Christian Outreach Centre v Toowoomba Regional Council & Anor [2012] QPEC 72 (2013) QPELR 105
PLANNING & ENVIRONMENT COURT
OF QUEENSLAND
CITATION: Christian Outreach Centre v Toowoomba Regional Council
& Anor [2012] QPEC 72
PARTIES: CHRISTRIAN OUTREACH CENTRE (COC)
(Appellant)
v
TOOWOOMBA REGIONAL COUNCIL (TRC)
(Respondent)
and
HSBG PTY LTD (HSBG)
(First co-respondent)
FILE NO/S: BD4801/2001
DIVISION: Planning and Environment
PROCEEDING: Application
ORIGINATING
COURT: Brisbane
DELIVERED ON: 14/11/12
DELIVERED AT: Brisbane
HEARING DATE: 24/09/12 – 25/09/12
JUDGE: Searles DCJ
ORDER: 1. UCPR 668 Application dismissed;
2. Application for costs of and incidental to the
“substantially different development point” issue
dismissed.
CATCHWORDS: UCPR Rule 668,Application for costs, SPA s 457(2)(f); Rule
4 Planning & Environment Court Rules 2010 – whether
abandonment of issue at trial amounted to failure to proceed
in an expeditious way
COUNSEL: Applicant: G.J Gibson QC & S.M Ure
First Respondent: J.D Houston
Second Respondent: D.RGore QC & B.D Job
SOLICITORS: HWL Ebsworth
Corrs Chambers Westgarth
Connor O’Meara
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2
Applications
[1] This involves two applications by HSBG Pty Ltd (HSBG) arising out of this court’s
decision in this matter of 18 April 20121. By originating application, the appellant
(COC) sought declaratory relief as to the validity of the Council decision of
7 November 2011 approving a permissible change to a development approval of
6 July 2009 (COC application). The following declarations in favour of COC were
made:-
1. Declaration that the change, the subject of a Request to Change an
existing approval pursuant to s 369 of the Sustainable Planning Act
2009, lodged by Place Design Group on behalf of HSBG Pty Ltd
with the Respondent, Toowoomba Regional Council, on 20 July
2011 is not a permissible change within the meaning of s 367 of the
SPA; and
2. Declaration that the decision of the Toowoomba Regional Council
made on 7 November 2011 and notified to Place Design by letter
dated 15 November 2011 is of no force or effect.
[2] HSBG now makes two applications. Firstly, that the above declarations be set aside,
and that the issue of discretionary considerations be retried having regard to the
contents of the draft Toowoomba Regional Planning Scheme. That was formally
adopted by resolution of the Council on 20 March 2012 to take effect from 1 July
1 Christian Outreach Centre v Toowoomba Regional Council and HSBG Pty Ltd [2012] QPEC 029
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3
2012. This application is made pursuant to UCPR 668 (Rule 668 application). The
second application is for costs of that part of the declaratory proceedings relating to
whether the abovementioned change to the Council approval resulted in a
substantially different development (Costs Application). That ground was relied
upon by COC but not proceeded with at the conclusion of the hearing, COC
conceding that it could not persuade the court on that issue.2
Rule 668 application
[3] Rule 668 of UCPR provides:-
668 Matters arising after order.
(1) This rule applies if –
(a) facts arise after an order is made entitling the person against whom the
order is made to be relieved from it; or
(b) facts are discovered after an order is made that, if discovered in time, would
have entitled the person against whom the order is made to an order or decision
in the person‘s favour or to a different order.
(2) On application by the person mentioned in subrule (1), the court may stay
enforcement of the order against the person or give other appropriate relief.
(3) Without limiting subrule (2), the court may do one or more of the following –
(a) direct the proceedings to be taken, and the questions or issue of fact to be
tried or decided, and the inquiries to be made, as the court considers just;
(b) set aside or vary the order;
(c) make an order directing entry of satisfaction of the judgment to be made.
HSBG relies upon r 668(1)(b) above, so it must establish two things:
(a) That facts were discovered after the declaratory orders of 18 April
2012; and
2 Ibid, para 2
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4
(b) Had those facts been discovered prior to 18 April 2012, HSBG
would have been entitled to an order in its favour dismissing the
COC application in lieu of the declarations made.
