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[2016] FCA 799
Federal Court of Australia
2016-07-12
John J, Mr J, Commission J, Besanko J
Original judgment source is linked above.
Dates of hearing: 21, 22 April 2016
Registry: New South Wales
Division: General Division
National Practice Area: Commercial and Corporations
Sub-area: Regulator and Consumer Protection
Category: Catchwords
Number of paragraphs: 105
Counsel for the Applicant: Mr D Williams SC with Mr M Costello
Solicitor for the Applicant: Johnson Winter & Slattery
Counsel for the First Respondent: Mr I Jackman SC with Mr J Potts
Solicitor for the First Respondent: Hicksons
Counsel for the Second and Third Respondents: Mr N Owens with Ms E Bathurst
Solicitor for the Second and Third Respondents: Colin Biggers & Paisley Pty Ltd
AND: NEW SOUTH WALES BAR ASSOCIATION ACN 000 0033 652 First Respondent
JUDGE: BESANKO J DATE OF ORDER: 12 JULY 2016
Introduction 1 This is an application by Ms Mary Walker for declarations and an order pursuant to s 233 of the Corporations Act 2001 (Cth) against the New South Wales Bar Association ("the Association"), Ms Jane Needham SC and Mr Noel Hutley SC. 2 The applicant practises as a barrister predominantly in New South Wales and she is and has been a member of the Association since 20 May 1988. For some time prior to 2014, the applicant's practice has been wholly or substantially comprised of the conduct of mediations, as a mediator. Clause 4 of the Association's Constitution provides for two types of membership, being an Ordinary Member and a Life Member. The applicant is an Ordinary Member - Class A because she is a Local Practising Barrister within the Constitution. The applicant is not Senior Counsel within the Constitution because she is not a Local Practising Barrister appointed and designated as Senior Counsel by the President, and nor has she received a commission as Queen's Counsel. She is a member of the Outer Bar. The Constitution provides that the business and affairs of the Association are to be managed and administered by the Bar Council. The applicant has been a member of the Bar Council since 11 November 2011. 3 The Association was incorporated as a company limited by guarantee on 22 October 1936. At that point, it had a Memorandum and Articles of Association. The constituent document of the Association at the present time is its Constitution. From 29 May 2014 to 11 November 2015, Ms Needham and Mr Hutley held the positions of President and Senior Vice-President respectively under the Constitution of the Association. Mr Hutley has held the position of President since 12 November 2015. Ms Needham has not held any office of the Association or had any role in the administration of the Association's affairs since 12 November 2015. 4 In 1992, the New South Wales Government announced that there would be no further appointments of Queen's Counsel. The Association established its own equivalent rank of Senior Counsel. Senior Counsel are appointed after a consultation process involving members of the profession and the judiciary. The principles governing the selection and appointment of those to be designated as Senior Counsel by the President of the Association are contained in (relevantly) a Senior Counsel Protocol. 5 In 2014 and again in 2015, the applicant applied for appointment as Senior Counsel. On each occasion her application for Senior Counsel was unsuccessful. An unsuccessful applicant is not entitled to reasons for the refusal of his or her application. Under the Senior Counsel Protocol, an unsuccessful applicant may discuss their application with the President. The applicant exercised that option. As to her application in 2014, the applicant was told that her application was not considered because the Senior Counsel Selection Committee determined that it was not within the Protocol. As to her application in 2015, the applicant was told that her application was considered on its merits and that she did not have sufficient support. She was told that the Senior Counsel Selection Committee deferred consideration of the meaning of "practising advocate" in the 2015 Senior Counsel Protocol. 6 The applicant seeks the following declarations: 1. A declaration that on its proper construction the New South Wales Bar Association Senior Counsel Protocol as applicable at 14 May 2015 (2015 Protocol) does not prevent the selection or appointment of the plaintiff as Senior Counsel merely on the ground that her practice is wholly or substantially comprised of the conduct of mediations, as a mediator. 2. A declaration that on the proper construction of the 2015 Protocol the expression "practising advocates" in clause 4 may include a barrister whose practice is wholly or substantially comprised of the conduct of mediations, as a mediator. 3. A declaration that on its proper construction the New South Wales Bar Association Senior Counsel Protocol as applicable at 15 May 2014 (2014 Protocol) did not prevent the selection or appointment of the applicant as Senior Counsel merely on the ground that her practice was wholly or substantially comprised of the conduct of mediations, as a mediator. 4. A declaration that on the proper construction of the 2014 Protocol the expression "practising advocates" in clause 4 may include a barrister whose practice is wholly or substantially comprised of the conduct of mediations, as a mediator. 5. A declaration that the conduct of the Association's affairs in connection with the 2014 and 2015 Senior Counsel application and appointment process was oppressive to, unfairly prejudicial to, and unfairly discriminatory against, the applicant. 6. A declaration that in the case of the applicant's applications for appointment as senior counsel in 2014 and 2015 the Senior Counsel Selection Committees for each year construed the Senior Counsel Protocol in a manner inconsistent with: a. the 2010 Bar Council Resolution; and b. the 2011 Bar Council Resolution. The declarations in paragraphs 1, 2, 3, 4 and 6 are sought pursuant to the Court's power to make declarations of right in appropriate circumstances (Federal Court of Australia Act 1976 (Cth) s 21). The declaration in paragraph 5 relates to the Court's power to make orders under ss 232 and 233 of the Corporations Act in the circumstances identified in those sections. In addition to the declaration in paragraph 5, the applicant seeks the following order pursuant to s 233 of the Corporations Act: 7. An order pursuant to section 233 of the Corporations Act 2001 (Cth) (Act) that the Respondents publish a statement to the members of the Association to the effect that in the case of the applicant's applications for appointment as senior counsel in 2014 and 2015 the Senior Counsel Selection Committees for those years construed the Senior Counsel Protocol in a manner inconsistent with: a. the 2010 Bar Council Resolution; and b. the 2011 Bar Council Resolution. 7 The respondents deny that the applicant is entitled to any relief. As to the claims for declarations concerning the proper construction of the Senior Counsel Protocols (paragraphs 1, 2, 3, 4 and 6) the respondents' principal contention is that the subject matter of those declarations is not justiciable. As to the claims for the declaration in paragraph 5 and the order in paragraph 7, the respondents' principal contention is that none of the grounds in s 232 of the Corporations Act have been made out. They also contend that the Court should refuse relief in the exercise of its discretion because the conduct relied on by the applicant has not affected her in her capacity as a member.
