In DCZ Early Learning Pty Ltd v Semper Mortgage Management Pty Ltd [2024] QSC 140, the Supreme Court of Queensland considered a dispute wherein DCZ Early Learning (the applicants) brought an application against Semper Mortgage Management (the respondent), which was dismissed. The proceedings involved costs related to unmet demands under a loan agreement and the enforcement of caveats. Ultimately, the court ordered the applicants to pay $150,260 for Semper's counterclaim and $7,255 in interest. Additionally, DCZ was ordered to pay the respondent's costs on a standard basis, excluding the costs related to the indemnity costs argument, and the respondent was granted full indemnity for the costs incurred in the separate proceeding they were compelled to commence due to DCZ's actions. The court clarified that Semper's initial demand letter did not constitute a genuine offer of compromise, thereby rejecting indemnity costs based on an imprudent refusal of an offer to compromise.
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