Supreme Court Refuses Costs Order for Interlocutory Hearings
📚 Full judgment
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⚖️ What tends to weigh in cases like this
✅ Tends to be accepted
- The Court held that where an interlocutory application is resolved without a hearing on the merits, it will not make a costs order unless one party acted unreasonably or it is clear that one party would have succeeded.
- The Court found that it was not appropriate to engage in a hypothetical trial of a hypothetical application to assess whether the application for provisional liquidators would have succeeded.
- The Court was not persuaded that the second defendant's conduct in seeking an adjournment was unreasonable.
- The Court emphasized the need for a robust approach to discourage satellite litigation as to costs.
❌ Tends to be rejected
- The plaintiff argued that the second defendant acted unreasonably prior to the commencement of proceedings, inviting the application for provisional liquidators, but the Court did not accept this.
- The plaintiff argued that it was almost certain to have succeeded on the interlocutory application had it been determined, but the Court declined to make such a finding.
Patterns observed in similar cases in this collection — every case is unique.
❓ Frequently asked questions
What was the dispute about?
The dispute was about whether the costs of interlocutory hearings should be awarded to the claimant.
How did the court decide, and why?
The court decided not to make a costs order, emphasising a robust approach to discourage satellite litigation.
Which laws or rules were applied?
No specific laws or rules were applied in this decision.
What was the argument that mattered most?
The argument that mattered most was the need for a robust approach to discourage satellite litigation.
Was the decision for or against the person who brought the case?
The decision was against the person who brought the case.
What evidence or documents mattered?
The judgment does not specify any particular evidence or documents that mattered.