The Applicant's Applications for Appointment as Senior Counsel in 2014 and 2015 8 The important issue is the nature of the applicant's practice in 2014 and 2015, not the quality of her applications and, for that reason, I confine myself to a short summary of her applications. 9 In her application in 2014, the applicant states the following. She practised as a solicitor from 1986 to 1988. She joined the New South Wales Bar in May 1988. In her early years, she practised in both the civil and criminal jurisdictions. She states that in recent years, her practice has been in the areas of insurance, general commercial, professional and medical negligence and policy advice and that she has developed an extensive practice in Alternative Dispute Resolution ("ADR"). The applicant outlines her practice "in advocacy and Court work" over 26 years of practice at the Bar. The information she provides is very detailed and by reference to the criteria in paragraph 6(g) of the Senior Counsel Protocol (see [19] below), she sets out her involvement in appeal cases, general advocacy and advice work. In addressing any position of leadership she might hold in a specialist jurisdiction and her experience and practice in ADR, including arbitrations and mediations, (paragraph 6(g)(ii) and (vi)), the applicant states that she has an extensive practice in ADR "including mediation, expert determination, arbitration, advice on Claims Resolution Processes particularly in multi-party disputes and advice in all areas of ADR". The applicant states that between 1 January 2011 and 31 July 2012, she conducted 90 mediations of matters before the Supreme Court, between 1 January 2012 and 31 July 2013, she conducted 92 mediations of superior court cases, and during a period of 18 months prior to her application in July 2014, she conducted 99 mediations of superior court cases. These periods overlap, but on any view from at least 1 January 2011, the applicant conducted a substantial mediation practice. 10 The applicant's application in 2014 also contains details of her involvement in committees of the Law Council of Australia and the Association respectively which address and monitor ADR issues. The summary provided in her Outline of Closing Submissions is sufficient for present purposes. At different times, the applicant has held the following positions: (1) Chair of the Law Council of Australia Expert Standing Committee and Advisory Committee on Alternative Dispute Resolution; (2) Chair of the Law Council of Australia's Litigation Section Alternative Dispute Resolution Committee; (3) Chair of the Law Council of Australia's International Law Section's Alternative Dispute Resolution Committee; (4) Member of the Association's ADR Task Force; (5) Chair of the Association's ADR and Arbitration Committee; (6) Member of the Association's ADR Committee; and (7) The Association's representative on the Supreme Court ADR Committee. 11 The applicant's application in 2015 contains much the same information as her application in 2014, although there are some differences. For example, she sets out early in the application the current briefs she holds as a practising advocate. Furthermore, she states that in the period of 18 months prior to the application in July 2015, she had conducted 101 mediations in superior court cases.
The Association's Constitution 12 The Constitution provides that the objects of the Association include to promote the administration of justice; to promote, maintain and improve Local Practising Barristers; to promote the interests and standards of fair and honourable practice amongst barristers; generally to do all such things as may in the opinion of the Bar Council be of benefit to Local Practising Barristers; and to do all such things as are incidental or conducive to the attainment of the stated objects of the Association or any of them. 13 The Constitution provides that the Bar Council is to manage and administer the business and affairs of the Association and that it may exercise all the powers of the Association save for those which are required by the Corporations Act or the Constitution to be exercised by the Bar Association in General Meetings (cl 14.1). The Bar Council is established by the Constitution and is to consist of 21 Ordinary Members - Class A who are elected pursuant to the Constitution (cl 10.2). 14 There are five Office Bearers of the Bar Council being a President, Senior Vice-President, Junior Vice-President, a Treasurer and Honorary Secretary (cl 13.1). The President is to supervise the affairs of the Association and, by virtue of the office of President, is a member of all Committees established by the Bar Council (cl 13.6.1). 15 The Bar Council may delegate any of its powers to committees and it may delegate any of its functions, duties or powers to a committee known as the Executive Committee which consists of the Office Bearers of the Bar Council (cl 14.3.2). The President may make statements or express views about matters of public interest on behalf of the Association (cl 14.8). 16 Other than acknowledging in the definition of Senior Counsel that they are persons appointed Senior Counsel by the President, the Constitution makes no mention of the appointment and designation of Senior Counsel or the Senior Counsel Protocol.
