[2025] WASC 492
General information, not legal advice.
Supreme Court of WA
2026-01-28
Gething J
Original judgment source is linked above.
(a) Submissions (Defendants' Costs Submissions); and
(b) an affidavit sworn on 3 December 2025 by Alesandro D'Angelo, the solicitor with carriage of the matter at Ms Brown's lawyers (D'Angelo Affidavit).
(a) all her costs of the proceedings as executor be paid out of the estate, including the costs reserved on 19 February 2025, 30 May 2025 and 24 July 2025, except in so far as they are of an unreasonable amount or have been unreasonably incurred, so that subject to those exceptions she is completely indemnified for her costs;
(b) Ms Brown, in her personal capacity, pay Ms Natale's costs of the proceedings up to and including 3 February 2025, to be taxed on a party and party basis if not agreed, except for the costs thrown away as a result of the adjournment of the mediation listed on 12 February 2021 (which Registrar Griffin ordered Ms Natale to pay to Ms Brown); and
(c) Ms Natale pay Ms Brown's costs, in a personal capacity, of the proceedings from 3 February 2025, to be taxed on a party and party basis if not agreed.
These orders are primarily based on a Calderbank offer sent to Ms Natale on 3 February 2025.
(a) Is the evidence in the Natale Costs Affidavit relating to the mediation admissible?
(b) What costs can Ms Natale claim?
(c) What principles ordinarily govern costs in Family Provision Act 1972 (WA) (FPA) applications?
(d) What costs order should be made in this case?
2. Is the evidence in the Natale Costs Affidavit relating to the mediation admissible?
4.1 My Offer was rejected by the Defendants and the counter offer made to me for settlement, was $20,000 being paid to me in installments.
Attached and marked "A" is a true copy of the letter sent to me by Dawson Davies on 23 October 2020.
Attached and marked "B" is a true copy of the Calderbank offer I received from the Defendants on 28 January 2021.
Privilege
(1) Subject to subsection (3), evidence of -
(a) anything said or done; or
(b) any communication, whether oral or in writing; or
(c) any admission made,
in the course of or for the purposes of an attempt to settle a proceeding by mediation under direction is to be taken to be in confidence and is not admissible in any proceedings before any court, tribunal or body.
(a) any document prepared in the course of or for the purposes of an attempt to settle a proceeding by mediation under direction; or
is to be taken to be subject to a duty of confidence and is not admissible in any proceedings before any court, tribunal or body.
(3) Subsections (1) and (2) do not affect the admissibility of any evidence or document in proceedings if -
(a) the parties to the mediation consent to the admission of the evidence or document in the proceedings; or
(b) there is a dispute in the proceedings as to whether or not the parties to the mediation entered into a binding agreement settling all or any of their differences and the evidence or document is relevant to that issue; or
(c) the proceedings relate to a costs application and, under the rules of court, the evidence or document is admissible for the purposes of determining any question of costs; or
(d) the proceedings relate to any act or omission in connection with which a disclosure has been made under section 72(2)(c).
(4) A mediator cannot be compelled to give evidence of anything referred to in subsection (1) or (2) or to produce a document or a copy of a document referred to in subsection (2) except -
(a) in proceedings referred to in subsection (3)(d); or
(b) in proceedings relating to a costs application where there is a dispute as to a fact stated or a conclusion reached in a mediator's report prepared under the rules of court on the failure of a party to cooperate in the mediation and the evidence or document is relevant to that issue.
costs application means an application for the costs of the mediation or of the proceedings to which mediation relates.
Unless the Court in a particular case otherwise directs, bills of costs and fees which are payable to legal practitioners admitted and entitled to practise in the Court in respect of business transacted by them in the Court or its offices, and which have been directed by judgment or order to be taxed, shall be taxed, allowed and certified by the taxing officer who shall appoint a time for taxation on the application of the party claiming taxation.
Where the legal practitioner has provided advice or assistance to a litigant in person without being on the record, it is difficult to characterise that work as 'business transacted by them in the Court' (my emphasis). The business has been transacted by the litigant in person.
Any of the following items, disbursements, expenses, payments, or charges are allowable on taxation -
(a) items of costs allowable under any relevant scale and such counsel fees as may be allowed;
(b) disbursements for fees of court;
(c) disbursements for fees of officers of the Court;
(d) witness expenses paid or to be paid under any relevant scale of allowances fixed in that regard;
(e) agency charges, if specially allowed by the Court or by the taxing officer;
(f) the reasonable expenses as fixed by the taxing officer of the typing, printing, and binding of appeal books;
(g) other necessary disbursements or payments made in the conduct of the litigation;
(h) any other necessary expense incurred in the conduct of the litigation, whether or not it has been paid before the taxation of that expense takes place.
