Ozkan Erten v Kellogg Superannuation Pty Limited
[2013] NSWSC 1780
At a glance
Source factsCourt
Supreme Court of NSW
Decision date
2013-10-17
Before
Robb J
Source
Original judgment source is linked above.
Judgment (8 paragraphs)
Judgment 1The court has before it notices of motion filed in court by each of the defendants on 17 October 2013 by which they seek orders that the plaintiff pay their costs of the proceedings. The defendants seek orders that the costs be paid on an indemnity basis for part of the time the proceedings have been on foot, and orders under s 98(4) of the Civil Procedure Act 2005, for specified gross sums.
History of proceedings 2Because of the unusual course that these proceedings have taken, it is necessary briefly to record the history of the matter. The plaintiff filed a statement of claim on 7 October 2011. He filed an amended statement of claim on 7 December 2012. In essence, the plaintiff claimed to be entitled to payment of $392,387.60, plus interest, by the first defendant, which is the trustee of a superannuation fund of which the plaintiff was a member. The plaintiff also sought an order that the second defendant, who is an insurer who insured the superannuation fund for total and permanent disablement ("TPD") benefits, pay to the first defendant a defined benefit for TPD of $353,439.38. The reason for the different amounts claimed in relation to the two defendants is not clear. The plaintiff pleaded that events had occurred which entitled him to payment of the TPD benefit. 3I append to these reasons for judgment a chronology of the interlocutory steps in this matter that was prepared by the second defendant. 4Apparently, the plaintiff did not file evidence in support of his claim. He proposed to give evidence orally and rely upon the tender of documents. The plaintiff appears to have adopted that position even though he had been ordered by the court on 15 February 2012, 11 July 2012, 12 December 2012 and 5 February 2013 to serve the evidence upon which he intended to rely by specified dates. 5The defendants prepared their evidence as best they could in the circumstances in anticipation of the evidence that the plaintiff may adduce at the hearing. 6The proceedings were listed for hearing before me on 14 October 2013 for four days. 7On 23 September 2013 the plaintiff's solicitor, Mr Marcel Joukhador, filed a notice of intention to file a notice of ceasing to act. Mr Joukhador filed a notice of ceasing to act on 30 September 2013. 8Mr Joukhador failed to comply with UCPR r 7.29. As the date for trial had been fixed, Mr Joukhador was not entitled, without the leave of the court, to file the notice ceasing to act unless he had given the plaintiff at least 28 days notice of his intention to do so. 9The defendants caused the proceedings to be relisted before me on 9 October 2013. In an email to my associate in which he sought the relisting, the solicitor for the second defendant advised that he had received information from the plaintiff's "former solicitor" that the plaintiff had no alternative legal representation and that he was unsure of the plaintiff's intentions in respect of the hearing. At that stage the plaintiff and the defendants were required to comply with the usual order for hearing. The defendants were concerned to ensure an orderly preparation for the hearing, and that they were not burdened by the need to comply with the usual order if the matter was not going to go on. 10My associate received an email from Mr Joukhador on 9 October 2013. He advised, "I am no longer instructed". He said that he had informed the plaintiff that he was required to appear "and [the plaintiff] indicated via telephone that he will not appear and will not provide me with his current address". Mr Joukhador also said: "I have also sent him a text message confirming today. I informed the plaintiff that his matter is at risk of being disposed of with an order for costs against him... At the moment I have no clear instructions from the client as to whether he wishes to proceed with the matter." 11On 9 October 2013, as Mr Joukhador had not been given leave to file a notice ceasing to act, I directed him to send a text message to the plaintiff on the mobile phone number of the plaintiff to advise him that the hearing of the proceedings will commence on 14 October 2013, unless an application for an adjournment supported by proper evidence is made and succeeds. I also directed Mr Joukhador to serve and deliver to my associate an affidavit in support of an application for leave to file a notice of ceasing to act out of time. Finally, I directed that the defendants were released from their obligations under the usual order for hearing, in order to avoid any unnecessary wastage of costs. 12On 14 October 2013, when the matter was called for hearing, there was no appearance for the plaintiff. The defendants were each represented by counsel. When the matter was called outside court, the plaintiff did not appear. 13I made an order under UCPR r 29.7 dismissing the plaintiff's claim against each of the defendants. I stood the proceedings over until 17 October 2013 in order to deal with the defendants' applications for costs, and Mr Joukhador's application for leave to file a notice of ceasing to act. I gave directions for the delivery to my associate of any notices of motion in relation to the question of costs and supporting affidavits. I directed that the notices of motion and supporting affidavits be served on Mr Joukhador, as the defendants had no other address for serving the plaintiff, and the available information suggested that even Mr Joukhador did not know the correct address of the plaintiff, and only had a mobile phone number by which he may be able to communicate with the plaintiff. I directed that Mr Joukhador make all reasonable attempts to provide copies of any notices of motion and affidavits to the plaintiff, and also to make all reasonable attempts to notify the plaintiff of the orders that I had made. Finally, I directed Mr Joukhador to serve on the defendants and deliver to my associate an affidavit explaining his attempts to comply with the directions that I had made. 14On 17 October 2013 the defendants appeared by counsel, but there was no appearance for the plaintiff. The plaintiff did not appear following the matter being called outside court. 15I gave leave to the defendants to file in court two affidavits of Mr Joukhador, sworn on 11 and 16 October 2013. In the first of these affidavits Mr Joukhador deposed that he had a conference with the plaintiff on 23 September 2013 where the plaintiff did not accept his advice in relation to trying to resolve the claim. As a result he and the plaintiff both agreed that he should no longer act on behalf of the plaintiff. On 9 October 2013 Mr Joukhador had a further conference with the plaintiff and confirmed to him that Mr Joukhador was no longer acting for him in relation to the matter. The plaintiff advised that he was seeking alternative legal advice. At 3:26 PM on 9 October 2013 Mr Joukhador sent an SMS message to the mobile phone of the plaintiff confirming that the hearing of his proceedings would commence on Monday, 14 October 2013, unless an application for adjournment supported by proper evidence was made and succeeded. Mr Joukhador confirmed these matters to the plaintiff in conference on 9 October 2013. On 10 October 2013 Mr Joukhador received a telephone call from Michael Rivera, who is apparently a solicitor with whom the plaintiff had consulted. Mr Joukhador informed Mr Rivera that the matter was listed for hearing on 14 October 2013 unless an application for adjournment was made and succeeded. 16Mr Joukhador said in his 16 October 2013 affidavit that he was unsuccessful in his attempts to contact the plaintiff on Tuesday, 15 October 2013. Mr Joukhador said that on Wednesday, 15 (sic) October 2013 at approximately 10:45 AM he succeeded in contacting the plaintiff by mobile telephone, and explained the orders that had been made, and he confirmed by SMS message that the matter was listed for Thursday, 17 October 2013 on the question of costs. He advised the plaintiff that the defendants would file motions seeking costs by 12 noon that day, and that the motions would be available for collection at Mr Joukhador's Auburn and Castle Hill offices. The plaintiff refused to provide Mr Joukhador with his current address.