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{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 CIVIL ACTION NO. 285 OF 2005 \par }\pard \ql \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid1801977 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 \par }\pard \qc \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid1801977 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 BETWEEN:}{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977 \par }\pard \ql \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid1801977 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977 \par }\pard \qc \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid1801977 {\b\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 CHASE CORPORATION LIMITED \par }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 PLAINTIFF \par }\pard \ql 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{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 \par }\pard \qc \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid1801977 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 AND:}{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977 \par }\pard \ql \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid1801977 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977 \par }\pard \qc \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid1801977 {\b\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 THE ATTORNEY GENERAL OF FIJI \par }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid14811316 SECOND DEFENDANT \par }\pard \ql \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid1801977 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid14811316 \par Before: Master Anare Tuilevuka \par \par Counsels: Mishra Prakash & Associates. \par Office of the Attorney-General - Lautoka \par \par Date of Ruling: Friday}{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 19th February 2010. \par \par }\pard \qc \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid1801977 {\b\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 RULING \par }\pard \ql \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid1801977 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 \par }{\b\f0\fs24\ul\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid14884246 BACKGROUND \par }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 \par }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977 (1) }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 The Ministry for Works & Energy ("}{\b\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 Ministry}{ \f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 ") had hired a large excavator belonging to Chase Corporation Limited (}{\b\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid14884246 "CCL}{ \b\f0\fs24\lang2057\langfe1033\langnp2057\insrsid14884246 "}{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 ) in October 1998 at the rate of $60-00 per hour. \par }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977 \par (2) }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 The excavator was to be used for work on Morou Island in the Yasawas. In June 2000, the excavator was returned to CCL. The Ministry has paid some $28,560-00 to CCL for the hire of the excavator. CCL claims the sum of $192, 780 \endash 00 which it alleges remains outstanding from the Ministry. CCL also claims for damages on the excavator\rquote s electronic system, hydraulic piping, rollers, chains, panels, boom and seals and oil cooler. These are alleged to have been caused by the negligence of the defendants\rquote servants. \par \par }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977 (3) }{\b\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 Paragraphs 15 and 16}{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 of the Statement of Claim plead that: \par \par }\pard \ql \li720\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin720\itap0\pararsid1801977 {\i\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 "}{\b\i\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid14884246 THAT}{\i\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 the 1st Defendant had since offered to the plaintiffs the sum of $17,500 to settle the plaintiffs\rquote loss and the plaintiff has agreed. \par }\pard \ql \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid1801977 {\b\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid14884246 \par }\pard \ql \li720\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin720\itap0\pararsid1801977 {\b\i\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid14884246 THAT}{ \i\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 the 1st Defendant has been demanding the payment of the agreed sum of $17,500 but to no avail and has its only option now to come to Court." \par }\pard \ql \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid1801977 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 \par }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977 (4) }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 The 3rd cause of action relates to loss of income suffered by CCL for the time when the excavator is left in a state of disrepair and could not be used by CCL. The total claim is $757, 360-00 plus interest at 13.5% and costs. \par \par }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977 (5) }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 The defence was filed on the 30th October 2007. It confirms the offer of $17,500 was made but that it was a payment for the hours that CCL was engaged by the government rather than an admission of negligence on government\rquote s part. The defence also admits in paragraphs 6 and 7 certain other payments made with an explanation that was materially different from that which the Plaintiff offers. \par \par }{\b\f0\fs24\ul\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid14884246 PROCEDURAL HISTORY \par }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 \par }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977 (6) }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 The statement of c laim was filed on 30th September 2005. On 9th December 2005, default judgement was entered against the defendants by the Deputy Registrar. On 4th April 2007, the Office of the Attorney-General in Lautoka filed an application to set aside the default judge ment on the ground that it was entered irregularly. \par \par }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977 (7) }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 Then on the 3rd September 2007, CCL filed a Summons seeking an Order that the default