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Supreme Court of Vanuatu |
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IN THE SUPREME COURT OF
THE REPUBLIC OF
VANUATU
(Civil Jurisdiction)
CIVIL CASE No.98 OF
1999
IN THE MATTER OF:
The Legal Practitioners Act 1980 (CAP 119) as
amended
AND IN THE MATTER OF: An
application by MARK JAMES HURLEY
of
Port Vila, Efate in the Republic of Vanuatu
for application for an
Unconditional Practicing Certificate
BETWEEN:
MARK JAMES HURLEY
Applicant
AND:
LAW COUNCIL OF THE REPUBLIC OF VANUATU
Respondent
Coram: Mr. Justice John W. von Doussa
Counsel: Mr.
P. T. Finnigan and Mr. J. C. Malcolm for the applicant
Mr. J. I. Kilu for the
Respondent
JUDGMENT
This is an application brought by leave granted under
Order 61 Rule 2 of the High Court (Civil Procedure) Rules 1964 for an Order
of
Certiorari to quash the decision of the respondent not to grant the applicant
unconditional registration as a Barrister and Solicitor
under the Legal
Practitioners (Qualifications) Regulations made under the Legal Practitioners
Act [CAP. 119].
BACKGROUNDS FACTS
The background facts are common ground. The applicant was
admitted as a Barrister and Solicitor of the High Court of Australia in
1989,
and practiced in a number of overseas jurisdictions thereafter. On
23rd January 1997 he applied for
conditional registration as a barrister and solicitor in the Republic of
Vanuatu. On 21st February 1997 the
respondent granted him conditional registration subject to two (2)
conditions.
“(i) whilst Mr. Hurley is being employed under the present employment contract, he must during his term of employment undertake the training of Ni-Vanuatu lawyers including Mr. Saling Stephens and the additional Ni-Vanuatu lawyers which Mr. Vasaris intends to employ; and
(ii) that at the completion of his present contract, he must leave Vanuatu and not be employed elsewhere.”
The
second of the conditions was amended by the respondent on
25th February 1997. The amendment
said that as the applicant had a two year employment contract, he must leave
Vanuatu at the end of that
period.
The applicant commenced practice as a
barrister and solicitor in the Republic of Vanuatu on or about
7th of March 1997 as an employee of
George Vasaris & Co. The principal of that firm is an unconditionally
registered barrister and
solicitor.
On
10th September 1998 the applicant
made application to the respondent for unconditional registration as a barrister
and solicitor.
On 14th
November 1998 the respondent resolved to refuse the applicant unconditional
registration. In a letter from the respondent advising
the applicant of its
decision the respondent said:-
“1. .........
2. .........
3. The Council in issuing Mr. Hurley with the conditional Certificate of Registered Legal Practitioner dated 7th January, 1997 had done so in the exercise of its discretionary powers under the Legal Practitioner’s Act [CAP. 119]. The conditions for the issue of such a Certificate are part of the law.
4. The conditions clearly stipulate that whilst Mr. Hurley is being employed under the present employment contract, he will undertake the training of Mr. Saling Stephens and any other Ni-Vanuatu lawyers employed by your firm, and that at the completion of his present contract, he must leave Vanuatu and not be employed elsewhere.”
On
1st December 1998, following
representations from the applicant, the respondent agreed to reconsider its
decision. To that end the respondent
said it would allow the applicant, his
counsel and Mr. Vasaris to make submissions.
Thereafter many meetings of
the respondent were called to reconsider the matter. However some of those
meetings had to be adjourned
because of the unavailability of one or more of the
members of the respondent, or of other people who were to be involved in the
meetings.
During this time the respondent said that it wishes to receive
evidence from Mr. Saling Stephens. Counsel for the applicant requested
that he
and the applicant be present to hear the evidence, and to ask question of Mr.
Saling Stephens. On 9th December
1998 the respondent invited the applicant, his counsel, and Mr. Vasaris to be
present during an interview with Mr. Saling
Stephens. However Mr. Saling
Stephens did not attend the meeting. Thereafter meetings of the Law Council were
successively rescheduled
for 10th,
16th,
17th and
19th December 1998, but on no
occasion did Mr. Saling Stephens attend.
