable senior counsel would be Mr Julian Burnside AO QC, of the Victorian Bar. However he advises that his suggestion was not accepted by you.
Mr Minus has also advised us that you have agreed to provide extracts of relevant court transcripts.
39 In their application dated 27 June 2016, the applicants stated that they proposed to challenge the order of 21 March 2016 on the basis that the judge's refusal to adjourn the hearing meant that they had insufficient time to "gain the approval of [the] professional indemnity insurer to obtain a copy of the transcript and the assistance of senior counsel to make submissions on his behalf". Acknowledging that Mr Minus was not happy with his insurer's choice of counsel, it is plain enough that, by 21 March 2016, his request to the insurer had been met, at least in part, as the judge had been advised. This also undermines the applicants' claim that the interlocutory orders resulted in procedural unfairness or injustice.
40 In the circumstances of the case, and having regard to these considerations, the application for an extension of time to seek leave to appeal from the interlocutory orders of 21 March 2016 should be refused.