COMMISSIONER OF HIGHWAYS [2025] SASC 152
On Appeal from SUPREME COURT OF SOUTH AUSTRALIA (AUXILIARY ASSOCIATE JUSTICE
FLOURENTZOU) SCCIV-16-678; SCCIV-16-679; SCCIV-16-680; SCCIV-16-681
Appellant: COMMISSIONER OF HIGHWAYS Counsel: MS E DENBIGH - Solicitor: CROWN
SOLICITOR (SA)
Respondent (CIV-24-010797): TAMMY KOUKOS, GEORGE KOUKOS, DOREEN KOUKOS AND
TRIANI KOUKOS, GEORGIOUS KOUKOS & DOREEN KOUKOS Counsel: MR C JACOBI KC -
Solicitor: GRIFFINS LAWYERS
Respondent (CIV-24-010800): TAMMY KOUKOS, GEORGE KOUKOS, DOREEN KOUKOS AND
TRIANI KOUKOS, GEORGIOUS KOUKOS & DOREEN KOUKOS Counsel: MR C JACOBI KC -
Solicitor: GRIFFINS LAWYERS
Respondent (CIV-24-010801): GEORGE AND ELIA KOUKOS AS REPRESENTATIVES OF THE
ESTATE OF MARIA KOUKOS AND TRIANI KOUKOS, GEORGIOUS KOUKOS & DOREEN
KOUKOS Counsel: MR C JACOBI KC - Solicitor: GRIFFINS LAWYERS
Respondent (CIV-24-010803): TAMMY KOUKOS, GEORGE KOUKOS, DOREEN KOUKOS AND
TRIANI KOUKOS, GEORGIOUS KOUKOS & DOREEN KOUKOS Counsel: MR C JACOBI KC -
Solicitor: GRIFFINS LAWYERS
Hearing Date/s: 10/02/2025
File No/s: CIV-24-010797; CIV-24-010800; CIV-24-010801; CIV-24-010803
B
SUPREME COURT OF SOUTH AUSTRALIA
(Appeal to a Single Judge)
DISCLAIMER - Every effort has been made to comply with suppression orders or statutory provisions prohibiting publication that may apply
to this judgment. The onus remains on any person using material in the judgment to ensure that the intended use of that material does not breach
any such order or provision. Further enquiries may be directed to the Registry of the Court in which it was generated.
COMMISSIONER OF HIGHWAYS v KOUKOS & ORS
[2025] SASC 152
Judgment of the Honourable Justice McIntyre
10 September 2025
REAL PROPERTY - COMPULSORY ACQUISITION OF LAND -
PROCEEDINGS FOR COMPENSATION - SOUTH AUSTRALIA - APPEALS
PROCEDURE - CIVIL PROCEEDINGS IN STATE AND TERRITORY COURTS
- MOTIONS, INTERLOCUTORY APPLICATIONS AND OTHER PRE-TRIAL
MATTERS
STATUTES - ACTS OF PARLIAMENT - INTERPRETATION - PARTICULAR
WORDS AND PHRASES - GENERALLY
This is an appeal from a decision of an Auxiliary Associate Justice of the Supreme Court granting
the respondents’ interlocutory application for orders in relation to two valuation reports (the Thamm
reports). The decision, which concerns four related actions being heard together, found that the
Thamm reports were inadmissible except with the consent of parties pursuant to s 23BA of the Land
Acquisition Act 1969 (SA) (the LAA).
The appellant appeals on three grounds, contending that the primary judge erred in her construction
and application of s 23BA of the LAA and s 67 of the Evidence Act 1929 (SA). The respondents
maintain that s 23BA of the LAA applies to the Thamm reports and that, absent consent, they are
inadmissible.
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Held, granting leave to appeal but dismissing the appeal:
1. The phrase “anything said or done” in s 23BA of the LAA extends to the Thamm reports and
is not confined only to concessions, admissions and offers made by a party in the course of
negotiations.
2. The Thamm reports were produced “in the course of a settlement conference” and are
inadmissible unless all parties consent to their tender.