judgement entered by the Deputy Registrar be }{\b\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid14884246 "treated as confirmed and valid"}{ \f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 and that the failure to comply with }{\b\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid14884246 Order 77 Rule 6}{ \f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 be treated as an irregularity that does not nullify the proceedings or orders. The application also includes a prayer that CCL be granted leave to enter default judgement against the defendants as of 9th day of December 2005. \par \par }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977 (8) }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 That application was stated to be made under }{\b\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid14884246 Order 20 Rule 10, Order 2 Rule 1}{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 and under }{\b\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid14884246 Order 77 Rule 6}{ \f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 of the High Court Rules, 1998 and under the inherent jurisdiction of the Court. \par \par }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977 (9) }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 On 2nd April 2008, CCL filed a Notice of Assessment of Damages pursuant to }{ \b\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid14884246 Order 37 Rule 1. \par \par }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977 (10) }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 On the 26th day of October 2007, Master Udit made the following Orders: \par \par }\pard \ql \fi720\li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid21974 {\i\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 IT IS HEREBY ORDERED BY CONSENT AS FOLLOWS: \par }\pard \ql \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid1801977 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 \par }\pard \ql \li720\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin720\itap0\pararsid1801977 {\i\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 1. That the Default Judgement dated the 8th day of December 2005 be set aside }{ \b\i\f0\fs24\ul\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid14884246 on condition. \par }\pard \ql \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid1801977 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 \par }\pard \ql \li720\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin720\itap0\pararsid1801977 {\i\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 2. The Defendant to pay the sum of $17,5000 (Seventeen Thousand Five Hundred Dollars) into the Trust Account of Mishra Prakash & Associates within 14 days. Any extension to payment must be made in Court in writing copied to the Plaintiffs Solicitor. \par }\pard \ql \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid1801977 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 \par }\pard \ql \li720\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin720\itap0\pararsid1801977 {\i\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 3. Mishra Prakash & Associates to hold half of the $17,500 (Seventeen Thousand Five Hundred Dollars) in their Trust Account except for $8,750-00 (Eight Thousand Seven Hundred & Fifty Dollars) which is to be paid to the Plaintiff. \par }\pard \ql \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid1801977 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 \par }\pard \ql \li720\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin720\itap0\pararsid1801977 {\i\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 4. The Defendant to file and serve Statement of Defence by the 29th day of November 2007. \par }\pard \ql \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid1801977 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 \par }\pard \ql \li720\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin720\itap0\pararsid1801977 {\i\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 5. The matter is to take its normal course. \par }\pard \ql \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid1801977 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 \par }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977 (11) }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 On 7th October 2008, another Summons for Assessment of Damages was filed by CCL pursuant to }{ \b\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid14884246 Order 37}{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 of the }{\b\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid14884246 High Court Rules }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 . It appears from the supporting Affidavit of Vijayantimala sworn on 29th September 2008 that the Summons was filed because of the failure on the part of the defendants to pay the sum of $17,500 into Mishra Prakash\rquote s Trust A ccount as ordered by Master Udit. The Reply to the Statement of Defence was then filed on 16th December 2008, Summons for Directions was filed on 17th December 2008. Orders on Summons for Directions were sealed on 22nd May 2009. \par \par }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977 (12) }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 Then on 23rd September 2009, CCL filed a }{\b\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid14884246 Summons for Payment of Monies }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 under }{\b\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid14884246 Order 29 Rules 1, 2 }{ \f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 and }{\b\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid14884246 9.