[2002] VSC 304
General information, not legal advice.
Supreme Court of Victoria
2002-08-07
McDonald J
Original judgment source is linked above.
[2002] VSC 304
MAGISTRATES' COURT: appeal from final order of court, analysis of and true meaning of judgment, power invested in court under s. 110(1) and (2) of Magistrates' Court Act on application of a fourth party where on trial of proceedings including third and fourth party proceedings final orders made against fourth party who did not appear, extent of discretion under s. 110(2) of Magistrates' Court Act: no error of law on finding of fact. Magistrates' Court Act ss. 109, 110(1)-(4).
"I did not appear at the hearing of the above complaint, third party notice and fourth party notice. The Court on 19 September 2000 in my absence made an order against me for the third parties' costs of and incidental to the fourth party proceedings fixed in the sum of $3,351 together with an order that I indemnify the third party to the extent of $28,602.28 together with the plaintiff's costs fixed in the total sum of $7,726 and interest in the amount of $1,330.16. TAKE NOTICE that on I intend to apply to the Court for an order that that order be set aside and the complaint, third party notice and fourth party notice be re-heard as soon as possible. I did not appear at the hearing for the following reasons: Neither did I nor my solicitors receive any notification of the hearing of the proceedings and was unaware that the proceedings were set down for hearing. My solicitors filed and served a Notice of Defence of the fourth party notice by facsimile transmission on 28 July 2000."
The application of the fourth party was brought pursuant to s. 110 of the Magistrates' Court Act. Section 110(1)-(4) of that Act provides:
"(1) If a final order is made by the Court in a civil proceeding against a person who did not appear in the proceeding, that person, may, subject to and in accordance with the Rules, apply to the Court for an order that the order be set aside and that the proceeding be re-heard. (2) On an application under this section, the Court may set aside the order subject to any terms and conditions that it thinks just and re-hear the proceeding. (3) Subject to sub-section (4), an application under this section does not operate as a stay of the order unless the Court so orders. (4) An application under this section with respect to an order for the payment of money operates as a stay of so much of the order as relates to the payment of money."
"You are advised that on 18/12/2000 the following entries were made in the register: PLAINTIFF : BOORAN MOTORS SALES PTY LTD TRADING AS : BOORAN HOLDEN DEFENDANT/S : CRAIG MARTIN PTY LTD TRADING AS : CRAIG MARTIN WHOLESALE P.B. & E.L. WRIGHT PTY LTD (THIRD PARTY) JOHN FLACK (FOURTH PARTY) PROCEEDING : BREACH OF CONTRACT/AGREEMENT (NON PAYMEN (sic) ORDERS JOHN FLACK -V- P.B. & E.L. WRIGHT PTY LTD AP. FOR REHEARING Application order : GRANTED Order of 19/09/2000 set aside. P.B. & E.L. WRIGHT PTY LTD -V- JOHN FLACK NOTICE TO OBTAIN RELIEF Adjournment order : Adjourned to a date to be fixed by the Co-Ordinator at DANDENONG MAGISTRATES' COURT Hearing type APPLICATION Adjournment reason : Application for REH JOHN FLACK -V- P.B. & E.L. WRIGHT PTY LTD AP. FOR REHEARING OTH order: 1. ORDER THAT THE THIRD PARTY PROVIDE A REQUEST FOR FURTHER OF THE FOURTH PARTIES DEFENCE ON OR BEFORE 22/1/2001. 2. FOURTH PARTY TO MAKE FILE AND SERVE FURTHER AND BETTER PARTICULARS ON OR BEFORE 5/2/2001. 3. ORDER THE PLAINTIFF, DEFENDANT AND THIRD PARTY'S COSTS OF TODAY'S COSTS THROWN AWAY BE RESERVED."