Facts relied upon by HSBG
[4] In summary HSBG argues that r 668 is enlivened because of the following:-
(a) HSBG and its legal representatives discovered, after judgment on 18
April 2012, that the Council had adopted a draft planning scheme on
20 March 2012, its new scheme, which would take effect on 1 July
2012;
(b) Under the new scheme, a development application seeking approval
for the subject development, inclusive of the changes approved by
the abovementioned impugned decision of the Council, would have
required code assessment rather than impact assessment as under the
old scheme;
(c) COC would not, therefore, be entitled to make a “properly made
submission” as defined in SPA in relation to any code assessable
development application made by HSBG under the new scheme; and
(d) The above facts would have been material to the exercise of the
discretion to grant the declaratory relief to COC and would have
resulted in that discretion being exercised in favour of HSBG with
dismissal of the COC application.
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5
Factual background
[5] The original HSBG application of 20 May 2008 sought a Material Change of Use –
Impact Assessable – retail showroom, indoor recreational facilities (gym) and food
outlet (café/restaurant) on land at 471-493 Hume Street, Kearneys Spring,
Toowoomba. As I have said, it was impact assessable.
[6] The Council approved that application on 6 July 2009. On 20 July 2011 HSBG
lodged a request to make a Permissible Change to that Approval pursuant to s 369 of
SPA. Council approved that change on 7 November 2011. That is the approval
declared invalid on 18 April 2012.
[7] Mr Martin, the Council’s principal planner,3 gave evidence of steps taken by Council
leading to its adoption of the new scheme. It was adopted on 20 March 2012 with
public notification in the Queensland Government Gazette on 23 March 2012
notifying of commencement on 1 July 2012.4
[8] The extent of the public notification of the Council’s proposed new scheme is
usefully summarised in the submissions of COC by reference to the Martin affidavits.
They are:-
(a) a notice published in the Toowoomba Chronicle on 23 July 2011 and 30
July 2011 (para 7);
(b) a notice identical to those published in the Chronicle was also available on
the respondent’s website between Monday, 25 July 2011 and Friday, 2
September 2011 and in each of the respondent’s 10 service centres between
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6
Monday, 25 July 2011 and Friday, 2 September 2011 (para 8)
(c) notice of the exhibition of the proposed scheme was published in eight
local newspapers circulating within parts of the Toowoomba Regional Council
area (para 9);
(d) On 18 July 2011 a letter was sent to all landowners within the Council area
advising them of the exhibition of the proposed scheme and how to obtain
additional information (para 9(2));
(e) on 20 July 2011 a letter was sent to landowners affected by specific issues
advising them of the exhibition of the proposed planning scheme and how to
obtain additional information (para 9(3));
(f) 206 television advertisements were screened between Saturday, 23 July and
Thursday, 1 September on WIN, Southern Cross, and Channel 7 advising of
the exhibition of the proposed planning scheme (para 9(4));
(g) 470 radio commercials were run between Saturday, 23 July and Thursday,
1 September 2011 on stations 4AK, 4WK, 4GR and CFM advising of the
exhibition of the proposed scheme;
(h) during the consultation period, presentations about the proposed planning
scheme were made by council officers to some seven community groups (para
10(3)).
3 Affidavits 21 June 2012 and 20 September 2012
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7
[9] Mr McNab, the managing director of HSBG,5 acknowledged that for some time he
had been aware of the contemplated new scheme and that, three years previous to
June 2012, he had participated in a focus group organised by the Council to discuss
issues concerning the preparation of the new scheme. His recollection of the
discussions was that they were primarily concerned with residential development and
the revitalisation of the central business district of Toowoomba. He said that at no
stage was the subject land discussed.
[10] Mr McNab further said that he was aware in or about August 2011 that a draft of the
new planning scheme had been notified by the Council for public consultation and
that the McNab Group, of which HSBG is a member, made a submission or
submissions in relation to the scheme concerning other land owned by the group in
Neil and Laurel Streets, Toowoomba.6
[11] Ms Katrina Carusi, an employee of the McNab Group, deposed7 that, after she
received a copy of the judgment of 18 April 2012, she was informed by one Danielle
Fitzpatrick, a planning officer of the Council, that the subject development may
potentially be code assessable under the provisions of the new scheme. It is clear
from Ms Carusi’s affidavit that, prior to that conversation she was aware of the
proposed new scheme, but not aware that it had already been adopted by the Council
on 20 March 2012 to commence on 1 July 2012. She was also unaware the new
scheme affected the zoning of the subject land or in any way affected the level of
assessment of the proposed development.