}{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 \par \par }{\b\f0\fs24\ul\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid14884246 THE SUMMONS FOR PAYMENT OF MONIES \par }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 \par }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977 (13) }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 The application is supported by the Affidavit of Vijayantimala sworn on 21st September 2009. She is a Director of CCL. She refers to the Consent Orders of Master Udit sealed on the 26th day of October 2007 (see }{ \b\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid14884246 paragraph 17}{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 above). She deposes that the Office of the Attorney-General, through their letter dated }{ \b\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid14884246 22nd day of September 2004}{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 , had admitted that the damage done to the machinery was in the sum of $17,500.00 (Seventeen Thousand Five Hundred Dollars) and the same was offered. She annexes a copy of a letter dated the }{ \b\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid14884246 22nd day of September 2004}{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 by }{\b\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid14884246 Ms Suliana Tabaiwalu}{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 (then Principal Legal Officer at the Office of the Attorney General): \par \par }\pard \ql \li720\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin720\itap0\pararsid1801977 {\i\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 "The Managing Director \par Chase Corporation Limited \par P O Box 3916 \par LAUTOKA \par }\pard \ql \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid1801977 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 \par }\pard \ql \li720\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin720\itap0\pararsid1801977 {\i\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 Dear Sir, \par }\pard \ql \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid1801977 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 \par }\pard \ql \li720\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin720\itap0\pararsid1801977 {\b\i\f0\fs24\ul\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid14884246 Re: CHASE CORPORATION LIMITED \endash CLAIM FOR COMPENSATION \par }\pard \ql \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid1801977 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 \par }\pard \ql \li720\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin720\itap0\pararsid1801977 {\i\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 We refer to your letter dated September 08th, 2004. \par }\pard \ql \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid1801977 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 \par }\pard \ql \li720\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin720\itap0\pararsid1801977 {\i\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 We acknowledge that the sum of $28,560.00 has been paid for unpaid hours. \par }\pard \ql \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid1801977 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 \par }\pard \ql \li720\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin720\itap0\pararsid1801977 {\i\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 We are still in the process of calculating the category of "}{ \b\i\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid14884246 lost hours}{\i\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 ". \par }\pard \ql \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid1801977 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 \par }\pard \ql \li720\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin720\itap0\pararsid1801977 {\i\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 We have also had meetings in our office in regards to the unpaid amount of the damage to the machine of which you have verbally indicated that the sum of $17,500.00 as the amount of damage is acceptable to you. \par }\pard \ql \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid1801977 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 \par }\pard \ql \li720\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin720\itap0\pararsid1801977 {\i\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 In regards to the damage, the sum of $17,500.00 is hereby offered as the total sum for damage to the machine. \par }\pard \ql \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid1801977 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 \par }\pard \ql \li720\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin720\itap0\pararsid1801977 {\i\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 We await your response in the matter. \par }\pard \ql \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid1801977 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 \par }\pard \ql \li720\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin720\itap0\pararsid1801977 {\i\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 Yours faithfully, \par }\pard \ql \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid1801977 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 \par }\pard \ql \li720\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin720\itap0\pararsid1801977 {\i\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 Sgd: Suliana Tabaiwalu \par }{\b\i\f0\fs24\ul\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid14884246 PRINCIPAL LEGAL OFFICER" \par }\pard \ql \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid1801977 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977 \par (14) }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 Notably, the }{\b\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid14884246 Tabaiwalu-letter}{ \f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 was written a year before the Writ and statement of Claim were filed on }{\b\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid14884246 30th September 200}{ \f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 5. I also note that Ms. Tabaiwalu\rquote s letter was not headed }{\b\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid14884246 "Without Prejudice".}{ \f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 \par \par }{\b\f0\fs24\ul\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid14884246 ORDERS SOUGHT BY VIJAYANTIMALA \par }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 \par }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977 (15) }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 She requests that the sum of $8,750.00 (Eight Thousand Seven Hundred Fifty Dollars) held in the Trust Account of Mishra Prakash & Associates be paid out of the Trust Account of Mishra Prakash & Associates as directed by the Plaintiff or its Director Ms Vijayantimala. \par \par }{\b\f0\fs24\ul\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid14355991 AFFIDAVIT IN OPPOSITION & SUBMISSIONS \par }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 \par }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977 (16) }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 The Affidavit and submissions in opposition filed by the Office of the Attorney-General in Lautoka raise various points. The gist of their submission is that there is no justification for the payment of the $8,500.00 because the matter is at pre-trial stages