Delay in commencement of New South Wales "reasonable steps" legislation

In Brief

On 8 September 2011, the New South Wales Parliament passed the Courts and Other Legislation Further Amendment Bill 2011 (Bill). The Bill will bring into effect a lengthy postponement of up to 18 months of new legislation, requiring parties to take reasonable steps to seek to resolve a dispute before court proceedings are commenced.

The new legislation, contained in Part 2A of the Civil Procedure Act 2005 (NSW), was due to apply to proceedings commenced on or after 1 October 2011. It is designed to encourage early resolution of disputes by imposing requirements for parties to take reasonable steps, before they commence court proceedings, to seek to resolve their dispute or to narrow the issues that are in dispute between them.