3. Consent to tender the Thamm reports was not expressed in explicit terms and cannot be
inferred from joint instructions or the expert’s terms of engagement.
Uniform Civil Rules 2020 (SA) rr 74.3, 213.1; Land Acquisition Act 1969 (SA) ss 23A, 23BA, 23C;
Evidence Act 1929 (SA) s 67C; Legislation Interpretation Act 2021 (SA) s 10, referred to.
Falland v Symbion Health Ltd (2010) 269 LSJS 189, considered.
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COMMISSIONER OF HIGHWAYS v KOUKOS & ORS
[2025] SASC 152
Civil: Appeal
McINTYRE J:
1 This is an appeal from a decision of an Auxiliary Associate Justice of the
Supreme Court, granting the respondents’ interlocutory application for orders in
relation to two valuation reports prepared by Mr Alex Thamm (Mr Thamm) of
CBRE Valuation & Advisory Services. The Auxiliary Associate Justice delivered
reasons for her decision on 18 October 2024 and made orders that Mr Thamm’s
reports are not admissible except with the consent of all parties. There are four
related actions being heard together.1 The decision and this appeal are relevant to
each of the matters.
2 As this is an interlocutory decision. leave to appeal is required under r 213.1
of the Uniform Civil Rules 2020 (SA) (‘UCR’). For the reasons that follow, I grant
leave to appeal the decision but dismiss the appeal.
Background facts
3 The respondents owned four parcels of land at Undo Road, Waterloo Corner
SA 5110. By notices of acquisition published in the South Australian Government
Gazette on 2 June 2016 the appellant acquired the respondents’ interest in that land
(‘the acquisition’). The appellant made offers of compensation to the respondents
and paid that compensation into the Supreme Court. Those offers were made
consistent with independent expert valuation reports obtained by the appellant
(‘the Brooke reports’). The respondents obtained their own valuation report (‘the
Christodoulou report’). Those reports differed. A conference was convened on
7 June 2021 between the valuers under s 23A(7) of the Land Acquisition Act 1969
(SA) (‘LAA’). The valuers were unable to resolve their differences.
4 A settlement conference was requested by the respondents under s 23BA of
the LAA. A conference coordinator was appointed on 12 August 2022. The
conference coordinator gave written directions to the parties by letter dated
23 August 2022 which, inter alia, reminded the parties that:2
Evidence of anything said or done in the course of a settlement conferences is inadmissible
in proceedings before a court (other than proceedings under Act, s36) except by consent of
all parties to the proceedings: s 23BA(3).
5 On 12 September 2022, a settlement conference was held and adjourned.
The conference coordinator noted in his directions that the parties had agreed to
jointly instruct a third independent valuer to provide a further expert valuation of
1 CIV-24-010797; CIV-24-010800; CIV-24-010801; CIV-24-010803.
2 Appeal Book at 10.
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the land. The appellant invited the respondents to choose one of three nominated
valuers. That list included Mr Thamm.
6 On 7 October 2022, the parties agreed to instruct Mr Thamm. On
5 April 2023, a joint letter of instruction, signed by both parties’ legal
representatives, was sent to Mr Thamm (‘joint instructions’).3 On
13 December 2023, the parties received Mr Thamm’s valuation reports in relation
to the land; one report dealt with three of the allotments and the other dealt with
the fourth (‘the Thamm reports’).4 The parties continued discussions but were
unable to resolve their differences. On 24 January 2024, the conference
coordinator directed that the settlement conference be closed.5
7 On 20 July 2024, the respondents initiated proceedings by way of cross claim
in the Supreme Court under s 23C of the LAA in relation to their claim for
compensation (‘proceedings’). There was correspondence between the parties in
which the respondents indicated that they did not consent to the use of the Thamm
reports in the proceedings. The appellant maintains an entitlement to rely on the
reports.6 It was determined that the dispute about admissibility of the Thamm
reports would be heard as a preliminary point.
