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ARTICLE · 14 APRIL 2013

Consent Judgments: A Judgment is not Always a Judgment

The decision challenges the previously perceived benefit of using consent judgments as a settlement of court proceedings.

AustraliaLitigation, Mediation & Arbitration

A person who has suffered damages as a result of a tort and brings separate actions against tortfeasors liable in respect of the same damage cannot recover more than the amount of damages awarded by the judgment first given. On 13 December 2012 in Newcrest Mining Limited v Thornton [2012] HCA 60, the High Court found the limit on recovering damages in successive actions does not apply where the "judgment first given" is a consent judgment filed to give effect to an agreement to settle the first action. The decision will allow plaintiffs to settle an action with one tortfeasor via a consent judgment and use the settlement proceeds to potentially fund subsequent actions against the remaining joint tortfeasors.

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