4 See affidavit of A D Storie, 1 June 2012, Exhibit ADS-1
5 Affidavit 4 June 2012
6 That was made on 10 September 2011 – See affidavit H Martin, 21 June 2012, Exhibit HM1, p 54
7 Affidavit 6 June 2012
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8
[12] Following the conversation with Ms Fitzpatrick on 18 April 2012, Ms Carusi
informed Mr McNab of what she had been told, and the next day 19 April 2012 she
and Mr McNab met with HSBG’s solicitors. Mr McNab was unaware the new
scheme had been adopted by Council on 20 March 2012 until his solicitors told him.
Whilst he was aware that a new scheme was in prospect, he said he saw no reason to
make any such enquiries prior to the 18 April 2012 judgment because, until that date,
he regarded the development approval as valid. He did not see how the potential
future zoning under the new scheme would be of any relevance to the COC
application in which that approval was under attack.
[13] Mr Connor, HSBG’s solicitor, deposed7 to the fact that, prior to the judgment on
18 April 2012, he was unaware that the Council was in the process of making a new
planning scheme. It was at the meeting with Mr McNab and Ms Carusi on 19 April
2012 that he was informed for the first time by them that a draft planning scheme was
in the process of preparation by the Council with changes to the existing scheme
which may render the subject development code assessable rather than impact
assessable. It was only after he received the copy of the new scheme from Ms Carusi
later that day that he discovered the scheme had already been adopted on 20 March
2012 to commence on 1 July 2012. He then confirmed with Ms Carusi that, if a
development application for a material change of use was lodged after 1 July 2012
under the new scheme, it would be code assessable.
[14] In fact an application under the new scheme was lodged by HSBG on 2 July 2012.8
The Council acknowledged the application by letter dated 10 July 20129 confirming
8 Affidavit 1 June 2012
9 Exhibit 5, p 1. Note covering letter of Place Planning Design Environment is wrongly dated 2 May
2012. It is clear from the actual application at p 6 of the Exhibit that the correct date is 2 July 2012.
10 Ibid, p 209
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9
that the application was code assessable10 and that the following codes may be
applicable to that assessment:-
Zones:
6.3.2 Major Centre Zone Code
Overlays:
8.2.1 Airport Environs Overlay Code
Other Codes:
9.3.1.1 Centre Activities Code
9.3.2.1 Works and Services Code
9.3.4.1 Advertising Devices Code
9.3.4.2 Environmental Standards Code
9.3.4.3 Integrated Water Cycle Management Code
9.3.4.4 Landscaping Code
9.3.4.5 Transport, Access and Parking Code
11 Ibid, p 210
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10
Council also advised that the Department of Transport and Main Roads was a
concurrence agency.
[15] The application is presently before the Council for assessment. Its substantive content
and compliance with the new scheme is a matter for the Council and not for this court
on this application.
