austlii:sa/SAET/2026/24
General information, not legal advice.
SAET
2026-02-27
Dolphin J
Original judgment source is linked above.
Summons v 1414 Degrees Ltd (No 2) [2026] SAET 24
JURISDICTION: South Australian Employment Court - - Costs
HEARING DATE: Written submissions up to 27 November 2025
JUDGMENT OF: The Honourable President Justice Dolphin
Costs - Monetary claim proceedings - Primary judgment held the applicant's evidence and submissions were insufficient to establish his contentions that a Deed of Release should be set aside - The Deed was not set aside, and the respondent is not estopped from relying on the Deed - The Deed prohibits the applicant from receiving any further money other than as provided for by the terms of the Deed - With the respondent being successful in defending the monetary claim, it sought a costs order against the applicant - Further written submission ordered with regards to the costs issue - Jurisdictional question of whether the applicant's monetary claim proceedings were brought under s 9 or s 10 of the Fair Work Act 1994 (SA) - If s 9, then the costs provisions of the Fair Work Act 2009 (Cth) relevant - If s 10, then a consideration of the costs to be awarded on the same basis as costs would be awarded in corresponding civil proceedings brought in the District Court of South Australia or the Magistrates Court of South Australia - Consideration of the applicant's conduct of the proceedings - Exercise of discretion. Held: Exercise of discretion to make a costs order is enlivened - Applicant warned before and during the proceedings that his case had no prospect of success - Applicant put on notice as to costs before and during the proceedings - Despite the many off-ramps provided to him, the applicant proceeded to judgment - Applicant prosecuted his unnecessary case and prolonged the litigation - In all the circumstance of the case, the respondent should be compensated for the legal costs it incurred in successfully defended the proceedings - Costs to be assessed on the the Minor Civil costs scale of Schedule 6, Part 4 of the Uniform Civil Rules 2020 South Australia.
Summons v 1414 Degrees Ltd [2025] SAET 118
Harradine v Chief Executive of the Department for Education and Child Development (No 2) [2020] SAET 193
Lyons v Legalese Pty Ltd & Ors (No 2) [2017] SASC 2
Oshlack v Richmond River Council [1998] HCA 11; (1998) 193 CLR 72
Mericka v Rathbone (2016) 125 SASR 563
Treasury Wine Estates Vintners Limited v Pearson [2019] FCAFC 21
Dahdah v Platinum Distributors Australia Pty Ltd (Costs) [2023] FCAFC 102
Fair Work Act 1994 (SA)
9 - Jurisdiction to decide monetary claims under industrial laws or instruments
(1) SAET (constituted as the South Australian Employment Court) has jurisdiction to hear and determine monetary claims of the following kinds:
**(a) a claim for a sum due to an employee or former employee from an employer or former employer under - **
(i) the Fair Work Act 1994, an award, enterprise agreement or contract of employment; or
(ii) the Commonwealth Act, or an award or agreement under the Commonwealth Act;
(b) a claim for a sum due to an employer or former employer from an employee or former employee under -
(i) the Fair Work Act 1994, an award, enterprise agreement or contract of employment; or
(ii) the Commonwealth Act, or an award or agreement under the Commonwealth Act;
(c) a claim for compensation to an employee or former employee from an employer or former employer for failure to make contributions (before or after the commencement of this Act) for the benefit of the claimant to a superannuation fund;
(d) a claim for payment of a benefit against the trustee of a superannuation fund to which contributions have been made.
Commonwealth Act means the Fair Work Act 2009 of the Commonwealth
10 - Jurisdiction to hear and determine questions arising under contracts of employment
(1) SAET (constituted as the South Australian Employment Court) has jurisdiction to hear and determine any question, action or claim founded on, or otherwise arising out of or in relation to, a contract of employment (including a contract of employment that has been terminated) including (but not limited to) -
(a) a claim for damages with respect to a breach of a contract of employment (including a claim where the employee under a contract of employment has been dismissed); and
(b) a claim to recover a liquidated sum or debt under a contract of employment; and
(c) an action for an order for specific performance; and
**(**6) The costs in any proceedings under this section will be awarded on the same basis (and in accordance with the same rules) as costs would be awarded in a corresponding civil action or claim brought in the District Court or the Magistrates Court (as the case may be).
(7) This section does not limit the operation of section 9.
(8) This section does not limit the operation of the Return to Work Act 2014.