On
14th December 1998 the applicant
provided to the respondent an affidavit giving particulars of the training that
he had given to Mr. Saling
Stephens, and on
16th December 1998 filed an
affidavit by Ms. Karen Bani annexing a transcript of a public statement made by
Mr. Saling Stephens referring
to valuable training and knowledge obtained by him
from George Vasaris & Co.
On
9th February 1999 the respondent
scheduled another meeting, but that did not occur because the applicant,
concerned at the delay, commenced
proceedings in the Supreme Court seeking leave
to apply for orders of certiorari and mandamus directed to the respondent.
On 4th March 1999 there was
a meeting as the respondent at which it resolved not to deal further with the
review of its earlier decision
as the matter was now before the Court.
On 7th March 1999 Marum J.,
refused to grant leave. He refused leave in the case of the application for
certiorari as the Law Council had
agreed to review its decision of
14th November 1998, and that
decision could no longer be considered a final one. He refused leave in respect
of the application for mandamus
on the ground that it was unnecessary as the Law
Council was in the process of considering the matter.
The applicant
appealed from Marum J.’s decision. The respondent considered that it
should not consider the matter further until
the appeal was heard as the matter
was sub judice.
On
21st April 1999 the Court of Appeal
heard the matter and said that it could find that no basis for the Law
Council’s view that the
matter was sub
judice. The Court of Appeal considered that the matter should take its
course before the respondent, and that until the respondent made
a decision
there was nothing properly to be considered by the Court of Appeal. The appeal
was adjourned to a date to be fixed. The
Court of Appeal noted that the review
has been proceeding for many months and said it was time it was
completed.
The respondent again encountered difficulties in rescheduling
a meeting to suit its members. On
13th July 1997 the respondent, by
letter from its secretary, advised the applicant as follows:-
“1. As you have been informed, the Law Council met yesterday.
2. The Council will be looking at Mr. Hurley’s application at a meeting which has been scheduled to take place next week on Monday 19th July, 1999 at 5 p.m. at the Court House.
3. Mr. Saling Stephens has been asked to attend that meeting.
4. The Council however has decided that it is not inviting your attendance at that meeting as yourself, Mr. Vasaris and Hurley have already been given the opportunity to make extensive oral as well as written submissions on behalf of Mr. Hurley. The Council is therefore not expecting your attendance at the 19th July, 1999 meeting.”
On
16th July 1999, the secretary
advised the applicant that the meeting was no longer possible and had to be
rescheduled.
On 19th July
1999, the applicant by letter from his counsel again sought the opportunity to
be present when Mr. Saling Stephens gave evidence
Counsel sought the opportunity
to question him and be given the opportunity to make submissions on his
evidence. No response was
received to that letter.
On
31st August 1999 the applicant was
advised by the respondent that on
24th August 1999 it had affirmed
its decision of 14th November 1998
to refuse unconditional registration. The respondent gave reasons for that
decision which can be summarised as follows.
The two conditions had been imposed
on Mr. Hurley’s conditional registration pursuant to the
respondent’s discretionary
power under Section 1K (3) of the Act. As the
conditions were included pursuant to that section, the conditions form part of
the
law applicable to the applicant’s registration as a legal
practitioner, and as such he was required to comply with those conditions.
The
Law Council by virtue of Section 1K (2) had a discretionary power to refuse to
register any person notwithstanding that he may
have the qualifications required
under Section 1L of the Act and the Legal Practitioners (Qualifications)
Regulations, including
Regulation 4 (3). The reasons continued:-
“The Law Council having heard counsel on behalf of the applicant and read and considered material information in support of the review application, and having also heard Mr. Saling Stephens, the Council find and is satisfied that condition No. 1 imposed on the applicant practicing certificate, in relation to training of Saling Stephens and other Ni-Vanuatu lawyers with the law firm of George Vasaris & Co., has not been complied with by the applicant and as such constitute a fundamental breach by the applicant of that condition”
The respondent considered that its discretionary powers under sub-sections s. 1K (2) and (3) overrode the provisions of regulation 4 (3), and as the respondent was satisfied that the applicant had failed to fulfil one of the conditions of his conditional registration, unconditional registration was refused.
