CGU Insurance Ltd v Bazem Pty Ltd

[2011] NSWCA 81

NSW Court of Appeal

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Interrogate

Catchwords

1. Practice and Procedure
2. › Joinder of parties
3. › Joinder of insurer as defendant
4. › Whether power to join insurer under general joinder rule
5. › Common question of law or fact
6. › Same transaction or series of transactions
7. › Unqualified discretionary power to grant leave
8. › Uniform Civil Procedure Rules 2005 (NSW), r 6.19
1. Practice and Procedure
2. › Joinder of parties
3. › Joinder of insurer as defendant
4. › Whether discretionary power to grant leave limited to cases involving insolvency or statutory priority
5. › Relationship between general joinder rule and Law Reform (Miscellaneous Provisions) Act 1946, s 6
6. › Uniform Civil Procedure Rules 2005 (NSW), r 6.19
1. Practice and Procedure
2. › Costs
3. › Costs of successful application for joinder
4. › Whether delay in making application justified adverse costs order against successful applicant
5. › Whether delay prejudiced the party ordered to pay costs

Quick Take

The discretionary power to grant leave for joinder of defendants under UCPR r 6.19(1) is unqualified and is not limited to cases where the insured is insolvent or where statutory priority issues arise under the Corporations Act. The existence of the Law Reform (Miscellaneous Provisions) Act 1946, s 6 does not require the general joinder power to be read down. A successful applicant for joinder should not be ordered to pay the costs of the party being joined where the delay in making the application did not prejudice that party.