McKAY v Commissioner of Main Roads [No 7]

(2011) 185 LGERA 118; [2011] WASC 223

Supreme Court of Western Australia

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Interrogate

Catchwords

1. Resumption and Acquisition of Land
2. › Compensation
3. › Valuation of land
4. › Statutory discounting of effect of proposed public works
5. › Pointe Gourde principle
6. › Whether statutory discounting permits enquiry into zoning in absence of proposed public works
7. › Determination of zoning in absence of proposed public works
8. › Land Administration Act 1997 (WA), s 241
1. Resumption and Acquisition of Land
2. › Compensation
3. › Valuation of land
4. › Evidence
5. › Relevance and admissibility of planning instruments after date of taking
6. › Whether post-taking evidence admissible to confirm a foresight
7. › Extent of urban potential of subject land
1. Resumption and Acquisition of Land
2. › Compensation
3. › Valuation of land
4. › Valuation methodology
5. › Comparable sales
6. › Hypothetical subdivision analysis
1. Practice and Procedure
2. › Costs
3. › Calderbank offers
4. › Whether unreasonable rejection is precondition to award of party-party costs
5. › Distinction between test for indemnity costs and party-party costs
6. › Weight to be given to Calderbank offer in costs discretion
7. › Duration of offer
8. › Whether ten days sufficient

Quick Take

A Calderbank offer that exceeds the judgment sum may found an order for party-party costs without the court needing to find that rejection of the offer was unreasonable, judged at the time of the offer. The test of unreasonable rejection applies only to indemnity costs. The reasonableness of rejection remains a relevant consideration in the exercise of the costs discretion, but is not a precondition. In land resumption compensation cases, the costs of obtaining due compensation end when an offer exceeding due compensation is made.