GROUNDS OF
CHALLENGE
The applicant contends that the two conditions attached
to his conditional registration are invalid as they are beyond the power of
the
Law Council under the Act and regulations to impose. The decision to refuse
unconditional registration is therefore invalid and
should be set aside on the
ground that irrelevant considerations were taken into account, namely the
conditions and whether they
were fulfilled. Alternatively, the decision was
based on a misinterpretation of the Act and regulations. In the further
alternative,
if the conditions were within power, the applicant contend that the
decision should nevertheless be set aside as he was denied natural
justice in
not being made aware of the evidence given by Mr. Saling Stephens, and being
given an opportunity to be heard about that
evidence.
Counsel for the
respondent on the other hand contends that the decisions of the respondent are
valid and should not be set aside.
Counsel contends that s. 1K (2) gives the
respondent an unfettered discretion to impose such conditions as it sees fit on
a certificate
of registration, and s. 1K (2) gives the respondent an unfettered
discretion to refuse registration on any grounds that it sees fit
notwithstanding that the applicant may have the qualifications specified s. 1L
of the Act. Further, counsel seeks to refute the allegation
of a denial of
natural justice on the ground that s. 6 (4) of the Act provides:-
“subject to this Act the Law Council
may regulate its own
procedures.”
THE
LAW
The long title of the Act describes it as legislation
“To provide for the admission and
registration of legal practitioners, their qualifications, discipline and other
matters connected
therewith”.
Part IA of the Act deals with
admission. Section 1A empowers the Chief Justice to admit to practice as a
Barrister and Solicitor any
person duly qualified for admission under the Act.
Section 1B provides that a person who hold a valid certificate of
registration shall be qualified for admission. Section 1D requires
that every
person admitted to practice shall cause his name to be enrolled in the role of
Barristers and Solicitors. Section 1E provides
for the Registrar of the Court to
issue a practicing to a person who has met the foregoing requirements.
Part IB, which deals with the registration of Legal Practitioners, was inserted by amendments to the Act made by the Legal Practitioners Regulations (Amendment) Act No. 39 of 1989, and uses the expression “Regulations” to refer to the Act. In the following Sections, the word “Regulation” should be understood in that sense. Sections 1J, 1K and 1L provide as follows:
“1J. (1) Any person who is qualified to be registered as a legal practitioner under this Regulation, may apply for and obtain a certificate of a Registered Legal Practitioner from the Law Council.
(2) Application under subsection (1) shall be made in the form and manner prescribed by the Law Council.
1K. (1) Subject to the provisions of this Regulation, upon an application made by any person under Section 1J, and a payment of the prescribed fee the Law Council shall –
(a) cause the name and the relevant particulars contained in such application to be entered in the register in the prescribed form kept for that purpose; and
(b) issue in respect of that person a Certificate of a Registered Legal Practitioner.
(2) The Law Council may, in its discretion, refuse to register any person as a legal practitioner, notwithstanding that he may have the qualifications specified under section 1L.
(3) The Certificate of a Registered Legal Practitioner may be issued subject to such conditions, as the Law Council may see fit to impose.
(4) Subject to the provisions of this Act no Certificate of a Registered Legal Practitioner shall be issued to any person under subsection (1), unless he is a resident of Vanuatu, in terms of the provisions of the laws of Vanuatu relating to immigration.
1L. Subject to the provisions of this Act, any person shall be qualified to be registered as a legal practitioner who fulfils the qualification, specified by the Law Council by order made under Section 15 of this Regulation.”
Part II
of the Act establishes the Law Council. The Law Council consist of the Chief
Justice who shall be chairman, the Attorney General,
and one legal practitioner
appointed by the Minister responsible for Justice, and there shall be a
secretary to the Law Council.
Section 5 prescribes the functions of the Law
Council, and read as follow:-
“5. (1) The Law Council shall have general responsibility for the control and supervision of legal practitioners.
(2) Without derogation from the generality of subsection (1) the Law Council shall –
(a) prescribe the qualifications for legal practitioners;
(b) keep a Register of Legal Practitioners;
(c) be responsible generally for the discipline of legal practitioners;
(d) be responsible for the etiquette and conduct of legal practitioners;
(e) provide for the legal education and training of legal practitioners;
(f) control the registration of notaries public.”