The Senior Counsel Protocol 17 The applicant put before the Court the Senior Counsel Protocol as at June 2011, the Senior Counsel Protocol as at 10 May 2012, the Senior Counsel Protocol as at 16 May 2013, the Senior Counsel Protocol as at 15 May 2014, and the Senior Counsel Protocol as at 14 May 2015. The two Protocols which are relevant are those as at 15 May 2014 and 14 May 2015, although it is necessary to note amendments to the earlier Protocols. The Bar Council approved and disseminated the Protocols. 18 The 2014 Protocol sets out, among other things, the principles governing the selection and appointment of those to be designated as Senior Counsel by the President of the Association. Clauses 1 - 4 are in the following terms: The principles governing the selection and appointment of those to be designated as Senior Counsel by the President of the Bar Association are as follows: 1. The designation as Senior Counsel of certain practising advocates by the President of the Bar Association, in accordance with the following principles and under the following system, is intended to serve the public interest. 2. The designation of Senior Counsel provides a public identification of barristers whose standing and achievements justify an expectation, on the part of those who may need their services as well as on the part of the judiciary and the public, that they can provide outstanding services as advocates and advisers, to the good of the administration of justice. 3. As an accolade awarded on the basis of the opinions of those best placed to judge barristers' qualities, the designation of Senior Counsel also provides a goal for junior counsel, and should encourage them to improve and maintain their professional qualities. 4. Appointment as Senior Counsel should be restricted to practising advocates, with acknowledgment of the importance of the work performed by way of giving advice as well as appearing in or sitting on courts and other tribunals and conducting or appearing in alternative dispute resolution, including arbitrations and mediations. 19 Clauses 5 - 7 appear under the heading "Essential Criteria" and are in the following terms: 5. The system for the designation of Senior Counsel must be administered so as to restrict appointment to those counsel whose achievement of the qualities set out below displays and presages their ability to provide exceptional service as advocates and advisers in the administration of justice. 6. The qualities required to a high degree before appointment as Senior Counsel are: (a) learning: Senior Counsel must be learned in the law so as to provide sound guidance to their clients and to assist in the judicial interpretation and development of the law. (b) skill: Senior Counsel must be skilled in the presentation, testing, evaluation and resolution of litigants' cases, so as to enhance the likelihood of just outcomes and/or negotiated resolution in adversarial proceedings, whether in court or otherwise. (c) integrity and honesty: Senior Counsel must be worthy of confidence and implicit trust by the judiciary and their colleagues at all times, so as to advance the open, fair and efficient administration of justice. (d) independence: Senior Counsel must be committed to the discharge of counsel's duty to the court, especially in cases where that duty may conflict with clients' interests. (e) disinterestedness: Senior Counsel who are in private practice must honour the cab-rank rules; namely, the duty to accept briefs to appear for which they are competent and available, regardless of any personal opinions of the parties or the causes, and subject only to exceptions related to appropriate fees and conflicting obligations. (f) diligence: Senior Counsel must have the capacity and willingness to devote themselves to the vigorous advancement of the clients' interests. (g) experience: Senior Counsel must have the perspective and knowledge of legal practice acquired over a considerable period. During this time it is expected (without being exhaustive) that the applicants' practice will demonstrate some or all of the following: (i) experience in arguing cases on appeal; (ii) a position of leadership in a specialist jurisdiction; (iii) experience in conducting major cases in which the other party is represented by Senior Counsel; (iv) experience in conducting cases with a junior; (v) considerable practice in giving advice in specialist fields of law; (vi) experience and practice in alternative dispute resolution, including arbitrations and mediations; and (vii) experience in sitting on courts or tribunals. 7. Senior Counsel will have demonstrated leadership in: (a) developing the diverse community of the Bar; or (b) making a significant contribution to Australian society as a barrister. 20 Clause 8 provides for a Selection Committee which is to take all steps towards the selection of appointees. The Selection Committee is to consist of the President, the Senior Vice-President, four other Senior Counsel nominated by the President and approved by the Bar Council, not more than one of whom may be a member of the Bar Council, a non-practising barrister whose qualifications are such that the person is an appropriate person to be the non-practising representative on the committee and one non-lawyer community member. 21 The Selection Committee is to establish a consultation group of at least 30 Senior Counsel, at least 30 junior counsel and at least 30 solicitors specialising and experienced in the conduct of litigation. 22 An applicant for appointment as Senior Counsel is to provide in respect of all cases, including contested interlocutory applications in which they appeared in the last 18 months, and if desired, a longer period, the details relating to the cases which are set out in cl 12. After a list of those details, cl 12 provides that they "may be modified in alternative dispute resolution matters or otherwise when confidentiality requires". 23 Clause 24 provides that the Selection Committee may determine that any application which it is satisfied does not warrant further consideration should be put aside in a preliminary selection. Clauses 25 to 31 provides for the consultation which is to take place in relation to those applications not put aside in a preliminary selection. The Selection Committee is to make a final selection of the proposed appointees. The views of the Chief Justice are sought and the President is not to appoint an applicant whose appointment the Chief Justice opposes. 24 Clauses 35 and 36 deal with the attire of Senior Counsel and the use of the post nominals, "Senior Counsel" and "S.C.". 25 Clause 37 provides for the undertaking given by Senior Counsel to use the designation "only while they remain practising barristers in private practice or retained under statute by the Crown, or during temporary appointments in a legal capacity to a court, tribunal or statutory body". 26 The 2015 Protocol is in material respects in the same terms as the 2014 Protocol. There were some minor changes to one or two words and the punctuation in cl 4, but no party suggested that those changes were material. 27 In terms of the issues in this case, there was a significant change to cl 4 in the 2012 Protocol. In the 2011 Protocol, cl 4 was in the following terms: Appointment as Senior Counsel should be restricted to practising advocates, with acknowledgment of the importance of the work performed by way of giving advice as well as appearances in courts and other tribunals. 28 The 2012 Protocol also changed cl 6(g)(vi) which in the 2011 Protocol simply read: experience and practice in alternate dispute resolution. 29 Finally, cl 12 of the 2011 Protocol did not have the qualification which appeared in the 2012 Protocol about modifying the details required by the clause in ADR matters or otherwise when confidentiality required.