Leave to appeal
8 The impugned decision was an interlocutory decision by a Judicial Officer of
the Supreme Court. Accordingly, leave is required under r 213.1(1)(a) of the
UCR. In determining whether to grant leave it is necessary to consider:
a. Whether the decision is attended with sufficient doubt to warrant its
reconsideration on appeal;
b. Whether the decision raises an issue of general principle or importance;
and
c. Whether allowing the decision to stand would result in a substantial
injustice to the appellant.
9 The appellant raises three grounds of appeal. Grounds 1 and 2 relate to the
interpretation and application of s 23BA of the LAA. Ground 3 relates to the
application of s 67C of the Evidence Act 1929 (SA) (‘the EA’).
10 For the reasons that follow, it is my view that the grounds of appeal are
reasonably arguable and that they raise questions of general importance in relation
to the proper construction of s 23BA(3) of the LAA. Whilst I am not certain that
allowing the decision to stand would result in a substantial injustice to the
3 Appeal Book at 16 – 27.
4 Appeal Book at 30 – 132.
5 Appeal Book at 133.
6 Appeal Book at 13 – 14.
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appellant, I nonetheless consider that the interests of justice support a grant of leave
to appeal.
The grounds of appeal
11 The appellant says that the primary judge erred in her construction of
s 23BA(3) of the LAA; the application of s 23BA(3) of the LAA to the Thamm
reports; and in her application of s 67C of the EA. The grounds of appeal are set
out in the Notice of Appeal as follows:
Ground 1: misconstruction of s 23BA of the Land Acquisition Act 1969 (SA)
1 The learned Judge erred in her construction of section 23BA(3) of the Land
Acquisition Act 1969 (SA). Her Honour should have found that the section was
concerned with concessions, admissions and offers made by a party in the course of
negotiations.
Ground 2: misapplication of s 23BA of the Land Acquisition Act 1969 (SA)
2 Further and in the alternative to ground 1, the learned Judge erred in her application
of s 23BA(3) of the Land Acquisition Act 1969 (SA) to the Thamm reports. In
particular, she:
2.1 erred in finding that the valuation reports prepared by an independent expert
witness, Mr Alex Thamm (‘the Thamm reports’) constituted “evidence of
anything said or done in the course of a settlement conference”. Her Honour
should have found that the Thamm reports were not said or done in the course
of a settlement conference for the purposes of section 23BA(3) of the Land
Acquisition Act 1969 (SA); and
2.2 erred in finding that the parties had not consented to the Thamm reports being
used in these proceedings.
Ground 3: misapplication of s 67C of the Evidence Act 1929 (SA)
3. Further to grounds 1 and 2, the learned Judge erred in finding that the Thamm reports
were inadmissible by reason of section 67C of the Evidence Act 1929 (SA). In
particular, the learned Judge:
3.1 should have found that s 67C of the Evidence Act had no role to play given
the existence of section 23BA(3) of the Land Acquisition Act 1969 (SA).
3.2 erred in finding that the Thamm reports were a “communication” made in
connection with an attempt to negotiate a settlement within the meaning of
section 67C of the Evidence Act 1929 (SA).
3.3 erred in failing to consider the exceptions set out in section 67C of the
Evidence Act 1929 (SA). The learned Judge should have found that the
exception in section 67C(2)(d) of the Evidence Act 1929 (SA) applied, given
the joint instructions provided to the independent witness and the terms on
which the independent witness was engaged.
3.4 failed to provide adequate reasons to support her decision that section 67C of
the Evidence Act 1929 (SA) applied to the Thamm reports.
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General principles & legislation
12 The appeal relates to two legislative provisions. Both enact rules of evidence.
These provisions should be construed having regard to the text, context and
purpose of the Act in question.7 The first is s 23BA of the LAA which deals with
settlement conferences and relevantly provides as follows:
23BA—Settlement conference
(1) The Authority—
(a) may, before referring a matter to Court under section 23C; and
(b) must, on an application by a claimant under section 23C(1a),
convene a conference under this section (a settlement conference) in relation to the
relevant matter.