Section
6 deals with procedural manners to be followed by the Law Council, and includes
S. 6(4) earlier referred to.
Part III of the Act makes provision for the Law Council to
appoint a Disciplinary Committee to hear complaints against Barristers
and
Solicitors and Employees.
Part IV makes it an offence for a person, not
being a legal practitioner, to hold himself out to be entitled to practice, or
to practice
as a legal practitioner in Vanuatu. Substantial penalties are
prescribed for the offence.
Part V provides for the making of Regulations Section 15 reads: -
“15. (1) The Law Council may make rules and regulations not inconsistent with the provisions of this Act and for the better carrying out of its provisions.
(2) Without derogating from the generality of subsection (1), regulations made pursuant to this section may provide for-
(a) the qualifications required for applicants for registration as legal practitioners;
(b) the name by which legal practitioners shall be called;
(c) the postgraduate training of persons desiring to become legal practitioners;
(d) forms and fees that persons making application pursuant to this Act or order made hereunder may be required to complete and pay;
The Legal Practitioners (Qualifications) Regulations 1996 were made pursuant to Section 15. The Regulations relevant to this matter are regulations 2 and 4 which read–
“CONDITIONAL REGISTRATION
2. No person shall be qualified to be registered as a legal practitioner unless he or she –
(a) holds a law degree or similar qualification from a University or such other appropriate institution recognised by the Law Council; and
(b) (i) is a Ni-Vanuatu citizen who is admitted as a barrister and/or solicitor in a Commonwealth jurisdiction; or
(ii) not being a Ni-Vanuatu citizen admitted in a Commonwealth jurisdiction, has at least two years post graduate supervised practical legal experience acceptable to the Law Council;
(c) is resident in Vanuatu.
UNCONDITIONAL REGISTRATION
4. (1) Any registered legal practitioner shall be entitled to apply for unconditional registration:-
(a) on completion of one year of continuous supervised practical legal experience in Vanuatu provided that he or she has not less than two years continuous practical legal experience; or
(b) who is a Ni-Vanuatu citizen who has already undergone 2 years post graduate supervised practical legal experience acceptable to the Law Council.
(2) Such application shall be accompanied by a certificate of fitness in the form in Schedule 1 signed by his supervisor.
(3) The Law Council shall, on receiving an application for unconditional registration, grant the application unless it is satisfied that –
(a) the practitioner has not received appropriate supervision; or
(b) the practitioner is not a fit and proper person to be granted unconditional admission.
(4) If an application for unconditional admission is refused, the Law Council may, in its discretion, impose other or further conditions, including the undergoing of legal training and/or examination, precedent to the practitioner re-applying.
(5) The Law Council may, if it considers it in the interests of Vanuatu so to do, waive the requirement of one year continuous supervised practical legal experience in Vanuatu in individual cases and may, in those circumstances, substitute a requirement for the practitioner to undergo legal training and/or examination in aspects of Vanuatu Law approved by the Law Council.
DISCUSSION
Whilst
a sub-section 1K (2) and (3) by their terms vest the Law Council with a
discretion which is unlimited, the breadth of such
a discretion must be
interpreted so as to fulfil the purpose and policy of the Act, and must be
understood as limited accordingly.
In the leading case of
Padfield –v- Minister of Agriculture,
Fisheries and Food and others [1968] AC 997 Lord Reid at 1030 said in
relation to a discretion which provided “if the Minister ...
directs”
“...Parliament must have conferred the discretion with the intention that is should be used to promote the policy and objects of the Act; the policy and objects of the Act must be determined by construing the Act as a whole and construction is always a matter of law for the court. In a matter of this kind it is not possible to draw a hard and fast line, but if the Minister, by reason of his having misconstrued the Act or for any other reasons, so uses his discretion as to thwart or run counter to the policy and objects of the Act, then our law would be very defective if persons aggrieved were not entitled to the protection of the court. So it is necessary first to construe the Act.”
Barristers
and solicitors who have the right to pursue their profession for reward hold a
privilege position of trust in the community.
By legislation they are given a
monopoly to perform legal work (see part IV of the Act). The object and purpose
of requiring and
prescribing qualifications (see Section 1L) and of requiring
the formal registration and admission of people as barristers and solicitors
is
to ensure that only people suitable to be entrusted with that privilege by
reason of their character and skills act as barristers
and solicitors. The
provisions in Section 5 and Part III relating to educate, control, and
discipline have the same purpose.