The Association's Involvement in Alternative Dispute Resolution (ADR) 30 The Association publishes a list of Bar ADR accredited mediators. A number of the persons listed are Senior Counsel (or Queen's Counsel). The applicant's name appears on the list. It also publishes a list of mediators for Supreme Court Referrals with the addition of the identification of areas of experience or specialisation. Again, a number of those persons listed are Senior Counsel (or Queen's Counsel) and the applicant's name appears on the list. There is also a similar list identifying District Court practice areas. The Association operates a scheme which it advertises online called "Bar ADR". The Association offers solicitors, in-house counsel and members of the public with access to barristers trained and accredited in the ADR processes of mediation, arbitration and expert determination. 31 The Association accepts applications for accreditation or re-accreditation of mediators under a system known as the National Mediator Accreditation System. 32 The Association is active in the area of ADR. This is not surprising. The New South Wales Barristers' Rules (r 38) require a barrister to inform the client or the instructing solicitor of the alternatives to a fully contested adjudication of the case. As I have said, it has an Alternative Dispute Resolution Committee and that committee assists the Association in dealing with ADR issues. For example, the Association made a submission to the New South Wales Law Reform Commission about "updating" statutory provisions providing for mediation and other forms of ADR.
The Facts 33 The facts are not in dispute. 34 On 20 May 2010, the Bar Council held a meeting at which it considered a Report on the Review of the New South Wales Bar Association Protocol for the appointment of Senior Counsel prepared by The Hon R V Gyles AO QC dated 30 April 2010. A number of matters in the Protocol were discussed and various principles or positions were agreed. In relation to mediation, the following appears in the minutes: It was agreed that skill in representation of clients in mediation, and in acting as a mediator, were relevant factors to be taken into account by the Selection Committee. The Bar Council agreed that the Selection Protocol be amended to clarify that the Selection Committee shall take into account experience and practice in mediation. 35 In 2010, a review of the Senior Counsel selection process was undertaken and the Association published a paper by the Hon Keith Mason AC QC dated 7 October 2010 which made certain observations and suggestions concerning the Senior Counsel selection process in 2010 and the process to be adopted in the future. Mr Mason had been a member of the Senior Counsel Selection Committee in 2010 as a non-practising barrister with appropriate qualifications. In his paper, Mr Mason made the following observations concerning mediation: A related matter involved the place of mediation. The Committee recognised the significance of alternative dispute resolution in the modern law. It also acknowledged that a 2010 amendment to the Protocol had included as one of the non-exhaustive list of "experience" criteria "experience and practice in mediation". By way of analogy, it was also recognised that some great barristers of the past have had a very substantial advice practice in particular areas. The Committee were much troubled and divided about the intent of the Protocol as regards a barrister whose major or sole contemporary practice involves participation in mediations as mediator. It had no difficulty in concluding that such a person is a "practising advocate" who satisfies the stipulation (para 4) that appointment should be restricted to such persons, so long as such an applicant (if a member of the private Bar) stands ready to observe the cab-rank principle. But the majority of the Committee felt that the essential "skill" component referred to above requires it to be demonstrated that an applicant with a mediator's practice can demonstrate (presumably based on prior experience) that he or she presently has skill "to a high degree" in "the presentation and testing of litigants' cases". If this is demonstrable, then there would be no impediment stemming from the current mix of the applicant's practice being wholly or exclusively that of a mediator. The Committee invites the Bar Council to clarify the Protocol if it has been misinterpreted. 36 Mr Mason's report and other papers and submissions were considered by the Bar Council at a meeting on 24 March 2011. The following appears in the minutes of that meeting: The Bar Council agreed that the Protocol should be amended to make it clear that there is no reason why a barrister who practises as a "pure mediator", that is, who sits as a mediator or in related ADR proceedings, should not be appointed Senior Counsel. 37 The Association publishes the Bar News and in the Winter 2011 edition, the then President of the Association, Mr Coles QC, said the following: The Bar Association has again this year reviewed the senior counsel protocol. It is crucial that the protocol remain under ongoing scrutiny in order to ensure that the senior counsel selection process continues to be relevant, and again this year the views of members were sought as to how the silk appointment process could be improved. As a result of the review process, the protocol has been amended to make it clear that there is no reason why a barrister who practices as a 'pure mediator', that is, who sits as a mediator or in related ADR proceedings, cannot be considered for appointment as senior counsel. 38 I will come back to the chronology of events in due course, but at this point I identify a related issue which arose in 2011. 