Consideration
20 Here, because the Commissioner had found that the appellant's claim failed for want of jurisdiction as a consequence of her finding that there was no employment relationship, ss 725 and 729 of the Fair Work Act did not preclude him from commencing a proceeding in this Court.
21 This Court, as a superior court of record, has an inherent power to dismiss, deal with, limit or stay a proceeding as an abuse of process. In Walton v Gardiner (1993) 177 CLR 378 at 392-393, Mason CJ, Deane and Dawson JJ said:
The inherent jurisdiction of a superior court to stay its proceedings on grounds of abuse of process extends to all those categories of cases in which the processes and procedures of the court, which exist to administer justice with fairness and impartiality, may be converted into instruments of injustice or unfairness.
(emphasis added)
22 In Batistatos v Roads and Traffic Authority of New South Wales (2006) 226 CLR 256, Gleeson CJ, Gummow, Hayne and Crennan JJ examined the principles underlying the Court's power to deal with proceedings as an abuse of its process. They adopted (at 264 [6]) the following passage from Lord Diplock's speech in Hunter v Chief Constable of the West Midlands Police [1982] AC 529 at 536C-D, which the Court had earlier applied in Walton 177 CLR at 393, where his Lordship said there exists:
the inherent power which any court of justice must possess to prevent misuse of its procedure in a way which, although not inconsistent with the literal application of its procedural rules, would nevertheless be manifestly unfair to a party to litigation before it, or would otherwise bring the administration of justice into disrepute among right-thinking people.
(emphasis added)
23 Gleeson CJ, Gummow, Hayne and Crennan JJ continued (at 265 [9]):
What amounts to abuse of court process is insusceptible of a formulation comprising closed categories. Development continues.
24 Similarly, in Jeffery & Katauskas Pty Ltd v SST Consulting Pty Ltd (2009) 239 CLR 75 at 93-94 [28], French CJ, Gummow, Hayne and Crennan JJ, said that the term "abuse of process", as used in Australia today, is not limited by fixed categories or those that constitute the tort of abuse of process and reiterated that the categories were not closed. However, they emphasised that this did not entail that the expression "abuse of process" was a term at large or without meaning or that it could be applied to a category of case merely because one party to it might assert the proceeding was, in some sense, unfair to that party. They said:
It is clear, however, that abuse of process extends to proceedings that are "seriously and unfairly burdensome, prejudicial or damaging" or "productive of serious and unjustified trouble and harassment" (Batistatos (2006) 226 CLR at 267 [14] (footnotes omitted)).
(emphasis added)
25 In Miller 132 FCR at 175 [81], Ryan and Gyles JJ held:
there is considerable difficulty in finding a proper basis for the concept of staying proceedings as an abuse of process upon the ground of relitigation in the case of proceedings between the same parties which goes beyond the effect of res judicata, issue estoppel and Anshun estoppel … In our view, near enough to an estoppel is not good enough to establish abuse of process between the same parties without some other element being present.
(emphasis added)
26 In Symes v Holbrook [2005] FCAFC 219 at [49], Lee, Moore and Nicholson JJ said that, in Miller 132 FCR at 175 [81], Ryan and Gyles JJ contemplated that the question whether there is "some other element … present" would require separate identification of what was said to be an abuse of process, notwithstanding that the doctrines of res judicata, issue estoppel or Anshun estoppel did not apply to the relitigation being conducted between the parties.
27 In State Bank of New South Wales Ltd v Stenhouse Ltd (1997) Aust Torts Reports 81-243, Giles J, CJ in Comm D, stated a number of principles in relation to abuse of process that have been seen as instructive in the evaluation of the balancing exercise that a court necessarily undertakes when asked to conclude that a remedy for an abuse of process, such as a stay or striking out, is appropriate. He said:
The guiding considerations are oppression and unfairness to the other party to the litigation and concern for the integrity of the system of administration of justice, and amongst the matters to which regard may be had are -
(a) the importance of the issue in and to the earlier proceedings, including whether it is an evidentiary issue or an ultimate issue;
(b) the opportunity available and taken to fully litigate the issue;
(c) the terms and finality of the finding as to the issue;
(d) the identity between the relevant issues in the two proceedings;
(e) any plea of fresh evidence, including the nature and significance of the evidence and the reason why it was not part of the earlier proceedings; ...