This general purpose has been
eloquently stated in relation to similar legislation in Australia. In
Ex
Parte
Meagher
(1919) 19 SR (NSW) 433 Gordon J. at 442 said:
“...By s. 10 of the Charter of Justice, this Court is only entitled to admit to practice as solicitors men who are “fit and proper persons”. By the words “fit and proper persons” it meant persons who have been proved to the satisfaction of the Court not only to be possessed of the requisite knowledge of law, but above all to be possessed of a moral integrity and rectitude of character, so that they may safely be accredited by the Court to the public as fit, without further inquiry to be entrusted by that public with their most intimate and confidential affairs without fear that the trust will be abused.”
More
recently in
Wenthworth v. New
South Wales Bar or NSW Bar Associations
Deane, Dawson, Toohey and Gaudron JJ at 251 said:
“In any event, the right to practice in the courts is such that, on an application for admission, the court concerned must ensure, so far as possible, that the public is protected from those who are not properly qualified and, to use the language of s. 4 (2) of the Act, from those who are not “suitable ... for admission”.”
The
discretions given to the respondent in sub-section 1K (2) and (3) must be
exercised consistently with those objects and the purpose
of the Act, and not
for extraneous or irrelevant purposes. Moreover as the discretions from part of
s. 1K, they must be exercised
for a purpose related to the subject matter of s.
1K.
Discretion of the kind given
to the respondent are common in regulatory legislation as it is impossible to
foresee every eventuality
with which of a controlling body may have to deal. In
the present case, the most obvious situation that may require the exercise
of
the discretion to refuse registration under s. 1K (2) would be where the
respondent was not satisfied that that person was a fit
and proper person to be
registered. To refuse registration in those circumstances would plainly be for
the purposes of the Act.
The
power in s. 1K (3) to attach conditions to registration is, in the context of s.
1K, a power to enable the imposition of conditions
designed and intended to
further the purpose of registration, that is to ensure the proper standard of
qualification is achieved,
being qualification both as to academic and practical
skills, and character. For example, a person seeking registration may have
a law
degree, the curriculum of which does not include tuition in the common law
tenure system of real property and the Torrens System
of land registration, or
in some other topic of law that is thought to be important in Vanuatu. The
respondent may in those circumstances
consider it appropriate to impose a
condition requiring a person to undertake study in a particular area of law
within a time frame
set by the condition.
In the present case, in 1997 the
Law Council did not explain how or why it thought either of the conditions
imposed on the applicant
could serve the purpose of better achieving an
appropriate level of qualification for registration in accordance with the
requirements
of Sections 1K and 1L. No such explanation has since been given,
and none was advanced by counsel for the respondent before me, even
though
counsel was pressed to do so.
I
am unable to find any reasonable and sensible relationship between the two
conditions which were imposed, and the purpose of better
achieving an
appropriate level of qualification for registration. Neither conditions is
directed to the legal skills, educational
qualifications, fitness to practice,
or character of the applicant.
The first condition which
requires the applicant to train others is not a condition directed to the
qualification of the applicant
himself. It is a very odd concept that someone
whose qualification is thought to be lacking to the extent that it is necessary
to
impose a condition on his registration (over and above the requirement of
local experience under appropriate supervision imposed
by Regulations 4 (1) (a)
and 4 (3) (a)) should at the same time be asked to train others to attain the
level of skill and confidence
required of them to seek unconditional
registration. In my view the training requirement was completely outside the
object and purpose
of Section 1K and 1L, and was beyond the power of the
respondent to impose.
The second
condition again bears no relationship to the qualifications for registration
envisaged by the Act. The scheme of the Act
is to permit conditional
registration as a step towards unconditional registration, which in turn is a
step towards long term admission
as a barrister and solicitor in the Republic of
Vanuatu. A condition which imposes a restraint upon the rights of a person who
has
registration to enjoy the rights which arise from registration is outside
the objects and purpose of the Act. It is no function of
the Law Council to
control employment levels within the community of Vanuatu. Such a power may lie
with the Executive under other
legislation, but even if that is the case, the
Law Council has no function or power to implement that legislation. In my
opinion
the second condition was also beyond power.