Principles relating to the interpretation of r 668
[16] In 2006 the Court of Appeal considered r 668 in Ivi Pty Ltd v Baycrown Pty Ltd.11
After expressing his agreement with the reasons and proposed orders of Wilson J,
apart from one matter which is irrelevant to this application, Jerrard JA made the
following statements:-
[13] … In Rockett & Anor v The Proprietors ―The Sands‖ BUP No. 82[2002] 1
Qd R 307 McPherson JA wrote:
‗… rule 668 is in all material respect a re-enactment of O 45 r 1 of the
Rules of the Supreme Court 1900. Since the decision in KGK
Constructions Pty Ltd v East Coast Earthmoving Pty Ltd [1985] 2 Qd R
13, it has been applied in a number of cases in which relief has been
sought and granted against the operation of ‗self executing‘ orders,
because of facts arising after an order was made.‘
[15] Baycrown complained that the learned trial judge, who heard
the UCPR r. 668 application while the special leave application was
pending, applied a test that was too limited when construing r. 668. The
learned judge ruled that it was relevant to have regard to the principles
applicable when a party appealed and relied on fresh evidence. In the
latter case the appropriate approach was described by the High Court
in Wollongong Corporation v. Cowan (1955) 93 C.L.R. 435 in these
terms:
‗The discovery of fresh evidence in such circumstances could
rarely, if ever, be a ground for a new trial unless certain well-
known conditions are fulfilled. It must be reasonably clear that
if the evidence had been available at the first trial and had been
adduced, an opposite result would have been produced, or, if it
is not reasonably clear that it would have been produced, it
must have been so highly likely as to make it unreasonable to
12 [2006] QCA 461
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11
suppose the contrary. Again, reasonable diligence must have
been exercised to procure the evidence which the defeated party
failed to adduce at the first trial.‘
[16] In Commonwealth Bank of Australia v Quade (1991) 178
C.L.R. 134 at 140, the joint judgment repeated that passage with
apparent approval, while remarking that it was unnecessary to consider
whether the somewhat obscure qualification expressed by the words ‗or,
if it is not reasonably clear that it would have been produced, it must
have been so highly likely as to make it unreasonable to suppose the
contrary‘ represented anything more than an illusory relaxation of the
primary test, which was that it be ―reasonably clear … an opposite
result would have been produced.‖ I agree with Wilson J. that it was
appropriate for the learned trial judge to consider those principles.
Doing so is supported by the decision of Handley J.A. in Harrison v.
Schipp (2002) 54 N.S.W.L.R. 612, where that court considered the
availability of a Bill of Review and its nature. ‗That action for review
was the source of the power described by Griffith C.J. in Woods v.
Sheriff of Queensland, and reproduced in O. 45 r. 1, as described by
McPherson J.A. in Rockett v. The Proprietors – ‗The Sands‘ B.U.P. No.
82, and in his earlier judgment in K.G.K. Construction Pty Ltd v. East
Coast Earthmoving Pty Ltd (1985) 2 Qd.R. 13 at pp. 19 to 20. The
judgment in Woods v. Sheriff of Queensland makes clear that Griffith
C.J. was describing relief similar to that obtainable by a Bill of Review.
[17] Handley J.A. wrote of that relief, in Harrison v. Schipp:
‗If the decree had been enrolled, limited relief was still available by a
bill of review. Such a bill could be brought for error apparent, that is an
error of law appearing in the decree itself, or for some new matter
which had arisen since the decree, or, with the prior leave of the court
on discovery of new matter. On an application for leave the court had to
be satisfied that the matter newly discovered was relevant and material,
such as might probably have occasioned a different determination, and
that it was not discoverable by due diligence before the trial.‘ (citations
omitted).
[18] It is accordingly consistent with the ultimate source of r. 668 to
have close regard to those described principles when asking whether
facts newly arising or discovered would ‗entitle‘ a person against whom
an order had been made to be relieved from it, or to an order or
decision in that person‘s favour. Any lesser degree of proof would not
establish that the applicant was ‗entitled‘ to relief from, or to a
different, order.
[17] In her judgment Wilson J said:-
“[74] In Breen v Lambert Thomas J dealt with an application to stay a
judgment pursuant to O 45 r 1 based on the discovery of further facts ante-
dating the trial. His Honour reviewed the old procedures in chancery and at
common law. Speaking of the chancery practice and then of the common law he
said at pp 22 – 23 –
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12
‗Clearly then the principles protecting the finality of judgments and the refusal
by courts to interfere by reason of evidence available but undiscovered before
action unless such evidence could not by reasonable diligence have been
discovered in time, and other related principles, are of long-standing. Jessel
M.R.‘s remarks show that these principles were not swept away by the
Judicature Act. Nor have they been undermined by the rules introduced by the
Judicature Act (see the schedule to the Judicature Act 1876, including O. XLII
r.22). The same may be said with respect to the abolition of the common law
writs of audita querela. The abolition of the writs by O. LVII r. 11 in 1876 was
accompanied by recognition of the court‘s power to relieve against judgments
on the ground of discovery of further facts, as Griffith C.J. observed in Woods v
Sheriff of Queensland. The similarity between those rules and O 45 r 1 as
introduced in the Rules of the Supreme Court 1900 (at least in the operative
part that deals with the discovery of facts after judgment) and the general
discretion entrusted to the court in such a situation is significant.‘ …
I agree with the following general observation made in A.M.I.E.U v
Mudginberri:
‗The principle that there must be an end to litigation is a powerful one.
