The landlord succeeded in its costs application: the Tribunal ordered the tenant to pay the landlord's costs on a standard basis from the date a Calderbank offer was served, but declined indemnity costs. The key proposition is that an unreasonable refusal of a settlement offer that was more favourable than the proceeding's outcome is a relevant factor under s 109(3)(e) of the VCAT Act justifying departure from the presumption against costs, even where the losing party was self-represented. The Tribunal held that a party's self-represented status does not, of itself, militate against a costs order where the party is a commercial entity capable of obtaining legal advice, and that the rejection of a genuine Calderbank offer without explanation supports a finding that it is fair to order costs from the date of the offer.
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