Counsel for the respondent
contends that the conditions were valid because they were suggested by the
applicant in the first place.
As a matter of fact, that is not correct. It
appears from the papers that Mr. George Vasaris, in making application for
conditional
registration on behalf of the applicant said, in passing, in his
correspondence, that if registration were granted, Mr. Hurley would
work in his
firm, by implication as an employee, and would
“also undertake
training of ni-Vanuatu lawyers”.
This is a statement of the intention of his employer as to the way in which the
services of the applicant would be used.
It cannot be construed as an offer by
Mr. Hurley to submit to a condition to a kind that was
imposed.
The papers also show that
the second condition was imposed by the respondent of its own motion. Mr.
Vasaris in his letter did not
indicate that Mr. Hurley would be employed on a 2
years contract, and the respondent’s correspondence indicates that it was
unaware of the details the employment of Mr. Hurley when the condition was
imposed.
Counsel for the
respondent further contends that the applicant should not now be allowed to
challenge the validity of the conditions
because they were imposed in January
1997, and that no complaint was made about them until late 1998. It is contended
that the applicant
is now out of time to proceed under Order 61 to obtain
judicial review of the decision to impose the conditions, and further, the
applicant is now estopped because no steps were sooner taken to challenge the
conditions. In my opinion these submissions are without
substance. If the
conditions were beyond power, and therefore invalid at the time they were
imposed, they remain invalid, and cannot
as a matter of law be given life
because the applicant did not sooner challenge them.
The decision to refuse
unconditional registration made
24th
August 1999, plainly rested upon the first condition. Indeed concessions that
have been made in the course of these proceedings indicate
that the decision was
based solely on alleged non-compliance with the condition. It has been conceded
that the applicant fulfils
the requirements of regulation 4 (3).
As the conditions are invalid, it
follows that in making the decisions of
14th
November 1988 and
24th
August 1999 the respondent took into account an irrelevant consideration, namely
treating as valid conditions that were invalid,
and proceeded on a mistaken view
of the law, namely that the respondent was empowered in the first instance to
impose the conditions.
I think that the decisions are also based on a further
error of law, namely the belief that the conditions themselves became part
of
the law which governed the entitlement of the applicant to be registered. Where
the statute permits conditions to be imposed on
the ground of a licence or
permit, the law may impose consequences for the non-compliance with those
conditions, but it does not
make the conditions part of the general law. The
notion that conditions constitute part of the law elevates the status of the
conditions
to that of subordinate legislation akin to the regulations made under
section 15.
In my opinion an
order of certiorari should issue to call up the decisions under challenge, and
to quash them.
If I am wrong in
this view of the case, I would nevertheless order that the decisions be quashed.
The operative decision is that made
on
24th
August 1999. Once the respondent agreed on
1st
December 1998 to reconsider the decision made on
14th
November 1998, that decision ceased to be operative, but was given new life by
the decision of
24th
August 1999 that affirmed it. When the decision on
24th
August 1999 was made, the applicant had not been made aware of the evidence
apparently given by Mr. Saling Stephens, nor was the
applicant given any
opportunity to comment upon that evidence. It is trite law that in a statutory
tribunal such as the respondent,
which has the function of regulating the right
of a person to pursue a trade or calling, that the person is entitled to know
the
case which is put against the grant of registration. This is the basic
requirement of the natural justice. The procedure followed
by the tribunal will
not be fair in all the circumstances if a decision is made against the person
without that person knowing the
material put against him.
In the present case, counsel for
the respondent argued that this requirement was met because the applicant and
his counsel were given
the opportunity to make oral and written submission in
support of the application for unconditional registration. That submission
misses the point. The submissions made by the applicant were made before Mr.
Saling Stephens gave information to the respondent about
his training to the
respondent. At no time was the applicant made aware of what information was
given by Mr. Saling Stephens or what
criticisms he offered about the training
which he had received whilst working the George Vasaris & Co. The applicant
therefore
was not made aware of what allegations required answer.
