Share on LinkedInShare on LinkedIn

ARTICLE · 06 FEBRUARY 2024

Calderbank offers: When will indemnity costs be awarded?

Gilchrist Connell
Explore more from Gilchrist Connell

Whilst Calderbank offers are useful, recent case reminds us that costs awards are ultimately at the discretion of the court.

AustraliaLitigation, Mediation & Arbitration
Alex Haslam
Alex Haslam
Louisa Henderson
Louisa Henderson
Author LinkedIn connections

The recent decision of Teo & Anor v Twyford bht Cunningham (No 2) [2023] NSWSC 1626 provides a useful reminder of the Court's approach to exercising its discretion to award indemnity costs where a settlement offer has been made during the course of litigation.

Background

Two vendors and a purchaser entered into a contract for sale of land located at Tanja, New South Wales (Contract).

Prior the completion of the Contract, the purchaser's solicitors served a notice on the vendors purporting to rescind the Contract on the basis that the purchase had been assessed as a "mentally ill person" under the Mental Health Act 2007 (NSW). It was asserted that the purchaser was entitled to do under clause 34 of the Contract.

We operate a free-to-view policy, asking only that you register in order to read all of our content. Please login or register to view the rest of this article.

Register for freeORLog in

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

View source

Related Articles

Legal Intelligence Newsletters: sign up for the latest legal and regulatory news on your chosen topics

Read more about

Related Comparative Guides

See more popular content from

Article

How To Draft A Defence And Reply

Queensland civil procedure requires defendants to respond to each factual allegation with precision—admissions, denials, or non-admissions must be properly explained, while inadequate responses risk being treated as admissions. Replies serve a distinct and limited purpose, addressing only new matters raised in the defence that could affect the claim's maintainability or introduce unexpected factual questions.
AustraliaLitigation, Mediation & Arbitration
Stonegate Legal
Stonegate Legal
Article

Counterclaims In Queensland Civil Proceedings: Complete Guide

When a defendant in Queensland civil litigation wishes to pursue its own claim against the plaintiff, a counterclaim provides the procedural mechanism to do so within the existing proceeding. Understanding the technical requirements for pleading, serving, and answering counterclaims—including joinder of additional parties, limitation periods, and the effect of discontinuance—is essential for both claimants and respondents navigating commercial disputes.
AustraliaLitigation, Mediation & Arbitration
Stonegate Legal
Stonegate Legal
Article

AFCA’S New Approach To General Insurance Claims Handling: GICOP Compliance May Not Be Enough

The Australian Financial Complaints Authority has published new guidance clarifying how insurers must handle claims, including strict timeframes and expanded compensation rules. Insurers now face potential liability beyond policy limits for unreasonable delays, and may be required to compensate claimants for non-financial losses. With storm season approaching and complaint volumes rising, these changes create significant operational and financial pressure on the insurance industry.
AustraliaInsurance
Gilchrist Connell
Gilchrist Connell
Article

ASIC Puts Motor Vehicle Premium Transparency Under The Spotlight

ASIC's Report 838 reveals significant transparency gaps in motor vehicle insurance premium communications, finding that renewal documents often fail to explain price changes adequately and that over 30% of consumers who contacted their insurer successfully negotiated lower premiums. The report establishes clear expectations for better practice in pricing disclosures and signals continued regulatory scrutiny of insurance pricing practices.
AustraliaInsurance
Gilchrist Connell
Gilchrist Connell
Article

Workplace Investigations And Decision Makers: What Employers Can Learn From Totino v Metro Trains

The Full Court of the Federal Court has clarified critical procedural requirements for employers managing medical incapacity terminations and defending general protections claims. This landmark decision addresses when workplace relations advisers must give evidence in proceedings and whether show cause letters constitute unlawful threats under the Fair Work Act.
AustraliaEmployment and HR
Gilchrist Connell
Gilchrist Connell
Article

ASIC And APRA Corporate Plans 2026–27: What Regulated Entities Should Expect

APRA and ASIC have released their 2026–27 Corporate Plans, signalling more intensive supervision and enforcement, alongside targeted measures intended to reduce unnecessary regulatory burden. Their priorities span operational resilience, cyber security, artificial intelligence, consumer protection, insurance, superannuation, market integrity and digital assets. For regulated entities, the plans provide a practical roadmap of the areas most likely to attract supervisory attention, information requests and, where deficiencies are identified, enforcement action.
AustraliaCorporate/Commercial Law
Gilchrist Connell
Gilchrist Connell
Article

Costs Orders Against Owners Corporations: When Maintenance Failures Meet Special Circumstances

An NCAT decision demonstrates how chronic maintenance failures by owners corporations can result in substantial costs orders, even without damages awards. The case clarifies when lot owners can be quarantined from contributing to legal costs and establishes clear responsibilities for identifying and delineating repair obligations in strata schemes.
AustraliaReal Estate and Construction
Gilchrist Connell
Gilchrist Connell