(9) In this section - contract of employment means a contract recognised at common law as a contract of employment. (emphasis and underlining added)
Fair Work Act 1994 (SA)
(1) The South Australian Employment Court may only award costs in proceedings based on a monetary claim as follows -
(a) the Court may award costs on a claim for non-payment of superannuation contributions to cover reasonable expenses incurred by the claimant to establish the present value of the loss; and
(2) In connection with the operation of subsection (1)(b) -
(a) costs need not be awarded so as to follow the event; and
(b) the Court, in considering whether to award costs and, if so, the extent of the award, must take into account -
(ii) the relevant positions and circumstances of the appellant and the respondent (and of the successful and unsuccessful parties); and
(iii) the nature of the question in dispute and whether the proceedings have a broader impact than simply inter-parte proceedings between individual parties,
and may take into account such other matters as the Court thinks fit to ensure a just outcome in the circumstances of the case.
(3) This section does not apply in relation to a claim under section 10.
Fair Work Act 2009 (Cth)
570 - Costs only if proceedings instituted vexatiously etc.
(1) A party to proceedings (including an appeal) in a court (including a court of a State or Territory) in relation to a matter arising under this Act may be ordered by the court to pay costs incurred by another party to the proceedings only in accordance with subsection (2) or section 569 or [2009](https://www.austlii.edu.au/cgi-bin/viewdoc/au/legis/cth/consol_act/fwa569A.
Note: The Commonwealth might be ordered to pay costs under section 569. A State or Territory might be ordered to pay costs under section 569A.
(2) The party may be ordered to pay the costs only if:
(a) the court is satisfied that the party instituted the proceedings vexatiously or without reasonable cause; or
(b) the court is satisfied that the party's unreasonable act or omission caused the other party to incur the costs; or
(c) the court is satisfied of both of the following:
(i) the party unreasonably refused to participate in a matter before the FWC;
(ii) the matter arose from the same facts as the proceedings. (emphasis added)
Respondent's primary case - s 10 of the Fair Work Act 1994 (SA)
Further, as a gesture of goodwill and despite not technically being obliged to do so, our client would be willing to reimburse you for the reasonable costs associated with a relocation to Sydney, up to a maximum of $10,000 total. If you wish to avail yourself of this opportunity, please provide the writer with reasonable proof of purchase after the expense has been incurred, and our client will attend to reimbursing that amount in due course.[1]
Mr Summons' affidavit evidence in the primary case
Clause 18 clearly states "our client will attend to reimbursing that amount in due course". Which means having an unlimited timeframe. Clause 11 [the entire agreement clause] of the Deed does not apply to the reimbursement of relocation costs for the following reasons:
The reimbursement was a separate independent decision by 14D [the respondent] that came into effect before any discussions commenced that led to the Deed. Other than reasonable proof of purchase, the reimbursement was not conditional on anything and came into effect on and from 23 June 2021. As the reimbursement was already in place, not in dispute, not subject to negotiation, and was not withdrawn, it did not form part of the Deed and was not intended to be.[5]
My primary objective is to have the Deed set aside to force 14D to publicly apologise for the false and fabricated workplace misconduct allegations and to retract all of the damaging ASX announcements. This is of greater value to me than the reimbursement of the removalists costs.[6]
1.3 Claims means all past, present and future claims, causes of action, costs, demands, entitlements and complaints, however described, including but not limited to those arising pursuant to the Fair Work Act 2009 (Cth), the common law, equity and/or any other Act or Regulation of State or Commonwealth Parliament, and including all claims and/or complaints relating to:
1.3.1 The Contract and the Employment (including their cessation); (underlining added)
The parties submissions on whether s 9 or s 10 of the FW Act (SA)
(13) If settlement of a matter is not reached at a compulsory conference, the member of the Tribunal presiding at the conference -
(a) must give to the parties an assessment of the merits of the party's case; and
(b) must seek to recommend ways to resolve any matter in dispute.
The relocation offer was made in connection with and arising out of the termination of my employment. It was intrinsically linked to the employment relationship. As such, my claim was properly a monetary claim arising from employment falling under section 9 of the State FW Act.[23] (original emphasis remains)
The relocation promise was made by the employer in the termination letter and was intrinsically linked to the employment relationship. It was at least reasonably arguable that the claim fell within section 9(1)(a) (monetary claim), engaging the general no-costs approach in section 36. The proposed reimbursement was not an understanding, negotiation, or agreement; it is a term of the employment contract that came into effect on 23 June 2021.[24]
The costs in any proceedings under this section will be awarded on the same basis (and in accordance with the same rules) as costs would be awarded in a corresponding civil action or claim brought in the District Court or the Magistrates Court (as the case may be).
