Commonwealth Consolidated Regulations

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FEDERAL COURT RULES 2011 - RULE 25.14

Costs where offer not accepted

             (1)  If an offer is made by a respondent and not accepted by an applicant, and the applicant obtains a judgment that is less favourable than the terms of the offer:

                     (a)  the applicant is not entitled to any costs after 11.00 am on the second business day after the offer was served; and

                     (b)  the respondent is entitled to an order that the applicant pay the respondent's costs after that time on an indemnity basis.

             (2)  If an offer is made by a respondent and an applicant unreasonably fails to accept the offer and the applicant's proceeding is dismissed, the respondent is entitled to an order that the applicant pay the respondent's costs:

                     (a)  before 11.00 am on the second business day after the offer was served--on a party and party basis; and

                     (b)  after the time mentioned in paragraph (a)--on an indemnity basis.

             (3)  If an offer is made by an applicant and not accepted by a respondent, and the applicant obtains a judgment that is more favourable than the terms of the offer, the applicant is entitled to an order that the respondent pay the applicant's costs:

                     (a)  before 11.00 am on the second business day after the offer was served--on a party and party basis; and

                     (b)  after the time mentioned in paragraph (a)--on an indemnity basis.

Note 1:       Costs on an indemnity basis is defined in the Dictionary.

Note 2:       The Court may make an order inconsistent with these rules--see rule 1.35.



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