Before Mr. Saling Stephens gave
information to the respondent, the applicant and Mr. Vasaris had provided
information which gave details
of the training of Mr. Saling Stephens, and
supplied additional information from Ms. Karen Bani. That information suggested
compliance
with the first condition. At no stage was the applicant made aware
that any of the information that he had supplied was challenged
(if indeed that
was the case).
Counsel for the
respondent argues that the principles of natural justice cannot be invoked as
the respondent by Section 6 (4) of the
Act may regulate its own procedures. That
the provision is a common one which recognizes the common law position that a
tribunal
is entitled to regulate its own affairs in the absence of any statutory
direction to follow specific rules. That power may have been
wide enough to
authorize the respondent to receive information from Mr. Saling Stephens in the
absence of the applicant or his counsel,
and to deny a right to the applicant to
cross-examine Mr. Saling Stephens. It is not necessary to decide that point, and
it has not
been argued. Even if Section 6 (4) has that effect, it cannot
override the basic requirement of natural justice that, once the information
was
received by the respondent from Mr. Saling Stephens, the applicant be made aware
of it, if it was adverse to the case which he
had put forward in support of
unconditional registration.
Counsel for the applicant argued
that in the unusual circumstances of this case, the Court should also make a
declaration that the
applicant is entitled to be unconditionally registered. It
is argued that there has already been very considerable delay, and that
if the
matter is returned to the respondent to be dealt with according to law, the
inevitable result must be unconditional registration.
Attention is directed in
particular to regulation 4 (3) which provides that the respondent
“shall” grant the application
for unconditional registration unless
it is satisfied as to one or other in the matters in paragraph (a) or (b). The
concession has
been made in course of trial that the requirements of regulation
4 (3) are met by the applicant.
Certainly there is nothing in the
papers which would suggest any ground upon which the respondent could lawfully
refuse unconditional
registration in this case. However I decline to make the
declaration sought. The function of granting unconditional registration
is one
given by statute to the respondent. The members of the respondent comprise the
two chief law officers of the Republic, and
another respected practitioner.
There is no reason to doubt that they will conscientiously and properly perform
their legal functions
in accordance with law, as expressed by the Court. The
matter should be returned to them to be dealt with according to law.
The applicant also contended that
an order for mandamus should issue directing the respondent to make a decision
within a short time
frame. I also decline to make such an order. For the reasons
just given, the matter should be left to the respondent, to proceed
in the
ordinary course. Hopefully there will not be further delays, but if delay
unreasonably occurs, the law provides remedies that
can be exercised.
COSTS
Finally,
the applicant has made an application for costs against the respondent. Even
though the respondent performs a statutory function,
and has exercised that
function in good faith (although mistakenly) these considerations provided no
reasons for denying the applicant’s
costs. In judicial review proceedings
of this kind the ordinary rule applies, namely that the cost follow the event. I
note that
the counsel for the respondent has not argued against this
proposition. The arguments advanced by counsel for the respondent on the
question of costs concerned the manner of fixing those costs and their amount.
In my opinion the applicant is
entitled to an order for party and party costs.
When the question of costs was
argued, the Court was supplied with particulars of the costs sought. It was
urged that I, as the trial
judge, should fix the costs, partly because I have
some knowledge of how the trial was conducted and the issues involved, and
partly
because (so I was informed) the resident judges who would normally fulfil
the function of taxing costs are for one reason or another
either disqualified
or unable to undertake the task in this case. I think those are good and
sufficient reasons for me to fix a gross
sum for costs.
The Court has been supplied with particulars of the actual costs incurred by the applicant, including counsel fees payable to two New Zealand practitioners, namely Mr. Finingan and Professor Taggart. Mr. Finingan appeared for the applicant before me, having travelled to Vanuatu and obtained temporary admission for the purpose. His fees include travelling time and accommodation expenses. Professor Taggart gave an opinion to the applicant in January 1999.
The total amount claimed, including a disbursement to Mr.
Finingan of 1.335.152VT for his fees, is 3.622.002VT. The costs have been
calculated on a time basis at the rate of 20.000VT per hour in respect of the
work of legal practitioners in Vanuatu, and at the
rate of NZ$200 per hour in
the case of Mr. Finingan.
In respect of the actual costs incurred the
applicant seeks a “reasonable contribution”
see Holden v. Architectural Finishes
Ltd. [1977] 3 NZLR 143 at p. 146.