As between party and party, a party may be allowed disbursements incurred by that party except insofar as they are of an unreasonable amount or have been unreasonably incurred, so that subject to the above exceptions, that party is fully reimbursed for its disbursements.
4. What principles ordinarily govern costs in FPA applications?
Where a person is or has been a party to any proceedings in the capacity of... personal representative... he shall, unless the Court otherwise orders, be entitled to the costs of those proceedings, in so far as they are not recovered from or paid by any other person, out of the fund held by the... personal representative...; and the Court may otherwise order only on the ground that the... personal representative... has acted unreasonably, or in the case of a... personal representative, has in substance acted for his own benefit rather than for the benefit of the fund.
Another difference of importance in this form of proceedings is that one defendant will always be either the executor or administrator of the estate of the deceased, whose duty it is to put all material facts relating to the size and administration of the estate before the court and, subject to that obligation, to seek to uphold the will or the laws of intestate distribution as they apply to the estate, but in a manner that avoids partisanship or close alliance with either the applicant or other beneficiaries. Subject to performing this duty in an objective way, the role of the executor or administrator in appearing before the court and dealing with such an application, whether contested or otherwise, is part of that person's duty to undertake due administration of the estate. Accordingly, the executor or administrator who performs this role is usually entitled to his or her costs of the proceedings, regardless of the outcome, and on an indemnity basis, as part of the costs and expenses of the administration of the estate: compare O 66 r 9(2).
Unlike claims arising from commercial disputes, contracts, torts or property disputes, the power of the court to make or withhold an award to an applicant under this legislation does not depend on the ascertainment and enforcement of any pre-existing legal or equitable rights but, rather, upon a consideration of whether or not, under the statutory formula, the deceased has failed to make adequate provision for the proper maintenance and welfare of an applicant within a particular class of eligible family members. If there has been a failure by testator to make adequate provision for a particular applicant, then the jurisdictional or objective test is satisfied and it becomes a discretionary judgment for the court to determine what, if any, provision or additional provision should be made for that applicant. Consequently, although there is now a very widespread and settled jurisprudence and system of principles which apply to guide courts in any particular case, there are difficulties in assessing the nature and extent of any entitlement to extra provision by an eligible applicant in many of these cases which, not infrequently, renders an assessment of the nature and prospects of success in any particular case more difficult than in many other types of litigation.
...
Consequently, these difficulties mean that a degree of restraint and tolerance is necessary in some cases if the court is asked to refuse or limit costs for an applicant, whether successful or unsuccessful, or to order that an applicant meet some or all of the costs of an unsuccessful application.
The large variability and potential influence of these matters render it important that the general discretion over costs by the court should be carefully determined and exercised rather than merely following, without regard to the particular circumstances, general principles or practices.
(a) Calderbank offers are informal offers made on terms expressed to be without prejudice save as to costs;
(b) a Calderbank offer is a relevant factor in the exercise of the costs discretion;
(c) the court's approach takes into account the private and public benefits of encouraging reasonable settlements, including by possible costs consequences for the party rejecting the offer;
(d) the policy of encouraging reasonable settlement of an action is a factor in the exercise of discretion on costs;
(e) the party who makes a Calderbank offer takes the chance that, when the court exercises its discretion in all the circumstances, the offer will lead to costs consequences;
(f) the weight to be given to a Calderbank offer is a matter for the discretion of the court in all the circumstances of the case;
(g) a Calderbank offer may be used in support of an application for indemnity costs or for an order that the party who rejected the offer pay the costs of the party who made offer on a party‑party basis;
(h) a Calderbank offer will not justify an award of indemnity costs unless its rejection was unreasonable;
(i) the party who makes the Calderbank offer that is rejected bears the onus of satisfying the court that it should make an order of indemnity costs in its favour;
(j) there is a lower threshold for an award of party‑party costs than for indemnity costs, the power to order which is exceptional in character;
(k) a finding that a Calderbank offer was unreasonably rejected, judged at the time of the offer, is not a precondition to the power to award party‑party costs based on a Calderbank offer;
(l) however, the reasonableness, or otherwise, the conduct of a party in rejecting a Calderbank offer may be relevant to determining whether and to what extent the Calderbank offer sustains an exercise of the costs discretion adverse to the party who rejected the offer;
(m) the assessment of the unreasonableness of the rejection of a Calderbank offer is to be made at the time that the offer is considered, and without the benefit of hindsight, so that the issue of unreasonableness is not to be determined by adopting the judgment sum as a yard stick;
(n) the mere fact that the recipient of a Calderbank offer is ultimately worse off than he or she would have been had the offer been accepted, does not axiomatically mean that its rejection was unreasonable;
(o) more specifically, a Calderbank offer in an amount that exceeds the judgment sum does not give rise to a presumptive entitlement to indemnity costs;
(p) all the relevant facts and circumstances must be considered in determining whether the rejection of the offer was unreasonable; and
(q) whether it was reasonable not to accept the offer is to be determined objectively; and
(r) in assessing whether the rejection of the offer was unreasonable relevant facts include the stage of the proceeding at which the offer was received, the time allowed to the offeree to consider the offer, the extent of the compromise offered, the offeree's prospects of success, assessed as at the date of the offer, the clarity with which the terms of the offer were expressed and whether the offer foreshadowed an application for costs (including indemnity costs) in the event of the offeree's rejecting it.
