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Court Ordered Mediation - Mediation Costs As "Costs Of The Proceedings".

Publication: Mondaq Business Briefing
Publication Date: 27-MAY-09 		Format: Online
Delivery: Immediate Online Access

Article Excerpt
Key points

Mediation considered a "step in the proceedings".

Costs incurred in mediation to be included as "costs of the proceedings".

Clear written expression of an intention to deal with mediation costs separately can displace finding that mediation costs ordinarily fall within the scope of costs of the proceedings.

Background In Newcastle City Council v Paul Wieland [2009] NSWCA 113, the New South Wales Court of Appeal recently considered whether the phrase "costs of the proceedings" includes the costs associated with mediation.

The Newcastle City Council (the Council) was a plaintiff in a damages claim against two defendants in the New South Wales District Court. During the course of the trial, the parties agreed to mediate their dispute and sought a court order for mediation.

Although the dispute did not settle at the mediation, it was settled shortly afterwards. Sidis...

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