(f) the extent of the oppression and unfairness to the other party if the issue is relitigated and the impact of the relitigation upon the principle of finality of judicial determination and public confidence in the administration of justice; and
(g) an overall balancing of justice to the alleged abuser against the matters supportive of abuse of process.
(emphasis added)
28 Importantly, a superior court's power to prevent abuses of both its own process and processes of inferior courts and tribunals includes the ability to determine whether, by reason of earlier findings in proceedings in administrative tribunals, other courts or dispute resolution processes, the pursuit of a particular aspect, or the whole, of litigation in the superior (or later) court amounts to an abuse of its process: Walton 177 CLR at 396.
29 Here, the appellant filed a considerable amount of material and submissions which did not engage in any substantive way in identifying an arguable claim that the primary judge erred in his finding that, in all of the circumstances, the pursuit of his claim based on there being an employment relationship was an abuse of process.
30 The proceeding before the Commissioner involved an extensive exploration of the whole of the relationship between the appellant and Kailash Lawyers so far as it underpinned his claim to be entitled to a remedy for unfair dismissal under s 394 of the Fair Work Act. Necessarily, that claim required the Commission to determine whether or not the true characterisation of the relationship between the appellant and Kailash Lawyers was that of employee and employer. Both parties contested that issue, deploying all of the resources available to them to enable the Commission to determine whether it could provide a remedy in the exercise of its statutory powers to do so. The Commissioner's alternate finding, that, if the appellant were an employee, he would not have been entitled to a remedy for unfair dismissal, did not conclude anything about any entitlement he may have to payment of any outstanding moneys that he had earned or other benefits he was entitled to as an employee or under the agreement (see too s 733 of the Fair Work Act). The Commission ordered that the appellant pay Kailash Lawyers' costs of the proceeding before it, generated by the four-day hearing and procedural steps.
31 The essence of the appellant's claim, as framed before the primary judge in the parts of the statement of claim that his Honour did not allow to be litigated in this Court because to do so would be an abuse, depended upon the essential fact of whether or not the appellant could prove an employment relationship existed.
32 In our opinion, to allow the appellant, in substance, to relitigate the same issue that the Commissioner decided, as to whether or not he was an employee so as to found his claims for unfair dismissal, would expose Kailash Lawyers to unreasonable vexation and expense. While, as we have said, ss 725 and 729 do not create a bar to the appellant bringing a claim in this Court for unfair dismissal based on his being an employee of Kailash Lawyers, he has repeatedly made scandalous allegations in doing so, without any coherent or proper basis. He repeatedly argued before us that the agreement was a sham such that the Commission could not decide this issue. He asserted that, in some way, the ATO had accepted his claim to have been an employee of Kailash Lawyers even though no PAYG tax had been paid in respect of him and his "employer" had not provided him with a group certificate. He contended that he was an employee under the ATO guidelines which he cited as determining that "trainees [are] always considered employees for taxation purposes". He argued:
there are two clauses. The one clause is I will get 40 per cent. And another, if I can make a billings above $100,000, I can get 10 per cent commission. 10 per cent extra. However, Mr Pall didn't pay me my remuneration or the commission for the month of August 2020 at that time after … He didn't pay me for the 10 per cent. Even he breached his own argument [scil: agreement].
…
I was under supervised legal training. Mr Pall was a principal. Mr Pall had more responsibility, more duty of care … towards the legal practitioner. And Mr Pall was doing this sham agreement with the other lawyers for the last 13 years. And he - if you are not going to stop him, he will victimise more future lawyers.
