Where commercial list orders require evidence-in-chief by witness statement and all such evidence is before the court, a trial judge may inquire into the viability of claims abandoned at trial for the purpose of determining an application for indemnity costs, notwithstanding the general principle against hypothetical trials. The unexplained abandonment of claims at the outset of trial, combined with a dearth of supporting evidence, is capable of supporting an inference of ulterior motive or wilful disregard sufficient to ground an indemnity costs order. A successful party's failure to expressly draw the futility of an opponent's claims to their attention does not preclude an indemnity costs order where the weaknesses were sufficiently exposed through the pleadings, affidavits and communications during the litigation.
The full text is available to signed-in members, including the 18 later cases that cite this judgment.
5 of the 18 citing cases carry a classified treatment. How each court treated it is available to signed-in members.