Courts should not be ready to permit unsuccessful parties to attempt to
overturn judgments by raising new considerations. For that reason, it is
essential that a party seeking to overturn a judgment demonstrates that
he or she does so only upon the footing of matters discovered since the
judgment was entered. Plainly, such evidence must be weighty …‖
[18] The third member of the court, McKenzie J, relevantly, agreed with Jerrard JA and
Wilson J stating:-
“[43] The interpretation and ancestry of r 668 are discussed in the
reasons for judgment of Jerrard JA and Wilson J. I
respectfully adopt their analysis and the conclusion they
reach as to the relevant factors in exercising the power
under r 668(1)(b).‖
[19] Another relevant decision is Rankin v Agen Biomedical Ltd12, where the Court of
Appeal held that the previous rule namely order 45, r 1 of the Supreme Court Rules, ,
the equivalent of r 668, was applicable where an applicant for relief had to depend on
a favourable exercise of discretion and claimed no absolute right to relief as is the
case here.
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13
First limb of r 668(1)(b)
[20] By reference to the above principles, the first limb of r 668(1)(b) that HSBG must
satisfy, is that the relevant facts relied upon could not have been ascertained by
reasonable diligence before the delivery of the judgment on 18 April 2012. I am
unable to accept they could not have been. HSBG was aware that a new scheme was
in prospect at least since August 2011 when Mr McNab became aware a draft had
been notified by the Council for public consultation and could with a minimum of
effort either by itself or through its solicitors have made enquiries to monitor the
progress of its introduction. It is not to the point that Mr McNab’s focus was on other
land owned by his group. Given that it was aware that a new scheme was in prospect,
no explanation was offered by HSBG, as to why it did not monitor its progress
leading to the COC hearing on 7 March 2012. Had HSBG done that it would have
learnt of its introduction, at the latest, on or around 20 March 2012, when the Council
adopted it or on 23 March 2012 when it was gazetted. It would also almost certainly
have learnt of an earlier letter of 18 February 2012 from the Minister for local
government to the Council mayor advising the Council it could adopt the planning
scheme considered by it on 20 December 2011.13 Perhaps pre gazettal enquiries may
not have been definitive as to the final content, given that the new scheme finally
adopted was different to that initially put on display. Changes were made after
submissions that were received upon public notification. But the point is that, had
HSBG and its advisers been reasonably diligent, they would have been monitoring
the progress of the introduction of the new scheme and would have been aware of its
introduction on 20 March 2012 prior to the delivery of judgment on 18 April 2012. It
13 [1999] 2 Qd R 435 at 437-438
14 Exhibit 3, p 105
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14
cannot be said therefore, that the acts relied upon were undiscoverable until after 18
April 2012. HSBG fails on this first limb which is fatal to the application.
Second limb of r 668(1)(b)
[21] But, even if it was the case that HSBG satisfied the requirements of the first limb of s
668(1)(b), I am still not satisfied that, had the court been informed of the effect of the
new scheme either prior to the end of the hearing or prior to judgment upon an
application to re-open the HSBG case, any different order would have been made.
[22] HSBG relied on authorities14 to the effect that a court will decline to make a
declaration if it will produce no foreseeable consequences for the parties. In other
words, it is not for a court to answer abstract or hypothetical questions. That is
undoubtedly correct.
[23] HSBG also relied on two decisions of this court15 as examples of decisions where the
court found that any declaration would be of no utility given the absence of
foreseeable consequences for the parties. But in both those cases, the relevant
applications had been subject to analysis against the relevant planning scheme. Here,
HSBG seeks to rely upon that part of the new scheme rendering its application
thereunder code assessable without having to establish compliance with other aspects,
namely each of the relevant codes applicable under the new scheme. The effect of
that, as COC argued, is that HSBG would have the benefit of a subsisting approval
under the old scheme, found by the court to be invalid. I see no reason why, in the
14 Ainsworth v CJC (1992) 175 CLR 564 at 581-582; Gardner v Dairy Industry Authority (NSW)
(1977) 52 ALJR 180 at 188 and 189 and Tebbutt v Egg Marketing Board (NSW) (1976) 2 NSWLR
179 at 184-185 and 188
15 Bon Accord Pty Ltd v BCC (2007-2008) 163 LGERA 288; Stevenson Group Investments Pty Ltd v
Nunn (2011) QPEC 151
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15
exercise of its discretion, the court would relieve HSBG of assessment against the
codes reflecting the Council’s contemporary expression of its planning requirements.