5. What costs order should be made in this case?
(a) documents filed at the direction of the registrar, including submissions;
(b) the hearings before the registrar; and
(c) the submissions filed on 11 August 2025; and
(d) attendance the hearing before me on 22 October 2022.
These costs also include the reserved on 19 February 2025, 30 May 2025 and 24 July 2025. Consistent with the approach I have adopted, the documents filed by Ms Brown for the inquiry before the registrar were on their face filed in her capacity as first defendant (executor).
(a) her affidavit filed 23 July 2020;
(b) her affidavit verifying the list of discoverable documents filed 25 October 2025; and
(c) the statement of assets and liabilities of the estate filed 12 November 2024.
(a) on 3 February 2025, an offer marked 'without prejudice save as to costs' was sent by the Main Legal Studio by email to Ms Natale;
(b) the offer was for payment of $150,000, with the proceedings to be dismissed with no order as to costs once a settlement deed was signed and payment made (Offer);
(c) the amount of $150,000 was said to represent 73% of the value of the Estate based on the statement of assets and liabilities filed on 12 November 2024 (which valued the Estate at $205,020.66);
(d) the offer was expressed to lapse at 5pm on 17 February 2025;
(e) Ms Natale responded by letter sent by email to the Main Legal Studio on 7 February 2025 (Counteroffer);
(f) in the Counteroffer, Ms Natale stated that, in her view, the value of the Estate was at least $700,000;
(g) the Counteroffer was for payment of $330,000 to her along with the transfer of 190 shares in ASS to her and Ms Brown resigning as appointor of the Natale Investment Trust in favour of Ms Natale; and
(h) the Counteroffer was also on the basis that the proceedings would be dismissed with no orders as to costs and the costs orders in CIV 1413 of 2021 be discharged.
(a) the inquiry before the registrar as to the accounts of the estate of Edward Natale (Estate), including the costs reserved on 19 February 2025, 30 May 2025 and 24 July 2025;
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> (b) her affidavits filed 23 July 2020 and 25 October 2025; and
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> (c) the statement of assets and liabilities of the estate filed 12 November 2024,
be taxed and paid out of the Estate, except in so far as they are of an unreasonable amount or have been unreasonably incurred, so that subject to those exceptions she is completely indemnified for her costs.
I certify that the preceding paragraph(s) comprise the reasons for decision of the Supreme Court of Western Australia.
[1] Natale v Brown as Executor of the Estate of Edward Natale [2025] WASC 492 (Substantive Decision). I will continue to use the abbreviations set out in the Substantive Decision.
[2] Natale Costs Affidavit [4] - [7].
[3] Relying on the definition in SCA s 69.
[4] RJ Baker Nominees Pty Ltd v Parsons Management Group Pty Ltd [2010] WASCA 128 at [126] - [131] (Newnes JA, with whom Owen and Murphy JJA agreed); Western Areas Exploration Pty Ltd v Streeter [No 2] [2009] WASCA 15 at [26] - [40] (Buss JA with whom Wheeler and Pullin JJA agreed).
[5] Calderbank v Calderbank [1976] Fam 93.