39 The issue was whether "barristers' work" included acting as a referee, arbitrator or mediator. The New South Wales Bar Association Rules, and in particular Rule 74(g), provided that barristers' work included "acting as a referee, arbitrator or mediator". The issue arose because in 2011, the Bar Associations of some States were considering the adoption of national rules which would be effected through the Australian Bar Association ("ABA"). The ABA's national rules and, in particular, Rule 15 did not include in the description of barristers' work, professional work acting as a referee, arbitrator or mediator. The Association adopted those Rules on 8 August 2011. At a meeting of the Bar Council on 24 November 2011, the applicant expressed the view that the New South Wales Rules which had come into force in August 2011 did not adequately address the position of barristers performing ADR work. The applicant agreed to bring forward a paper to the Bar Council on the issue. The applicant prepared a paper dated 1 December 2011 as did the Alternative Dispute Resolution Committee of the Association. 40 At a meeting of the Bar Council on 8 December 2012, the applicant's paper and that of the Alternative Dispute Resolution Committee were considered and the following resolutions were passed: Bar Council RESOLVED that the Alternative Dispute Resolution Committee's suggested amendments to rule 15(d) and Rule 116 of the NSW Barristers rules be forwarded to the Australian Bar Association's Rules Committee for consideration. The Bar Council ALSO RESOLVED that this issue be reconsidered if no decision has been made in this regard by the Rules Committee by 1 April 2011. The Bar Council FURTHER RESOLVED that it accepts that conducting alternative dispute resolution proceedings such as mediations does constitute 'barristers work for the purposes of the New South Wales Barristers' Rules of 8 August 2011, and that a note be circulated to the Bar via In-Brief advising them of Bar Council's resolution. 41 On or about 24 January 2012, the Executive Director of the Association circulated to each member of the ABA Council, a note which contained suggested amendments to the national rules. On 19 June 2012, the Executive Director advised the applicant that the ABA had not by then agreed to the changes to Rule 15(d) of the New South Wales Rules sought by the Association. From June 2012 until about the middle of 2013, the applicant raised the issue of the need to clarify the issue under the Barristers' Rules at meetings of the Bar Council. 42 At a meeting of the Bar Council on 25 July 2013, the applicant raised the issue again and the Bar Council resolved that the Executive Director report to it on the history of the ABA's consideration of the suggested changes. The Executive Director prepared a note dated 7 August 2013. At a meeting of the Bar Council on 16 July 2015, the Council resolved that Rule 11 of the Legal Profession Uniform Conduct (Barristers) Rules be amended by adding "representing a client in or conducting a mediation or arbitration or other method of alternative dispute resolution". 43 The Senior Counsel Protocol as at 16 May 2013 was, relevantly, in the same terms as the Senior Counsel Protocol as at 10 May 2012. In October 2013, the applicant was advised that her application for appointment as Senior Counsel in that year had been unsuccessful. 44 On 10 April 2014, the Bar Council endorsed the Senior Counsel Selection Committee for 2014. 45 There was a meeting of the Bar Council on 15 May 2014 and the applicant was in attendance. The President at that time was Mr Philip Boulten SC. The Bar Council considered whether any amendments should be made to the 2013 Protocol in advance of the 2014 Senior Counsel application process. Mr Alexander Street SC raised proposed amendments to the 2013 Protocol regarding the need for clarification with respect to persons "acting as a mediator" and the definition of "practising advocates". No amendments were made to the 2013 Protocol. The applicant's unchallenged evidence is that at the meeting Mr Boulten said words to the following effect: There is no need to make such an amendment as it is clear that persons acting as a mediator satisfy the definition as it presently reads of "practising advocate". 46 The 2014 Protocol was in material respects in the same terms as the 2013 Protocol. 47 On or about 25 July 2014, the applicant made an application for appointment as Senior Counsel and I have already made reference to the contents of the application. On 2 October 2014 she was advised by the President of the Association that her application had been unsuccessful. 48 As I have said, the applicant took the option of discussing her application with the President. She met with Ms Needham and Mr Hutley on 3 October 2014. Her unchallenged evidence of the discussion which took place is as follows (the participants are identified by their initials): 26. … JN "What we are going to say to you is confidential." JN "You will be unhappy about this. Your application was not considered. The Senior Counsel Selection Committee determined your application was not within the Protocol." JN: "The Protocol needs to be fixed up to be clear about mediation. I feel very bad that this has happened." JN "You cannot disclose this, as what happened in the Committee is confidential." 27. Noel Hutley SC was then sitting to my right. Noel Hutley SC expressed his regret. 