(2) The following provisions apply in relation to a settlement conference:
(a) the Authority must appoint a conference coordinator to conduct the settlement
conference;
(b) the conference coordinator must hold qualifications prescribed by the
regulations;
(c) the conference coordinator must—
(i) fix a time and place for the settlement conference; and
(ii) advise the persons referred to in paragraph (f) of the time and place of
the settlement conference;
(d) the conference coordinator may, by notice in writing, give such directions as
the coordinator considers necessary for the purposes of the settlement
conference (including, to avoid doubt, directions to attend at the time and
place fixed under paragraph (c));
(e) the Authority and the claimant must provide to each other party any valuation
reports in relation to the matter within the period specified by the conference
coordinator;
(f) the following persons are entitled to attend a settlement conference:
(i) the conference coordinator;
(ii) a representative of the Authority;
(iii) the claimant and the claimant's legal representative (if any),
(however, nothing in this paragraph prevents other persons from attending the
settlement conference);
7 Project Blue Sky v Australian Broadcasting Authority (1998) 194 CLR 355.
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(g) the conference coordinator, and the settlement conference, must comply with
any other requirements set out in the regulations.
(3) Evidence of anything said or done in the course of a settlement conference is
inadmissible in proceedings before a court (other than proceedings under section 36)
except by consent of all parties to the proceedings.
…
13 The second relates to s 67C of the EA which provides as follows:
67C—Exclusion of evidence of settlement negotiations
(1) Subject to this section, evidence of a communication made in connection with an
attempt to negotiate the settlement of a civil dispute, or of a document prepared in
connection with such an attempt, is not admissible in any civil or criminal
proceedings.
(2) Such evidence is, however, admissible if—
(a) the parties to the dispute consent; or
(b) the substance of the evidence has been disclosed with the express or implied
consent of the parties to the dispute; or
(c) the substance of the evidence has been partly disclosed with the express or
implied consent of the parties to the dispute, and full disclosure of the evidence
is reasonably necessary to—
(i) enable a proper understanding of the other evidence that has already
been adduced; or
(ii) or avoid unfairness to any of the parties to the dispute; or
(d) the communication or document included a statement to the effect that it was
not to be treated as confidential; or
(e) the proceeding in which the evidence is to be adduced is a proceeding to
enforce an agreement for the settlement of the dispute or a proceeding in
which the making of such an agreement is in issue; or
(f) the evidence tends to contradict or to qualify evidence that has already been
admitted about the course of an attempt to settle the dispute; or
(g) the making of the communication, or the preparation of the document, affects
the rights of a party to the dispute; or
(h) the communication was made, or the document was prepared, in furtherance
of—
(i) the commission of a fraud or an offence; or
(ii) the doing of an act that renders a person liable to a civil penalty; or
(iii) the abuse of a statutory power.
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(3) Subsection (1) does not apply to parts of a document that do not concern attempts to
negotiate a settlement of a dispute, if it would not be misleading to adduce evidence
of only those parts of the document.
Section 23BA
14 Ground 1 of the appeal raises the proper construction of the expression
“anything said or done in the course of a settlement conference” in s 23BA(3).
Ground 2 deals with the proper application of s 23BA(3). It is convenient to deal
with these grounds together.
The submissions
15 The appellant contends that s 23BA is concerned with concessions,
admissions and offers made by a party in the course of negotiations but does not
extend to the Thamm reports which were produced by an independent expert
jointly engaged by the parties and based on objective facts. The appellant says that
s 23BA(3) of the LAA is a statutory expression of common law settlement
privilege. The appellant relies upon the second reading speech to the Land
Acquisition (Miscellaneous) Act Amendment Bill8 to support that contention and
says, moreover, that the statutory construction is informed by the context in which
s 23BA(3) operates and the underlying common law regarding settlement
privilege. In the second reading speech, the Minister stated that the settlement
conferences were to be conducted on “a without prejudice basis”. The appellant
points to the policy behind common law “without prejudice” communications
being to encourage and facilitate negotiations by protecting communications,
concessions and admissions by the parties from being adduced in any later
litigation. However, mere agreement that an expert report is to be procured in the
course of negotiations is not sufficient to attract the common law settlement
privilege.9 The appellant contends that s 23BA(3) ought to be construed as
operating in the same way.