[6] Cachia v Haines [1994] HCA 14; (1994) 179 CLR 403, 410 - 417 (Mason CJ, Brennan, Deane, Dawson and McHugh JJ); Keremestvski v McLeod as executor of the estate of Mark Adrian McLeod [2024] WASCA 12(S) [24] (judgment of the court) (Keremestvski).
[7] Bell Lawyers Pty Ltd v Pentelow [2019] HCA 29; (2019) 269 CLR 333 [22] (Kiefel CJ, Bell, Keane and Gordon JJ); Cachia v Haines [1994] HCA 14; (1994) 179 CLR 403, 410 (Mason CJ, Brennan, Deane, Dawson & McHugh JJ).
[8] Marsh v Baxter [2015] WASCA 179 [15] (Newnes and Murphy JJA) (Marsh); Hancock Prospecting Pty Ltd v Hancock [No 3] [2016] WASC 423 [16] - [27] (Pritchard J) (Hancock); Grundmann v Georgeson [2000] QCA 394 [7] (reasons of the court); Mason v Grigg [1909] 2 KB 341, 343 (Farwell LJ) (Mason).
[9] See for example: Marsh [15] - [21].
[10] Mason 343 (Flecther Mouton LJ), 343 - 344 (Farwell LJ).
[11] Norris v Bailey (1893) 62 LJ (QB) 338, 339 (Lord Coleridge CJ), 339 (Collins J).
[13] Carbone v Lamers atf Ben and Lamers Family Trust [2025] WASCA 24 [28] (Quinlan CJ), [174] (Dalton AJA with whom Buss P agreed); Strzelecki Holdings Pty Ltd v Jorgensen [2019] WASCA 96 at [48] (judgment of the court) (Strzelecki); Atwell v Roberts [2013] WASCA 37 (S) [7] (judgment of the court).
[16] Keremestvski [22]; Daniels v Hall [No 2] [2014] WASC 272 [62] (EM Heenan J) (Daniels).
[18] Dean v Collins [No 2] [2015] WASCA 151 [34] (Chaney J, with whom Martin CJ and Buss JA agreed) (Dean); Boscolo v Australian Unity Trustees Limited as administrator of the estate of Mario Boscolo [2023] WASC 391 (S) [15] (Solomon J) (Boscolo); Ryan v Zekas [2020] WASC 124 (S) [9], [47] (Hill J); Browne v Scarfe as Executor of Will of the late Dawn Lorraine Phillips [2015] WASC 422 [23] (Gething AM). See also: Consolidated Practice Directions, PD 9.2.2 [48].
[19] Daniels [14], [16]. Applied in: Boscolo [13] - [14]; Hodder v Australian Executor Trustees [No 2] [2021] WASC 415 [23] (Hill J) (Hodder).
[21] Nikolaou v Papasavas, Phillips & Co (No 2) [1989] HCA 11; (1989) 166 CLR 394 at 407 - 408 (Mason CJ, Wilson, Brennan, Dawson, Toohey and Gaudron JJ); Strzelecki [49].
[22] See for example: Dean [30] - [33]; Daniels [28]; [38], [61]; Hodder [24] - [32].
[23] QAV Pty Ltd v Netline Pty Ltd [2025] WASCA 186 [28] (reasons of the court); Shephard v Tuanie Paul Galea as executor and trustee of the estate of The Late Joseph Galea [2020] WASCA 152 [177] - [192] (judgment of the court); Pro Property Pty Ltd v Orchard Holdings Pty Ltd [2013] WASCA 283 [44] - [51] (Newnes JA, with whom Buss and Murphy JJA agreed); Ford Motor Company of Australia Ltd v Lo Presti [2009] WASCA 115; (2009) 41 WAR 1 [19] - [32] (Buss JA, with whom Wheeler JA agreed); McKay v Commissioner of Roads [No 7] [2011] WASC 223 (S) [92] - [130] (Beech J); Italiano v The Water Corporation [No 2] [2020] WASC 112 (S) [36] - [47] (Martin CJ).
[24] As to which, see: Substantive Decision [10] - [11].
[27] Substantive Decision [121] - [122].
[28] Natale Costs Affidavit [8] - [9].
[29] Substantive Decision [216] - [218].
[30] See Substantive Decision [206] - [214].
[31] Substantive Decision [239] - [245], [250].
(1994) 179 CLR 403
(2019) 269 CLR 333
(2009) 41 WAR 1
(1989) 166 CLR 394