only. \par \par }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977 (17) }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 They also argue that "there was no deed of settlement" and that "as a matter of procedure to safeguard government finances" written approval from the Ministry of Finance through its Permanent Secretar y must be obtained first before any settlement can be entertained. In this case, there was no such approval. \par \par }{\b\f0\fs24\ul\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid14355991 THE REPLY \par }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 \par }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977 (18) }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 The Affidavit in Reply of Vijayantimala sworn on 10th November 2009 deposes inter-alia as follows: \par \par }\pard \ql \li720\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin720\itap0\pararsid1801977 {\i\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 "My legal advice is that }{ \b\i\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid14355991 gover nment executive procedures and are not able to over rule the legal principles regarding settlement. If the rule of law to be maintained and the Government Departments must comply with the rule of law. There was a settlement here as is disclosed in the Def endant\rquote s own documents}{\i\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 . They did not disclose this. They are also not consenting to their own documents going in as agreed documents. Annexed hereto and marked with the letter }{\b\i\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid14355991 "A"}{ \i\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 is a copy of their letter asking that their own documents be removed from the agreed list. \par }\pard \ql \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid1801977 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 \par }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977 (19) }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 She appears to be of the view that the defendants\rquote counsel ought not to dictate to Court when a settlement is binding or when a Deed of Settlement is needed. \par \par }{\b\f0\fs24\ul\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid14355991 COMMENTS \par }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 \par }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977 (20) }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 Clearly, the default judgement entered against the defendants was irregular in the first place. CCL\rquote s lawyers had even conceded to that judging from the tone of their application dated }{\b\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid14355991 3rd September}{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 (see }{ \b\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid14355991 paragraph 7}{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 above). \par \par }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977 (21) }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 Now returning to the question: should I grant the Orders sought in this application - i. e. to order that the sum of $8,500 held in Mishra Prakash\rquote s trust Account be released forthwith? \par \par }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977 (22) }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 My short-answer to the above is "No". I cannot grant such an Order for the following reasons. \par \par }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977 (23) }{\b\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid14355991 Firstly}{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 , the application is made pursuant to }{\b\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid14355991 Order 29 Rules 1, 2}{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 and }{ \b\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid14355991 9.}{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 Rule 1 deals with injunctions. I do not see how it is relevant at all in the application. Rule 2 deals with the detention, preservation of the subject matter of cause or matter. Again, I do not see the relevance of any of the rub -rules under Order 29 Rule 2. \par \par }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977 (24) }{\b\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid14355991 Order 29 Rule 9}{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 deals with }{ \b\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid14355991 interim payments}{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 on account of any damages, debt or other sum (excluding costs) which the defendant may be held liable to pay to or for the benefit of the plaintiff. I cannot grant the order sought under }{ \b\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid14355991 Order 29 Rule 9}{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 as it would pre-suppose that Master Udit had made a finding that the defendants had acceded to liability on that amount. Clearly \endash this was not the case! Nor had Master Udit conceded that the defendants had settled on any amount. \par \par }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977 (25) }{\b\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid14355991 Secondly}{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 , the defendants have filed a defence raising some triable issues about the amount being claimed. \par \par }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977 (26) }{\b\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid14355991 Thirdly}{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 , in essence, in seeking payment of the sum of $8,500-00 out of Mishra Prakash\rquote s trust account to the CCL, the plaintiff essenti ally relies on what it argues is a concession in the Tabaiwalu letter. But the Tabaiwalu letter cannot be the basis to order the payment of $8,500 to CCL for two reasons (i) that letter was a without prejudice offer (ii) using it as a basis for granting t he order sought would be tantamount to making a summary judgement to the same amount under Order 14 \endash which cannot be made against the State as per Order 14 Rule 12. \par }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid4064045 \par }{\b\f0\fs24\ul\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid14355991 WITHOUT PREJUDICE OFFER \par }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 \par }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977 (27) }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 