16 The appellant further contends that its position is supported by the fact that
the Thamm reports are expert reports as defined in the UCR. The appellant refers
to UCR r 74.3(3) requiring service of reports on the other party whether or not the
party intends to rely on it at trial. It is further noted that the joint instructions
expressly indicated that Mr Thamm was to have regard to, and comply with, the
requirements of Part 14 of the UCRs.
17 The respondent on the other hand says that s 23BA makes inadmissible,
subject to any consent, anything said or done by participants in the course of a
settlement conference. It is further contended that this includes anything done by
participants as part of the conference process such as obtaining a report or having
calculations performed which are directed to settlement. Participants include the
conference convenor, a party or other participant such as an expert. It is said that
8 South Australia, Parliamentary Debates, House of Assembly, 25 September 2019, 7561 (The
Honourable V.A. Chapman, Deputy Premier of South Australia and Attorney-General).
9 Falland v Symbion Health Ltd (2010) 269 LSJS 189 at [22] (‘Falland’).
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the words “in the course of a settlement conference” includes acts preparatory to,
inclusive of and incidental to, the conference process and applies, as in this case,
during a period between the convening of two or more conferences.10
Consideration
18 The scope of the evidentiary rule in s 23BA(3) LAA has two elements
“anything said or done” and “in the course of a settlement conference”. The former
element appears to be the issue raised in ground 1 of the appeal. Was the learned
Auxiliary Associate Justice correct to find that the words “anything said or done”
did not apply only to concessions, admissions and offers made by a party in the
course of negotiations. The latter element is the issue raised in ground 2.1 where
it is said that “Her Honour should have found that the Thamm reports were not
said or done in the course of a settlement conference”.
19 I do not accept the appellant’s submissions in relation to the UCR. The UCR
provide for, inter alia, the form of expert reports and for disclosure of those reports
but do not in my view have any bearing on the construction of s 23BA(3) of the
LAA.
20 The evidentiary rule in s 23BA(3) must be read as a whole and in the context
of the legislative scheme. The section has the purpose of advancing the public
interest in the resolution of disputes about compulsory acquisitions of land in an
efficient manner. The combined effect of s 23BA and s 23C(1a) is to compel a
claimant to apply for a settlement conference and to take part in the conference
prior to embarking on litigation. The LAA requires not only attendance at a
settlement conference but also participation in the process. Failure to comply with
directions of the conference coordinator without reasonable excuse constitutes an
offence under s 23BA(5). It is moreover open to the appellant to oppose a matter
proceeding further in the absence of a claimant taking part in a settlement
conference. Section 23BA conferences are therefore different to other forms of
settlement conference by reason of these mandatory features.
21 The appellant contends that “anything said or done” is concerned with
“concessions, admissions and offers made by a party in the course of negotiations”.
It is uncontentious that Mr Thamm was not aware of the respective positions of the
parties. He did not represent either of the parties and had no authority to make
concessions, admissions or offers. He provided expert reports at the joint request
of the parties. In my view the appellant’s contention is not tenable in the light of
the statutory text. The term is expansive and the use of the word “anything” is all
encompassing. There is no warrant in the section to restrict the term as the
appellant contends. Given the mandatory nature of this process, and that things
may be said or done as a result of the compulsion to attend and engage, it is
understandable that anything said or done in the process would be inadmissible in
later proceedings unless by consent. The appellant’s construction of s 23BA is not
assisted by the second reading speech. The Minister’s description of the statutory
10 Respondent Written Submissions at [9] (FDN 7).
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settlement conferences being conducted on a “without prejudice basis” is
consistent with what is contended by the respondents and does not provide a
foundation for equating this statutory rule of evidence with the applicable common
law rule.