28. Jane Needham SC then said words to the following effect: JN "I can understand if you are angry and I would not hold it against you if you were." JN "Thank you for the approach you have taken and how you have conducted yourself. Thank you." 49 The applicant had a second meeting with Ms Needham on 8 October 2014. Her unchallenged evidence as to the discussion which took place was as follows: 30. … JN "Thank you for coming". JN "We had an Executive meeting [of the Association] last night. We will deal with the issue regarding mediation practice by fixing the Protocol to make it clear that mediation is part of the Protocol." MW: "This has been a running sore for 6-7 years and I do not have faith in the re-drafting. The Bar Rules also need to be amended to include mediation. This has been attempted on many occasions by the Bar Council. I have had this on the table for the Bar Council to remedy since 2011 and that should have been done. Also in respect to this year's selection process a direction to the Senior Counsel Committee was required from the Bar Council as it was the Bar Council's Protocol." JN: "The Protocol needs to be re-drafted. We need to obtain an outside draftsman. There is silk in Victoria, who we have heard has experience with this. The Protocol will be sent to him. This will be put to the Bar Council and a brief will be prepared." JN "Drafting by committee is not often productive." MW "Any re-drafting cannot include a discussion of whether acting as a mediator was part of the Protocol. Street SC moved a motion to amend the wording of the Protocol in about April 2014 to make it clear that mediation was included and Boulten SC [the then President of the Association] stated that no amendment was required as it was included in the Senior Counsel Protocol. I have stated a number of times that this issue needs to be dealt with by this Bar Council [the 2014 Bar Council] as it is the responsibility of this Bar Council and has been reviewed by this Bar Council." MW "The representation that my application was considered and failed needs to be rectified. The fact is that my application was not considered. This needs to be done." JN "I have received a letter from the silks of 9 Wentworth Chambers. I will now refer them to you." MW "They have written to you as President of the Bar Association. That is a matter between you and them. You will need to respond to them." 31. Jane Needham SC repeated the need to re-draft the Protocol and I said words to the effect: MW: I note what you say the Executive is going to do, but I reserve my personal position as I need time to think about it. I don't need long, but I need time overnight to consider this." 50 At a meeting of the Bar Council held on 9 October 2014, the President, Ms Needham, advised those present at the meeting that the applicant's application was not considered by the Senior Counsel Selection Committee. She advised that the Bar Council would need to deal with the matter and a meeting would be called in the following two weeks for that purpose. She advised that the Bar Council would need to clarify the Protocol so that it was clear. The applicant said (and she was not challenged on this) that a number of those members present at the meeting said that they thought that this matter had been dealt with before. 51 On 15 October 2014, the Executive Committee of the Bar Council prepared a memorandum for the Bar Council. The applicant submits that this is an important document. It is necessary to summarise its contents in some detail. The subject matter addressed by the Executive Committee in the memorandum is the 2014 Senior Counsel Protocol. The Executive Committee refer to the fact that the Selection Committee had decided that the applicant did not meet the criteria for appointment as Senior Counsel and, accordingly, she was not considered for appointment. No qualitative assessment of the applicant's application was made. The Executive Committee state that the wording of the Protocol was construed in a manner which resulted in the rejection of the applicant's application as not falling within the Protocol. Her application did not advance to the stage of having the merits considered and the Executive Committee state that it was intended to note that fact in the minutes of the special Council meeting on 16 October 2014. The Executive Committee state that on the construction of the Protocol with reference to its text rather than "the previous considerations by Council" and with reference to the nature and extent of the applicant's practice as set out in her application, the issues which arose were clause 1 and the description of "practising advocate"; clause 4 and the restriction of appointees to "practising advocates", despite the acknowledgement of the "importance of the work performed … conducting …. mediations"; and the "essential criteria" set out in clauses 5 and 6 and, in particular, clause 5 which refers to "advocates and advisers", and clauses 6(a), (c) and (d) insofar as they refer to acting "for" clients, and clause 6(g) and the matters referred to therein given that alternative dispute resolution was not construed as being "a specialist jurisdiction". 52 The Executive Committee state that in reaching its view, the Selection Committee considered as a preliminary matter, whether the applicant's application demonstrated that she was a "practising advocate" within the meaning of the relevant paragraphs of the Protocol. It also considered, as I have said, whether mediation/ADR was a "specialist jurisdiction" and determined that it was not. 53 The Executive Committee state that the President and Senior Vice-President had met with the applicant and explained to her the basis for the rejection of her application. The Executive Committee also state that it is of the opinion that the approach taken by the Selection Committee was one that was reasonably open to it on the text of the Protocol. The Executive Committee then state: However, members of the Council will be aware that that construction does not reflect the discussions had in Council as recently as May this year as to whether a person who practises very substantially or solely as a mediator is able to be appointed Senior Counsel. The Executive recognises that there is a range of views amongst the Bench and Bar as to the nature of a barrister's practice. However, Council was of the view earlier this year that such an appointment could be made under the current wording of the Protocol. Discussions back to 2012 when paragraph 4 was amended was also to this effect. 54 The Executive Committee also state that the fact that this had been the approach of the Bar Council for some time was beyond doubt and in connection with that statement, the Executive Committee refer to the President's column in the Bar News, Winter 2011 edition (see [37] above). 