Mr. Kilu, representing the
respondent, contends that a reasonable contribution in all the circumstance
would be a 10 % of the amount
claimed, but he did not give reasons for asserting
that such a large discount should be applied. If the amounts claimed for costs
were amounts incurred in relation to these particular proceedings, a discount of
90% would not constitute a reasonable contribution.
In the present case,
however, upon analysis, the claim for costs includes substantial sums for other
proceedings apart from the present
application for an order for certiorari which
I have heard. The claim includes costs in respect of the first application for
leave
to issue certiorari and mandamus which was unsuccessful before Marum J.,
and also includes the costs incurred in respect of the proceedings
before the
Court of Appeal. In my opinion I have no jurisdiction to make costs orders that
relate to those proceedings.
In relation to the application before Marum
J., costs were reserved. That matter can be re-listed before Marum J. to argue
the question
of costs if the applicant so desires although is should be observed
that the application did not succeed.
The proceedings before the Court
of Appeal were withdrawn without there being any order for costs. I have no
jurisdiction to make
an order in respect of proceedings before the Court of
Appeal.
In my opinion costs on the present action should be awarded only
in respect of the period commencing on
25th August 1999 when the applicant
received news of the respondent’s decision on
24th August 1999.
I do not
think it is appropriate to include in the costs awarded in favour of the
applicant, the disbursements involved in obtaining
the services of overseas
counsel. There is a competent legal profession within Vanuatu. If a litigant
wishes to obtain the services
of a barrister from elsewhere, rather than utilize
the services of the Vanuatu profession, that is a matter of choice for the
litigant,
but the extra expense involved including travelling costs and time,
and accommodation, cannot be claimed as a component of party
and party costs
against an unsuccessful litigant.
I am prepared to assume, however, that
the work done by visiting counsel would otherwise have been carried out by local
practitioner,
and that work should be brought to account, at a rate appropriate
to Vanuatu when assessing party and party costs. However care must
be taken to
exclude ‘double counting’ where visiting counsel and local counsel
both cover the same ground in preparing
for trial.
Whilst the rate of
VT20.000 per hour is a common rate charged in Vanuatu by the private legal
profession in respect of corporate and
commercial clients, it is a rate which
significantly exceeds that which this Court is prepared to award for party and
party costs.
My inquiries within the Court suggest that a rate of about VT10.000
per hour is applied as a yardstick in assessing party and party
costs.
My analysis of the fees and disbursements in the accounts presented in
support of the claim suggests that about 80 hours work has
been carried out by
legal practitioners engaged by the applicant in respect of these proceedings
since 25th August 1999. However I
think there is a degree of ‘double counting’ arising from the use of
visiting counsel. In addition
there are significant disbursements in respect of
documents filed at Court including copy documents for use of the Court. These
documents
include a substantial book of documents incorrectly described as
“appeal book”. In fact the book was a compilation of
documents for
use at the trial.
The assessment of party and party costs must, of
necessity, involve matters of judgment and degree as to whether each of the
items
of work was strictly necessary, and whether the time spent reflects
reasonable efficiency, or a degree of pains taking care which
exceeds that which
the unsuccessful party should be required to compensate.
Understandably,
the applicant treated the issues in this case as of the utmost importance to
himself, and was anxious to leave no
stone unturned in his preparation of the
case for trial. But it must be recognised that every case is very important for
the parties
involved, and many of them are unable to meet the cost of
“Rolls Royce” representation. Those that are able to do so
if they
follow that course, cannot expect to recover the full cost if they win from the
other side.
The amount awarded of necessity can only be a broadly made
estimate. In my opinion the costs of this action to be paid by the respondent
should be fixed VT750.000 which amount includes all disbursements.
The
formal orders of the Court will be
1. Order of Certiorari granted quashing the decisions of the Law Council made on 14th November 1998 and 24th August 1999.
2. Application for declaration and order of mandamus refused.
3. Order that the matter he remitted to the Law Council to be dealt with according to law.
4. Order that the respondent pay the applicant’s costs of this application fixed at VT750.000.
Dated at Port Vila, this ........... day of October 1999.
BY THE COURT
J. W. von Doussa
JUDGE
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