22 The appellant further seeks to restrict the operation of s 23BA(3) to things
said or done by “the parties”. Again, given the text of the section and the context
there appears to be no proper basis to do so. Section 23BA(2)(f) sets out who is
entitled to attend a settlement conference. It is cast in expansive terms. To be
effective, the evidentiary rule in s 23BA(3) must as a matter of logic apply to all
participants in the conference including the conference convenor, a party or other
participant such as an expert.
23 This then leads to a consideration of the extent of the exclusionary rule and
the issues raised by ground 2.1 of the appeal. To be the subject of the exclusion,
the thing must be said or done “in the course of the settlement conference”. In
other words, were the Thamm reports produced in the course of the conference?
24 The expression “in the course of” is significantly broader than “at”, “during”
or “within”. The expression takes its meaning from the context as to what a
settlement conference is and the course that the conference takes. A settlement
conference is convened under s 23BA(1). The conference co-ordinator fixes a
time and place for the settlement conference. That conference may, as it was in
this case, be adjourned to another date and time. The power to conduct a
conference extends to permit more than one such meeting.11 The settlement
conference continues at such times and places until the conference coordinator
directs it is at an end.
25 The conference coordinator may give “such directions as the coordinator
considers necessary for the purposes of the settlement conference”.12 These may
occur before, during or after the convened meeting. As outlined above, it is an
offence not to comply with such directions. Where there are multiple meetings,
the LAA envisages that various actions will occur. These include the taking of
steps which comply with directions, the voluntary exchange of offers and the
provision of reports. These activities are in my view an integral part of the
settlement conference. They are properly regarded as being “in the course of a
settlement conference”, in the sense that they are the product of a direction of the
conference coordinator or of an agreement reached between the parties to further
the settlement process. They include anything done by participants as part of the
conference process such as obtaining a report directed to settlement.
26 In this case the settlement conference was held and adjourned on
12 September 2022. The conference coordinator’s directions noted the agreement
to jointly instruct an independent valuer ultimately determined to be Mr Thamm.
11 See Legislation Interpretation Act 2021 (SA) s 10.
12 Land Acquisition Act 1969 (SA) s 23BA(2)(d) (‘LAA’).
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Plainly, the agreement was reached in an attempt to resolve an impasse in the
settlement negotiations. The Thamm reports were received by the parties in
December 2023. Negotiations continued. The matter did not resolve and the
coordinator directed that the settlement conference be closed in January 2024.
27 I consider that the Thamm reports were produced as a thing done “in the
course of the settlement conference”. The joint letter of instructions was an act
done for the purpose of the conference. It was noted in the conference
coordinator’s directions. It was plainly for the purpose of furthering settlement
negotiations. The Thamm reports were prepared in response to the joint
instructions. A further conference was not convened but negotiations continued.
The fact that the process then concluded does not preclude the joint letter of
instruction and the resulting reports being viewed as acts done in the course of the
settlement conference. Accordingly, the Thamm reports are inadmissible unless
all parties consent to their tender.
Ground 2.2 – did the parties consent?
The submissions
28 If s 23BA(3) applies, the appellant contends that the parties consented to the
admissibility and use of the Thamm reports. The appellant relies upon a decision
of Bleby J in Falland v Symbion Health Limited (‘Falland’),13 contending that:14
If the Thamm Reports were intended to be privileged from production in proceedings, on
the reasoning in Falland, they could only retain privilege if there was clear agreement to
that effect by the parties or where, under the relevant Court rules, a shadow expert report
is engaged. The principles of full and frank disclosure of directly relevant documents and
especially that of the Thamm Reports are important to ensure the integrity of the process
of litigation. In this matter, there is no clear agreement of the type envisaged in Falland,
and indeed, the parties consented specifically to the use of the Thamm Reports in the
following ways.
29 The appellant then refers to the joint instructions to Mr Thamm, the terms of
engagement and the communications between the parties on engaging Mr Thamm
to support the contention that the respondents consented to the use of the Thamm
reports in subsequent proceedings.