Subject to this Act and the rules, costs in any civil proceedings will be in the discretion of the Court and may be awarded against any person (whether a party to or a witness in the proceedings or not).
(a) on the standard costs basis, solicitor/client basis, indemnity basis or another basis specified by the Court;
(b) in accordance with the Higher Courts costs scale, Magistrates Court costs scale, Minor Civil costs scale or Fast Track costs scale; or
(c) on a combination of different bases or scales for different components of costs.
(1) A successful party in a minor civil action is ordinarily entitled to costs on the Minor Civil costs scale in Schedule 6 Part 4.
(2) Subrule (1) is subject to the discretion of the Court under rule 193.2.
(3) Subrule (1) is subject to the Court finding proper cause exists to make no order as to costs for failure to comply with Part 2 of this Chapter.
The starting position is that the discretion is confined only by subject matter, scope and purpose, such that the width of the discretion maximises the possibility of doing justice in every case, whilst recognising the need for consistency in judicial adjudication by reference to principles and guidelines. Costs are compensatory in nature and are awarded not by way of punishment, but to indemnify the successful party against the expense incurred by reason of the legal proceedings.[36]
Thus, the outcome of the proceedings becomes the primary consideration in the exercise of the discretion as it identifies who is to be compensated. The general rule necessarily becomes "a relevant consideration in any exercise of the discretion in relation to costs".[37] Fairness and policy dictate that it is the successful party who ordinarily should be compensated, as the successful party would not have incurred costs if proceedings had not been brought. The potential liability for costs contributes to discouraging unnecessary litigation and encouraging responsibility in the conduct of litigation. However, the general rule is not absolute, and the discretion must be exercised judicially and not capriciously, having regard to all relevant factors, and upon the facts leading up to and connected with the litigation.[38]
Fairness may provide reason to depart from the general rule in whole or in part. Thus, whether it is fair to award the successful party costs may depend upon that party's conduct of the matter.[39] The conduct of a successful party in prosecuting a matter may disentitle it to the benefit of the general rule in whole or in part. Examples include lax conduct which invites the litigation; the unnecessary protraction of proceedings; success on points not argued below; prosecuting a matter solely for the purpose of increasing costs; or obtaining relief which the unsuccessful party had already offered: McHugh J in Oshlack.[40]
The alternative conclusion - s 9 of the FW Act (SA)
[1] Respondent's Cost Submissions 13 November 2025 [5]: Exhibit R1 Affidavit of Sarah Lithgow, 14 June 2023, Annexure SL-1.
[2] Summons v 1414 Degrees Ltd [2025] SAET 118.
[4] Respondent's Costs Submissions 13 November 2025 [6].
[5] Affidavit of Jamie Summons 28 August 2023 page 2.
[7] Outline of Submissions for the Applicant's Response 14 November 2023 [5].
[8] Applicant's Further Submissions in Reply 25 September 2025 [3] & [23].
[9] Answer / Response 5 May 2023; Outline of Submissions of the Respondent 22 September 2023 [29]-[30].
[10] Further Submissions of the Respondent 1 December 2023; Respondent's Submissions in Reply 17 October 2025 [10].
[11] Respondent's Costs Submissions 13 November 2025 [19.1].
[16] At the time, South Australian Employment Tribunal Rules 2017 r 85; now, South Australian Employment Tribunal Rules 2024 r 113.
[17]Respondent's Cost Submissions 13 November 2025 [29.2]-[29.3].
[21] Respondent's Cost Submissions 13 November 2025 [30]-[32].
[22] [Applicant's] Submissions in Response to Costs Application 18 November 2025 [4] and [5].
[25] Summons v 1414 Degrees Ltd [2025] SAET 118 [15]-[16].
[27] See also Uniform Civil Rules South Australia 2020 r 67.5(4).
[28] [Applicant's] Submissions in Response to Costs Application 18 November 2025 [8].
[33] Harradine v Chief Executive of the Department for Education and Child Development (No 2) [2020] SAET 193 [37]-[41].
[34] Lyons v Legalese Pty Ltd & Ors (No 2) [2017] SASC 2.
[35] Oshlack v Richmond River Council [1998] HCA 11; (1998) 193 CLR 72.
[37] Mericka v Rathbone (2016) 125 SASR 563 at [172] (Doyle J).
[41] Treasury Wine Estates Vintners Limited v Pearson [2019] FCAFC 21.
[43] Dahdah v Platinum Distributors Australia Pty Ltd (Costs) [2023] FCAFC 102.
Summons
1414 Degrees Ltd
(1998) 193 CLR 72
(2016) 125 SASR 563