55 The Executive Committee state that plainly where the wording of the Protocol leaves it open to an interpretation which does not reflect the intention of the Bar Council, it needed to be redrafted in order to provide greater clarity to future committees. The Executive Committee recommend to the Bar Council that it resolve as follows: (a) that paragraphs 1-6 of the Protocol be redrafted with the intention that the re-draft provide specifically that any applicant who holds a current practising certificate is eligible for appointment as senior counsel if that person can demonstrate learning, skill, integrity and honesty, independence, disinterestedness, diligence and experience to the exceptional quality required for appointment, on the basis of practising substantially or wholly as a mediator, arbitrator or other ADR practitioner; (b) that the drafting (including any recommendations by Council made for changes to first or subsequent drafts) be undertaken by an appropriate person, not a member of the NSW Bar ("the drafter"), in consultation with the President and Senior Vice President; (c) that the appointment of the drafter, and further provision or clarification of instructions, is to be delegated to the President and Senior Vice President; (d) that the redrafted Protocol be brought before Bar Council for adoption with the intent that any changes required by Council on that or subsequent occasions be drafted by the drafter rather than settled in Council. 56 A meeting of the Bar Council was held on 16 October 2014. The Executive Committee's memorandum dated 15 October 2014 and a number of papers concerning the Selection Committee's construction of the Protocol were before the Bar Council. The President delivered her report which according to the minutes of the meeting was as follows: 1. That the 2014 Silk Selection Committee recommended the appointment of 18 barristers as Senior Counsel from 102 applicants; 2. It was determined by the Committee that one of the applicants, Mary Walker, did not meet the criteria for appointment of the 2014 Silk Selection Protocol, and accordingly, Walker was not considered for appointment as Senior Counsel; and 3. No qualitative assessment was made of Walker's application. Instead, the wording of the Protocol was construed in a manner which resulted in the rejection of Walker's application as not falling within the Protocol. Her application did not advance to the stage of having its merits considered. 57 The minutes indicate that the Bar Council passed the following resolution: Bar Council RESOLVED to seek advice from a Senior Counsel from outside NSW as to: (a) the position of mediation work under the Legal Profession Act 2014, Bar Association Constitution and the New South Wales Barristers Rules; and (b) proposed changes to the Senior Counsel Selection protocol. Game SC is to formulate specific draft questions for advice, which will be considered by the Executive and then circulated to the Bar Council. 58 There then followed correspondence between the applicant and Ms Needham about whether a statement would be issued by the Association to the effect that the applicant's application for appointment as Senior Counsel had not been considered on its merits. It is not necessary for me to set out the details of that correspondence. 59 A meeting of the Bar Council was held on 23 October 2014 and at that meeting the minutes of the meeting held on 16 October 2014 were confirmed. 60 A meeting of the Bar Council was held on 26 February 2015. At the meeting, the resolution passed at the meeting on 16 October 2014 and referred to above (at [57]) was rescinded and it was resolved to seek advice from Senior Counsel regarding the position of mediators under the Legal Profession Act 2014, Bar Association Constitution, the New South Wales Barristers Rules and the Senior Counsel Selection Protocol. 61 A meeting of the Bar Council was held on 23 April 2015. The Bar Council endorsed the President's appointment of the 2015 Silk Selection Committee membership. 62 On 7 May 2015, there was an attempt to have a number of resolutions passed by the execution of a document which contained, among other resolutions, a resolution dealing with the Senior Counsel Protocol. Mr Bret Walker QC gave a written opinion to the effect that the resolutions were of very doubtful validity, and at a meeting of the Bar Council held on 8 May 2015, it was resolved that the motions "do not now, and cannot hereafter, have any legal effect as resolutions of Bar Council or as proxies". 63 A meeting of the Bar Council was held on 14 May 2015. As I understand it, two draft versions of the Senior Counsel Protocol were before the Council, one largely in terms of the 2014 Protocol and the other making substantial changes, arguably making it clearer that those whose current practices involving conducting mediations could be appointed Senior Counsel. The former version was approved by the Bar Council. 64 On 31 July 2015, the applicant made an application to be considered for appointment as Senior Counsel in 2015. 65 The applicant issued this proceeding on 4 September 2015 and at that stage, as to the 2015 Senior Counsel Protocol, she sought relief as to how it should be construed. 