"APPLICATION FOR SUMMARY JUDGMENT REFUSED. PLAINTIFF TO PAY DEFENDANTS COSTS FIXED IN THE AMOUNT OF $3,653 TOGETHER WITH RESERVED COSTS OF 23 APRIL 2001 FIXED IN AMOUNT OF $600. APPLICATION TO STRIKE OUT PROCEEDINGS GRANTED. PROCEEDING P00147371 IS STRUCK OUT. PLAINTIFF TO PAY DEFENDANT'S COSTS OF THE HEARING AND APPLICATION FIXED PER ORDER."
In addition to those orders there appears on the certified extract of orders the following:
"Costs order: P.B. & E.L. WRIGHT TO PAY CRAIG MARTIN PTY LTD costs $3,653."
It is not clear whether the last order is a repetition of part of the orders previously referred to in the extract or whether it is a reference to the costs order last referred to. It is not necessary to be concerned with that matter on this appeal.
"The final order of the Magistrates' Court of Victoria which is the subject of this appeal is the order made on 20 August 2001 by the Magistrates' Court at Melbourne constituted by Ms Fleming, Magistrate, in which she found that she had not set aside the orders of Master (sic) Hallenstein on 18 December 2001 and consequently: Having dismissed the plaintiff's claim for summary judgment for restitution of payments made pursuant to the orders of Master (sic) Hallenstein allowed the cross-claim by the respondent to strike out the plaintiff's claim for restitution and struck out those proceedings and ordered that the plaintiff pay the defendant's legal costs."
"The expression `final order' is not defined in the Act, but it is clear both from the context and the authority of decisions of Fullagar J, Gobbo J and Beach J to which I shall refer later, that it is used as an antonym of the expression `interlocutory order'."
"The rationale of those decisions is that the test applicable in Australia for determining whether a judgment is final or not is `whether the judgment or order appealed from, as made, finally determines the rights of the parties'."
"(a) Was the Magistrate wrong in law in holding that she could not have set aside all of the orders in a proceeding involving multiple parties on application by one only of those parties pursuant to or because of s. 110 of the Magistrates' Court Act 1989? (b) Having regard to the whole of the evidence could a reasonable magistrate properly instructed have held that there had not been an order for the rehearing of the whole of the proceedings of 19 September 2000?"
"A party to a proceeding before the Tribunal may appeal to the Supreme Court on a question of law from a decision of the Tribunal in that proceeding."
It is to be seen that that section is almost in identical terms to s. 109(1) of the Magistrates' Court Act. In Transport Accident v Hoffman it was held by Young CJ and McGarvie J at p. 199, that that section, under the Administrative Appeals Tribunal Act 1984, granted a right of appeal to the Court on a question of law involved in the decision of the Tribunal but it would exclude an appeal upon a question whether a particular decision was against the evidence or the weight of the evidence. Their Honours further held that that section would allow an appeal upon the question whether there was any evidence upon which the Tribunal could have reached the decision that it had reached. In Keep v Pozzebon[5], I held that the analysis of Young CJ and McGarvie J of s. 52(1) of the Administrative Appeals Tribunal Act was directly applicable to s. 109(1) of the Magistrates' Court Act.
"If on any reasonable view of the evidence [the] decision can be supported then the party who complains of that decision cannot have it set aside and the contrary decision that he desires substituted for it. It is a question of what he is entitled to as a matter of law and he is only entitled to a contrary decision where that decision is the only possible decision that the evidence on any reasonable view can support.
In paragraph 58.02.25, vol. 1, Williams Civil Procedure Victoria, the learned author addressing the question as to what constitutes a "question of law" under s. 109(2) of the Magistrates' Court Act and, in particular, whether a finding of fact by a magistrate was one which, upon the evidence, a reasonable magistrate could make, said:
"The Court will treat the matter as an appeal in respect of the verdict of a jury and will not make up its own mind upon the evidence but rather confine itself to see whether there was evidence upon which the magistrate might as a reasonable person come to the conclusion which he or she did come."
