Should leave be given?
16 It is well-established in light of such cases as Decor Corporation Pty Ltd v Dart Industries Inc [1991] FCA 655; (1991) 33 FCR 397 at 398-399 that in considering whether the Court should grant leave to appeal, the Court must be satisfied that there is sufficient doubt as to the correctness of the judgment below and that if the judgment below is assumed to be wrong, substantial injustice would be suffered by the applicant if leave to appeal were refused.
17 Mr Ritson's proposed grounds of appeal are as follows:
1. The primary judge constructively failed to exercise jurisdiction by failing to consider, make findings or give reasons concerning the 'grounds of application' pleaded in the appellant's originating application for judicial review dated 26 July 2019.
2. The primary judge constructively failed to exercise jurisdiction by failing to respond to the appellant's substantial, clearly articulated arguments relying upon established facts set out in his written submissions dated 9 September 2019.
18 In his written submissions dated 1 July 2021, Mr Ritson accepted that the principles in Decor Corporation Pty Ltd v Dart Industries Inc set out above apply to the determination of an application for leave to appeal. He relies on the material contained in the tender bundle which accompanied the Commissioner's submissions filed on 13 April 2021. He submitted as follows (footnotes incorporated):
Proposed grounds of appeal
5. Rares J failed to consider, make findings or give reasons concerning the 'grounds of application' pleaded in the applicant's originating application for judicial review dated 26 July 2019. This amounted to a constructive failure to exercise jurisdiction. [Re Minister for Immigration and Multicultural Affairs; Ex parte Miah [2001] HCA 22; 206 CLR 57 at [81].]
6. Rares J also failed to respond to the applicant's substantial, clearly articulated arguments relying upon established facts set out in his written submissions dated 9 September 2019. This also amounted to a constructive failure to exercise jurisdiction. [Dranichnikov v Minister for Immigration and Multicultural Affairs [2003] HCA 26; 77 ALJR 1088 at [24]-[25].]
7. A decision that involves jurisdictional error is a decision that lacks legal foundation and is properly regarded, in law, as no decision at all. [Minister for Immigration & Multicultural Affairs v Bhardwaj [2002] HCA 11; 209 CLR 597 at [51].] The constructive failure of Rares J to exercise jurisdiction results in the conclusion that his Honour made no decision at all.
8. The constructive failure to exercise jurisdiction also results in the conclusion that the applicant was denied natural justice in the proceedings before Rares J.
Leave to appeal
9. In all of the circumstances, the decision of Rares J is attended with sufficient doubt to warrant its reconsideration on appeal and substantial injustice would result if leave to appeal were refused. [Décor Corporation Pty Ltd v Dart Industries Inc [1991] FCAFC 844; (1991) 33 FCR 397 at 398-399.]
10. The applicant ought to be given leave to appeal the decision of Justice Rares made on 11 September 2019.
19 In his oral submissions, Mr Ritson submitted that Lee J failed to appreciate that, by ground 2 of his appeal of the FCCA decision, he raised the issue of whether or not Ms Keating had actual, as opposed to ostensible, authority to cause the issue of the bankruptcy notice. He said that that issue was not addressed in Rares J's reasons. He relied on his written submission filed in the proceedings before Lee J on 29 April 2019 at [15]-[25]. Notably, at [19]-[23] of those submissions, Mr Ritson said (footnotes omitted):
19. Whether Ms Hegarty has been validly retained to act for the Commissioner of Police to take steps to have the bankruptcy notice issued, it is the actual authority of Ms Keating to give those instructions which is of importance, not the ostensible authority of Ms Keating.
20. Agency depends upon authority, and only the agent or the principal is able to adduce the evidence necessary to establish this. An alleged agent cannot confer authority on himself/herself by his/her own acts.
21. No evidence was adduced to establish that Ms Keating had actual authority from the Commissioner of Police. Only Ms Keating or the Commissioner of Police was able to adduce the evidence necessary to establish actual authority. Neither of those persons gave evidence and his Honour made no finding that Ms Keating had actual authority.
22. His Honour failed to address the appellant's submission that an unfavourable inference ought to be drawn from the failure to adduce evidence directly from Ms Keating responding to the question whether she was authorized by, or a delegate of, the Commissioner of Police to make an application for the issue of the bankruptcy notice.
23. The only evidence adduced which was relied on to form a basis for his Honour's finding that Ms Keating had ostensible authority was an email purportedly sent by Ms Keating to Ms Hegarty. However, an employee cannot acquire ostensible authority simply by acting as if she has that authority; there must be some representation by the alleged principal.
20 It is clear from Rares J's reasons that he did not rehearse the grounds set out in the judicial review application or Mr Ritson's submissions dated 9 September 2019. However, in my view there is no reason to doubt that Rares J correctly identified the substantive issues raised in the rejected interlocutory application. There is insufficient reason to doubt the correctness of Rares J's conclusions in Ritson v Registrar at [5] and [8] which were, in effect:
(a) That Lee J had dealt with the substance of ground 2 of Mr Ritson's appeal in his decision at [17] (ostensible authority) and [19] (actual authority); and
(b) If, indeed, Lee J did fail properly to appreciate the issues raised by ground 2 of the appeal, that was an error within jurisdiction, not an occasion on which the Court's limited jurisdiction to set aside an order on the basis that a miscarriage of justice would otherwise occur was enlivened.
21 In those circumstances there is no merit to an argument that that there was a constructive failure by Rares J to exercise jurisdiction because he did not address directly the grounds of the judicial review application as formally set out.
22 In his oral submissions Mr Ritson also submitted that Rares J failed to take into account that Mr Ritson had sought further or other orders in the rejected interlocutory application and submitted that Rares J should have allowed the judicial review application at least to the extent that the rejected interlocutory application sought those orders. He suggested that the order which might have been made as a result would be amendment to the heading of Lee J's decision at [15]-[19] to reflect ground 2 properly so that a reader could appreciate that the issue of actual authority had been raised. That issue does not appear to have been raised before Rares J and the remedy proposed has little or no utility. I am not satisfied that this is a sufficient basis on which to grant leave to appeal.
23 In the circumstances of this case, I am not satisfied that the refusal of leave works substantial injustice on Mr Ritson and I am satisfied that the grant of leave would perpetuate unmeritorious litigation.