(emphasis added)
33 A sham is an expression that refers to "steps which take the form of a legally effective transaction but which the parties intend should not have the apparent, or any, legal consequences": Equuscorp Pty Ltd v Glengallan Investments Pty Ltd (2004) 218 CLR 471 at 486 [46] per Gleeson CJ, McHugh, Kirby, Hayne and Callinan JJ.
34 Notably, the appellant did not dispute that Kailash Lawyers paid him "commission" (until the breakdown in their relationship in August 2020) in accordance with the terms of the agreement. He also ran his own migration agency and investment businesses concurrently with his performing work for Kailash Lawyers. The appellant did not articulate how, when he and Kailash Lawyers conducted their relationship in accordance with the agreement, it could have been a sham to cloak or mask the true position.
35 For over 15 months, the parties conducted their relationship, as the Commissioner found, and as the appellant accepted before us, as the agreement provided. That is, the parties acted on the actual and intentional basis that the appellant invoiced Kailash Lawyers for a percentage of the fees which it charged clients in respect of the work he generated, being 40%, or where, as he said had occurred, more than $100,000 per annum was earned, 50%. He told us that, consistently with the terms of cl 2(a)(vii) of the agreement, he received those payments as commission, not wages, from Kailash Lawyers and that Mr Pall supervised him, again, as the agreement required. There was no element of charade or sham in any of this conduct. That conduct was performance of the agreement, not a use of it to mask some other relationship. And the appellant had his own separate business, including one in which, in 2020, he received JobKeeper payments while, as he now asserts, a full-time employee of Kailash Lawyers.
36 In Miller 132 FCR at 175-176 [82], Ryan and Gyles JJ found that Dr Miller was not attempting to litigate again a matter that had been decided against him in the relevant sense. That was because, there, the University had employed Dr Miller as an academic for over 20 years before it began disciplinary proceedings against him that culminated in his dismissal. He claimed in the Australian Industrial Relations Commission that the dismissal was harsh, unjust or unreasonable and sought relief from it by arbitration. The Full Court found that the arbitration could not create any issue estoppel. Ryan and Gyles JJ (at 175-176 [82]) noted that the Court could not give the same relief as the Commission and the criteria for relief in each forum were not the same, although there was some overlap, but the Commission had no jurisdiction to grant some of the relief sought in the Court proceeding. Thus, in Miller 132 FCR 147, the remedies which Dr Miller sought and the jurisdiction to grant relief in respect of the termination of his employment in the Commission were different, indeed, as Ryan and Gyles JJ said (at 176 [83]), alternative, to those he sought in the Court.
37 Here, in contrast to Miller 132 FCR 147, the central and determinative issue before the Commissioner was whether the appellant was an employee or not. The Commission's finding that he was not employed by, but was, instead, a contractor for, Kailash Lawyers meant that it had no jurisdiction to grant any relief to the appellant under s 394. As the primary judge found at [41] of his reasons, the employment based claims that the appellant pleaded in the statement of claim were abusive of the Court's process because they were all dependent on him being an employee.
38 The appellant failed to identify any part of the primary judge's reasoning that exposed an error other than his assertion that his Honour erred in finding that he should not be allowed to litigate the issue of employment again. The primary judge correctly directed himself to the law in [41]-[43] of his reasons and came to a conclusion that was open to him and with which we agree, in all of the circumstances of this particular case, including the uncontentious matters to which we have just referred. There is no error in his Honour's reasons for concluding that the appellant should not be allowed to reagitate in the Court the same subject matter, namely, whether he had an employment relationship with Kailash Lawyers, that he extensively agitated for the purposes of seeking an unfair dismissal remedy under s 394 in a lengthy hearing before the Commission and from which the Full Bench refused him leave to appeal.
39 For those reasons, the appeal must fail.