"It is as well to begin a consideration of this matter by quoting the well-known passage from the judgment of Scrutton, L.J. in Barclay's Bank v Tom [1923] 1 KB 221, at p. 224, which reads: `The object of the third party procedure is then in the first place to get the third party bound by the decision between the plaintiff and the defendant. In the next place it is directed to getting the question between the defendant and the third party decided as soon as possible after the decision between the plaintiff and the defendant, so that the defendant may not be in the position of having to wait a considerable time before he establishes his right of indemnity against the third party while all the time the plaintiff is enforcing his judgment against the defendant. And thirdly it is directed to saving extra expense which would be involved by two independent actions.' ... - - - - - - - - - - - - - - - - - - - - - - - - - - - Another object of the third party procedure is the avoidance of the possibility of inconsistent findings on the same facts: per Blackburn, J in Venecke v Frost (1876), 1 Q.B.D. 419 at p. 422."
In their judgment their Honours held that only in exceptional circumstances should the power to order separate trials of a plaintiff against a defendant and a defendant's claim against a third party be exercised. That said by the Court to which I have referred, is equally apposite to fourth party proceedings.
"Any court has an inherent jurisdiction to correct any judgment or order which owing to error does not give effect to what the court intended to do. It is a power which is essential to ensure that justice is done. It is not possible pursuant to the power to vary or amend an order which the court intended to make, but an error in an order can be corrected so as to do justice and to give effect to the court's intention."
In Kelly v Von Einen[9] O'Bryan J at p. 42, referring to that stated by the Chief Justice in De Zylda, said:
"Although there is no express statutory power in the magistrates' court to correct an error in an order arising from a `mistake' or `slip' or `accidental omission', I consider an inherent jurisdiction arises in the magistrates' court to correct an error in the record of a later date."
This matter need not be further pursued on this appeal, but the distinction between such an application being made in the first proceeding and the question of fact that was determined by Magistrate Fleming in the second proceeding on 20 August 2001 must be appreciated.
"(2) Except where a special form of order is prescribed by the rules a certified extract from the court record of any order shall be sufficient for any purpose for which an order is required."
There appears, by the rules, to be no form of order prescribed relevant to or of the nature of the orders made by Magistrate Hallenstein on 19 September 2000 or by Magistrate Fleming on 18 December 2000. As to the order made on 20 August 2000 by Magistrate Fleming a certified extract of that order was before the Court on this appeal. The "Notice of Order" setting out the entries made, in the form of orders in the registry of the Magistrates' Court on 18 December 2000 by Magistrate Fleming, with respect to the application then before her, was exhibited to the affidavit of Dillon sworn by him on 20 April 2001. In her judgment delivered on 20 August 2001, Magistrate Fleming said that the best evidence as to what occurred on 18 December 2000 was "the Court record which is exhibited to the material". She had previously identified the orders of the Court made on 18 December 2000 as those appearing in the exhibit to the affidavit of Dillon and constituted by the "Notice of Order Made". The reference by Magistrate Fleming to the "Court record which is exhibited to the material" is clearly a reference to that document. It is to be observed also that in the affidavit of Stephen Byrne sworn on 18 September 2001 and filed in this Court, he exhibited a "Notice of Order Made" in the same form and content as that exhibited to the affidavit as being "a copy of the orders of the Magistrates' Court made on 18 December 2000". It is to the Notice of Order Made wherein there is set out the entries made in the registry of the Court on 18 December 2000 that I have regard in order to address whether there exists ambiguity in the orders made by Magistrate Fleming on 20 December 2000 and recorded in the registry of the Magistrates' Court.
[1] [1995] VicRp 58; [1995] 2 VR 318 at 320.
[5] No. 6091/94, 1 September 1994, unreported.
[6] [1956] VicLawRp 6; (1956) VLR 38 at 41.
[10] cf. Read v Nerey Nominees Pty Ltd [1979] VicRp 6; [1979] VR 47.
P B & E L Wright Pty Ltd
Craig Martin Pty Ltd [2002] VSC 304
(1976) 180 CLR 213
(1981) 147 CLR 246