30 Paragraph three of the joint instructions to Mr Thamm stated that:15
The purpose of this letter is for the Commissioner and Claimants to jointly retain your
services for the following:
a. preparation of an expert report that will inform the Commissioner and the
Claimants of the market value of the Land and other heads of compensation
as at the date of Acquisition in accordance with section 25 of the Land
Acquisition Act 1969 (LAA);
13 (2010) 269 LSJS 189.
14 Appellant Written Submissions at [30] (FDN 3).
15 Appeal Book at 17, [3].
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b. participation in a joint conference with the Commissioner’s and the
Claimants’ respective valuers together (if required); and
c. to otherwise appear to give evidence within the field of your expertise should
the matter be litigated.
31 The terms of engagement that were sent to the parties by Mr Thamm16 were
tailored for the purposes of this matter and read as follows:
Confidentiality
a. Subject to paragraph (b) of this clause, any valuation service is confidential as
between the Company and the Reliant Party as specifically stated in the
valuation advice/report. Neither the whole of the report, nor any part of it may
be disclosed, published in any document, statement, circular, or otherwise by
any party except as genuinely and necessarily required for the purpose of this
engagement, nor in any communication with any third parties, without the
prior written approval of the other parties.
b. A party may disclose the report or any part of it;
i. to an employee, agent or advisor the Commissioner, on a “need to
know” and confidential basis;
ii. as required by law or a court order;
iii. in accordance with any Parliamentary or constitutional convention; or
iv. for the purposes of prosecuting or defending proceedings.
32 The appellant contends that a fair and just reading of the joint instructions
and the terms of engagement leads to the inference that, at the time the Thamm
reports were obtained, the objective purpose was twofold. First, to obtain an
independent expert report that would inform negotiations between the parties and
second for use in litigation if the matter did not resolve by negotiation. It is said
that if further consent of either party was required prior to the disclosure of the
reports, that requirement would have been expressly stated in the agreed joint
instructions. It is said that there is nothing in the joint instructions to suggest that
there was an agreement, express or otherwise, that the Thamm reports were to be
treated on a without prejudice basis.
33 The respondents on the other hand deny that they agreed to the use of
documents prior to seeing them irrespective of their contents. It is said that
properly understood the joint letter of instruction addresses the form of the reports
and the future availability of the expert should the matter be litigated. The letter
did not expressly address consent to use of the report in subsequent proceedings.
It is said that the appellant’s contention is at best an implication from the joint
letter and is unsupportable.
16 Appeal Book at 91.
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Consideration
34 Falland is a case concerning common law privilege. The issue in Falland is
whether there had been an agreement that reports prepared at the time of settlement
negotiations would only be used for the purpose of settlement. No such agreement
is necessary in the circumstances of this matter. The fact that the joint instructions
did not refer to the reports being provided on a without prejudice basis is irrelevant.
The evidentiary rule in s 23BA(3) attaches to documents by operation of law if
they fall within the statutory description. I have found that the Thamm reports do
fall within that description. The issue is then whether the parties nonetheless
consent to admit the material in proceedings notwithstanding the provisions of
s 23BA(3). I do not consider that such consent can be inferred from the joint
instructions or the terms of engagement. It is my view that consent ought to be
expressed in explicit terms. That is not the case here. I add, but do not decide,
that even had such consent been given at the time the reports were requested it may
be possible for such consent to be withdrawn.
Ground 3 - section 67C of the EA
35 In view of my findings in relation to grounds 1 and 2 of the appeal, it is
unnecessary to determine ground 3. Whilst it is not strictly necessary to determine
the issue, I do not disagree with the learned Auxiliary Associate Justice’s
conclusion that s 67C of the EA likely also applies. The purpose of s 23BA of the
LAA and s 67C of the EA is consistent. There is no issue of principle in relation
to overlapping exclusionary principles of the law of evidence both requiring
application.
36 I will hear the parties on the issue of costs.
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