I say that, conscious of the fact that the sole ground for the finding of invalidity was
the denial to COC of the entitlement to make a submission under the old scheme.
Conclusion re r 668 application
[24] HSBG fails on both limbs of the r 668 application. The application is dismissed.
Costs application
[25] HSBG seeks costs on a standard basis under s457 of SPA, limited to its costs of and
incidental to that part of the COC Application relating to the “substantially different
development point” (Costs Issue).
Background
[26] From the filing of the originating application to the end of the first day of the two day
hearing, COC relied on essentially two arguments, namely:
(a) the changes proposed to the extant development approval, which was ultimately
approved by TRC, resulted in a substantially different development for the purpose
of s.367 of SPA, the abovementioned Costs Issue (“the substantially different
development point”); and
(b) no reasonable entity could have formed an opinion that the changes proposed to
the extant development approval would not have provoked a properly made
submission (“the Wednesbury Point”).
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16
[27] In the Judgment of 18 April 2012, COC was successful on the Wednesbury Point,
which ultimately decided the application resulting in the declarations made. In that
judgment16 the court said:
―In its opening the applicant foreshadowed reliance upon SPA section
367(1)(a)(c), but at the conclusion of the hearing reliance was confined to section
367(1)(c). The applicant conceded that he could not persuade the court that the
council‘s decision would be vitiated under section 367(1)(a), so that the council‘s
decision in that respect stands. Accordingly, there is no need for me to consider
that ground‖
[28] Written submissions were exchanged between the parties at the completion of
evidence. COC’s final written submissions did not contain any submission on the
costs issue. It was at this point counsel for COC conceded the issue would not be
pursued.
Submissions of HSBG
[29] HSBG relies on s457(2)(f) of SPA which provides:
(1) Each party to a proceeding in the court must bear the party‘s
own costs for the proceeding.
(2) However, the court may order costs for the proceeding,
including allowances to witnesses attending for giving
evidence at the proceeding, as it considers appropriate in the
following circumstances—
........
(f) a party has incurred costs because another party has
16 Christian Outreach Centre v Toowoomba Regional Council & HSBG Pty Ltd [2012] QPEC 029 para
2
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17
defaulted in the court‘s procedural requirements;
[30] The procedural requirements spoken of in s 457(2)(f) of SPA refer to those identified
in the Rules or a Court order.17 Although “Procedural requirement” is not a defined
term in SPA, HSBG argues that the procedural requirement contravened is to be
found in Rule 4 of the Planning and Environment Court Rules 2010, which relevantly
provides:
“Philosophy – overriding obligations of parties and court
(1) The purpose of these rules is to facilitate the just and expeditious resolution of
the real issues in proceedings at a minimum of expense.
(2) Accordingly, these rules are to be applied by the court with the objective of
avoiding undue delay, expense and technicality and facilitating the purpose of
these rules.
(3) In a proceeding in the court, a party impliedly undertakes to the court and to
the other parties to proceed in an expeditious way.‖
[31] HSBG points to Sub-rule 3, and says that as to the costs issue, COC did not conduct
itself in an expeditious manner so as to avoid undue expense. That undue expense
incurred by HSBG was the costs involved in the preparation of detailed written
submissions on that issue and calling evidence on the issue.
[32] HSBG finally submits that no explanation was given by COC as to why the
concession was made and why it was not made earlier. That conduct, it is said, is
inconsistent with the philosophy of Rule 4 and a breach of Rule 4(3) evidencing a
failure to proceed in an expeditious way.