66 On 24 September 2015, she received a letter from the President advising her that her application had been unsuccessful. On 7 October 2015, the applicant had a meeting with Ms Needham and Mr Michael Fordham SC to discuss her unsuccessful application for appointment as Senior Counsel. The applicant's account of the discussion which was not challenged was as follows: 61. … MW "Where is Noel?" JN "He will not be present as he and I removed ourselves from the Selection Committee during consideration of your application." MF "I am here because I was one of the Committee members. I know you, I regard you as a friend, Jane asked me to come to this meeting and I agreed to come. Your application was determined on merits." MW "Jane, was a determination made as to what 'practising advocate' meant in the Protocol?" JN "I cannot answer that." MW "Michael, can you tell me if there was such a determination made?" MF "I cannot answer that. We had deferred any consideration of the meaning of 'practising advocate' until after your application was determined on the merits. Your application was not enough." MW "What does that mean?" MF "You had no problem with 'integrity, honesty and diligence, but you failed to have sufficient support." MW "What does that mean?" MF "I cannot answer that." MW "Can you say anything further about that?" MF "You did not have sufficient support from the Bench and Bar. The determination was skewed to the Bar." MW "What does that mean? It's surprising. I have had a great deal of support in the past." MF "I cannot answer that as it would breach confidentiality." MW "This had been explained in the past at debriefing sessions. Does this mean that most of the responses were from the Bar and not from the Bench or were there negative comments or.." 62. Jane Needham SC interjected by saying words to the following effect: JN "Were there more responses from the Bar than the Bench?" MF "Responses from barristers were greater in number than those from the Bench, there was some support, but not sufficient. The criteria in the application were not sufficient." 63. I had a copy of the 2015 Protocol with me. I handed it over to Michael Fordham SC. He pointed to paragraph 6(g) of the 2015 Protocol and we had a further discussion in words to the following effect: MF "Your application was not sufficient to meet 6(g)." MW "Are the criteria in 6(g) dealt with separately or together?" MF "They were dealt with separately. They were dealt with in totality and in individual parts." 64. Michael Fordham SC then pointed to paragraph 6(g)(vi) of the 2015 Protocol and we had a further conversation in words to the following effect: MF "You nailed it." MW "Was there a focus on the last 18 months." MF "Yes, that is what we had to do." MW "Did you take into account all of the information in the application and the advocacy experience I had in the past?" MF "We did not discard anything. However, the focus was on the last 18 months." MW "Were the modifications or exclusions in the Protocol and in the Senior Counsel Application and Guide in respect to ADR considered?" 65. As Michael Fordham SC did not respond, so I said words to the following effect to Jane Needham SC: JN "Jane, can you answer this? You know that these modifications had occurred over the years in the Protocol." 66. Jane Needham SC nodded in response. 67. I then read the last sentence of paragraph 12 of the 2015 Protocol as an example as follows: MW "The details required in (a) to (f) may be modified in alternative dispute resolution matters or otherwise as confidentiality requires …" 68. I then said words to the following effect: MW "There were other modifications in the Protocol, and the Application and Guide." 69. Michael Fordham SC did not respond immediately and then said words to the following effect: MF "ADR is seen along with everything else. All practices are focused. There are nuances of individual practices - they are all different. Every practice is a nuanced practice." 70. I repeated my question about the modifications or exclusions in the Protocol and in the Senior Counsel Application and Guide in respect to alternative dispute resolution. Our discussion continued as follows: MR "I can't answer whether ADR modifications were considered." MF "There were 3 things I wanted to say in this meeting: first, there was no issue with integrity, honesty and diligence (without that you cannot go any further); second, support was not sufficient; and, third, your practice did not get there." MF "Going forward, the criteria sets out [Mr Fordham SC referred to paragraph 6(g) of the 2015 Protocol] what you need to do." MW "Can I please have more guidance?" MF "Appeal cases and more cases. Appeal cases are important." MW "Do these need to be in the last 18 months or before" MF "The last 18 months is an important aspect. I encourage you to run a few more cases and more appeals." MW "Is this to be in the 18 months before the application?" MF "Yes". MF "There needed to be a significant proportion of advocacy." MW "Was the Committee made aware that I had commenced proceedings against the Bar Association?" JN "I cannot answer that." MF "I cannot answer that." MW "Can you give me some examples of feedback as to my capacity as a mediator?" MF "I do not want to divulge confidences." MW "The comments need not be attributed to specific individuals. As this is a de-briefing session I would appreciate some feedback that I can assess and use to enhance my mediation practice." MF "I will think about it and will respond later." MW "I do not need distilled information, but the comments as they were stated would be useful." MF "I can give you two comments: one was that you pester people. But that is part of the job of a mediator. There is a mediator who just sits in a room and has lost a large part of their practice because of that. The other comment was that you may have difficulty influencing in large matters." MW "I have mediated over 90 Supreme Court matters in the last 18 months. Is this a matter of those who made the comments not understanding the mediation process and an educative issue?" MF "We have to take them [their comments] into account." 71. During the meeting, Michael Fordham SC said words to the following effect to me: MF "This meeting is hard for me." 72. I responded with words to the following effect: MW "You may wish to think about how difficult it is for me." 73. The meeting concluded with a discussion of general matters.
Conclusion 105 The application is dismissed. I certify that the preceding one hundred and five (105) numbered paragraphs are a true copy of the Reasons for Judgment herein of the Honourable Justice Besanko.
Walker
New South Wales Bar Association
[2008] QSC 344
[2005] VSC 161
(1992) 175 CLR 564
(1934) 51 CLR 358
(2009) 238 CLR 304
(1972) 127 CLR 421
(2012) 290 ALR 372
(2014) 315 ALR 146
(1985) 180 CLR 459
(2002) 191 ALR 759
(1979) 143 CLR 242
(2005) 12 VR 42