The }{\b\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid14355991 Tabaiwalu letter}{ \f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 , in my view, was a }{\b\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid14355991 without prejudice offer from}{ \f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 the defendants. It was made a year before the Writ was even issued. Even though the letter did not contain such a heading, I say it was without prejudice nonetheless because it was essentially an attempt at settlement. \par \par }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977 (28) }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 As a rule, negotiations with a view to settlement are conducted on a }{ \b\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid14355991 without prejudice}{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 basis. \par \par }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977 (29) }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 Because of that, parties who negotiate settlement are rest assured that nothing they say or do in the course of negotiations will be admissible in evidence should the matter com e to trial - unless parties consent. The underlying principle is that parties will negotiate freely if they know that they can do so without the risk of damaging the presentation of their case. Otherwise, they simply shy away from negotiations. \par \par }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977 (30) }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 The fact that a party had made or replied to, or indeed ignored a }{ \b\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid14355991 "without prejudice"}{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 offer or compromise, cannot be used as an admission prejudicial to his or her case. Again, the protection applies only to negotiations made in an attempt to settle a dispute. \par \par }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977 (31) }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 Hence, a letter written with settlement in mind \endash even if it omits the words }{ \b\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid14355991 "without prejudice"}{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 \endash is without prejudice nonetheless (see }{ \b\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid14355991 John O\rquote Hare & Robert N Hill: }{\b\f0\fs24\ul\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid14355991 CIVIL LITIGATION}{ \b\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid14355991 \endash 5th Edition, 1990 pp 36-37)}{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 and cannot be adduced in evidence. \par \par }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977 (32) }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 In this case, the }{\b\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid14355991 Tabaiwalu letter}{ \f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 was clearly a without prejudice offer to settle the case. The act of adducing that letter to Vijayantimala\rquote s affidavit was grossly unethical in my view. I say that because its effect \endash intended or not \endash is to curtail and undermine the defendants case. And even pleading it in paragraphs 15 and 16 (see paragraph 3 above) was totally inappropriate and uncalled for. \par \par }{\b\f0\fs24\ul\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid14355991 ORDER 14 \endash SUMMARY JUDGMENT \par }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 \par }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977 (33) }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 Finally \endash I cannot grant the Orders sought by the Plaintiff because it w ould be akin to entering a summary judgement against the State to the amount sought. That would offend }{\b\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid14355991 Order 14 Rule 12}{ \f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 of the }{\b\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid14355991 High Court Rules:}{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 \par \par }\pard \ql \li720\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin720\itap0\pararsid1801977 {\b\i\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 "No summary judgement against the State (O. 14 r. 12) \par }\pard \ql \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid1801977 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 \par }\pard \ql \li720\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin720\itap0\pararsid1801977 {\b\i\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 Nothing in the foregoing provisions of this Order shall apply or be construed in derogation of, or in any way affect, the provisions contained in Order 77 in so far as they apply in relation to proceedings against the State" \par }\pard \ql \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid1801977 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid4064045 \par }{\b\f0\fs24\ul\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid14355991 CONCLUSION \par }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 \par }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977 (34) }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 I refuse to g rant the orders sought. Had I done so, I would just be allowing the Plaintiff to commit yet another breach of }{\b\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid14355991 Order 77 of the High Court Rules}{ \f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 . I dismiss the application. }{\b\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid14355991 Nor order as to costs. \par }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 \par }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977 (35) }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 This case is adjourned to }{\b\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid14355991 Friday 26th February 2010}{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 for mention. \par \par }\pard \qc \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid1801977 {\b\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 Anare Tuilevuka \par Master \par }\pard \ql \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid1801977 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid1801977 \par }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1801977\charrsid14811316 At Lautoka. \par 19th February 2009.}{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1972231\charrsid14811316 \par }}