17 Heilbronn and Partners v Pine Rivers Shire Council 1993 80 LGERA 434; Kangaroo Point Residents
Association v Brisbane City Council 2006 QPELR 471
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18
Submissions of COC
[33] As to the procedural requirements spoken of in s457(2)(f), COC relies on the decision
of Skoien SJDC in Begley v Pine Rivers Shire Council [1995] QPLR 228, where His
Honour said:-
―I am unable to agree that the matters complained of amount to default in the
procedural requirements. An obvious case of that would be the failure to comply
with a mandatory requirement of the rules or with an order of the Court. But
nothing of that type occurred here. The way in which the issues I have referred to
were defined or litigated by the Appellant was not so faint or unmeritorious as to
be seen to be in flagrant defiance of any order defining them. The worst that can
be said of them is that some were weakly contested. Abandonment, even late
abandonment, of an issue is not in my view a default in a procedural requirement
in the absence of some specific requirement of an order or a rule of court. If it
finally depends on the exercise of a discretion, I would not exercise it against the
Appellant in the circumstances.‖
[34] Begley exhibited a similar circumstance, in that the matters complained of concerned
firstly a ground of appeal relating to wildlife which raised a number of issues
necessitating an expert being engaged only to have the issue reduced to one species,
that of a grass owl. Further, the issue of potential for bushfires was later abandoned.
[35] Relying on Begley, COC points to the absence of any “mandatory” or “specific”
requirement it has failed to comply with, and argues that Rule 4 is no more than an
expression of the “philosophy” addressing the overriding obligations of parties and
the court.
[36] COC further argues that Rule 4, found in Part 1 – Preliminary of the Court Rules,
does not prescribe a “procedural requirement” as contemplated by s457(2)(f). Rules
of that nature are found in Part 2 – Conduct of Proceedings. Unlike the specific
requirements found in Part 2 of the Rules, COC submits that Rule 4(3) involves a
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19
value judgment as to whether a party has proceeded in an “expeditious way”, and in
most cases it could be argued that opinions on that matter will differ.
[37] COC also pointed to the fact that Rule 4 substantially replicates UCPR 5(1-3) but
stops short of adopting UCPR 5(4), which provides:
―(4) The court may impose appropriate sanctions if a party does not comply with
these rules or an order of the court.‖
[38] COC says that “sanctions” plainly includes the power to award costs, and that the
failure to include that provision in Rule 4 is a significant indicator that the rule is not
intended to have costs consequences in the Planning and Environment Court.
[39] COC also made a number of submissions in relation to the courts discretionary power
to make an order for costs in circumstances such as these. Those are:
(a) An explanation as to why its concession was not offered voluntarily or at an earlier
time was not requested or is required to be offered;
(b) HSBG submits that the concession was extracted unwillingly. That is also
irrelevant;
(c) The substantially different development point was based on COC’s concern as to
the impact, on its land, of the relocation of the main entrance driveway to HSBG’s
development from approximately mid-way along the frontage of its land to a point
adjacent to the northern boundary of COC’s land. Those concerns were supported by
expert opinions from a traffic engineer (Mr Crank) and an acoustic engineer (Mr
Pearce). Although HSBG filed expert affidavits on which it relied (Mr Viney, traffic
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engineer and Mr Brown, acoustic engineer) disagreement with respect of issues of
requiring professional expertise persisted to the hearing. At the conclusion of the
evidence on day 1, there remained disagreement between the traffic engineers as to the
extent of queuing of traffic from the proposed changed access location to HSBG’s
land across an entrance to and driveway on COC’s land, adjacent to its northern
boundary. Other differences of opinion between the traffic engineers were also
unresolved. The differences between the acoustic engineers were resolved only after
an ad hoc joint meeting held during the afternoon of the first day. It was against that
background that COC’s written submissions did not address the substantially different
development point, and the concession referred to at paragraph 2 of the reasons for
judgment was made.
(d) The concession potentially avoided the case going into a third day and also
relieved the court from having to decide on that point. The making of the concession
was consistent with the philosophy of Rule 4, not contrary to it.
(e) To assert, as HSBG does, that the concession should have been made at an earlier
time, ignores the fact that issues remained live in the proceeding. If accepted, it would
impose far too onerous an obligation on parties’ legal representatives during a hearing.
Consideration of arguments
[40] It must firstly be considered whether Rule 4 contains “procedural requirements” as
contemplated by s457(2)(f) SPA. I accept COCs submission that Rule 4 expresses a
general philosophy, addressing the overriding obligations of parties and the court, as
implied by the heading. But I cannot accept that the expression “proceed in an
expeditious way” does not connote a procedural requirement. In Begley v Pine Rivers
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Shire Council the court found, in a case with facts similar to these, that abandonment
of an issue, even at a late stage, was not a default in a procedural requirement.
However as was conceded by COC, and as the court noted, that finding was made in
the absence of a mandatory or specific requirement in the Rules or order of the court.
[41] I accept that Rule 4 is not specific in nature as to the procedural requirement as is
UCPR 5(4), but I do not see that this warrants reading down the plain language of the
Rule which imposes upon a party by way of an implied undertaking to the court the
obligation to proceed in an expeditious way. I cannot accept the argument of COC
that the absence of an equivalent to UCPR 5(4) in Rule 4 indicates that a breach of
Rule 4 was not intended to empower the court to impose sanctions if Rule 4 was not
complied with. Against that argument, it might also be said that UCPR 5(4) confines
the court’s power of sanctioning to non-compliance with the specifics set out, namely
a rule or an order of the court whereas the legislature intended that no such restriction
should be placed on this Court in relation to a breach of Rule 4(3). I consider that,
under Rule 4(3) the failure of a party to proceed in an expeditious way, can expose
that party to an order for costs in the appropriate circumstances.
[42] There could well be circumstances beyond the breach of a specific rule or a court
order which could found a conclusion that a party was not proceeding in an
expeditious way. Some examples are:-
(a) Failure to answer correspondence in a timely manner;
(b) Failure to properly investigate the nature and extent of a party’s case
early in the proceedings leading to repeated amendment of pleadings
is another; and
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(c) Unjustifiable late abandonment of an issue in the face of previous
invitations by another party to do so.
[43] There are doubtless others. To say that a party can fail to proceed in an expeditious
way in breach of Rule 4(3) but that, absent a breach of a specific rule or court order,
Rule 4 is not breached because it is not a procedural requirement is not how the Rule
should be read.
Did COC fail to act in an expeditious way in breach of Rule 4(3)?
[44] The next question is whether, in all the circumstances COC failed to act in an
expeditious way, in breach of Rule 4(3). “Expeditious” is defined in the shorter
Oxford English dictionary as:
“1. Speedily performed or given; conducive to speedy
performance;
2. Of a person, acting or moving with expedition; speedy.”
[45] What we have here is a situation where on the issue of traffic and acoustics both
parties called experts and those experts gave evidence. As COC has argued, during
day one, traffic issues were still in dispute between the experts but, as a result of an
ad hoc conference between acoustic experts at the end of day one the outstanding
issues between them were resolved. No evidence was put before the court by HSBG
in support of the argument that the decision of COC not to further agitate the costs
issue was as a result of any lack of expedition in the conduct of its case. A court
should be cautious in readily penalising a party where that party has at any stage
formed the view that a particular issue should not be further pursued. Of course,
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there may be incidences where that notification is a communication of a decision
made a long time before the court, or other parties, are informed and in circumstances
where the unreasonable silence hitherto has caused the parties to incur costs which
could have been avoided with earlier notification. But that is not the case here.
[46] Those involved in the litigation process know from experience that it is not unusual
for issues which at an earlier stage of proceedings or preparation appear to have merit
but which later take on a different hue.
[47] If it was thought by parties that each time there arose a justifiable change of
circumstances warranting abandonment of an issue that a party would be vulnerable
to a costs order, it may lead to a situation where the very evil the rules seek to address
is perpetuated by the running of points which it are reasonably considered to have no
merit. I speak of cases where a party considers at an advanced stage that it has a
sufficiently strong case to carry the day on other issues without putting the court to
the inconvenience contrary to the public interest, and the other parties to the costs, of
further time spent on other points. I do not by that mean to suggest that in the present
case much additional time would have been incurred had the relevant issue been
agitated by COC because it was only at the submissions stage that the issue arose.
Conclusion
[48] In all the circumstances I am not persuaded that there is any sufficient evidence that
the conduct of COC should attract an order for costs. The application is dismissed.
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Official source: https://www.sclqld.org.au/caselaw/QPEC/2012/072