Djuric v Toshali Marketing: Appeal Against Stay Order on Security for Costs

In Djuric and Others v Toshali Marketing Pte Ltd, the High Court of Singapore heard an appeal regarding a District Court's decision to stay proceedings until the plaintiffs, Djuric and Others, furnished security for costs. The High Court allowed the appeal, holding that a stay order cannot restrict the right to appeal against that very order. The court remitted the matter to the District Judge to hear the appeal on its merits.

1. Case Overview

1.1 Court

High Court

1.2 Outcome

Appeal allowed.

1.3 Case Type

Civil

1.4 Judgment Type

Grounds of Decision

1.5 Jurisdiction

Singapore

1.6 Description

Appeal regarding a stay order pending security for costs. The High Court held that the right to appeal cannot be restricted by the stay order itself.

1.7 Decision Date

2. Parties and Outcomes

Party NameRoleTypeOutcomeOutcome TypeCounsels
DjuricPlaintiff, AppellantOtherAppeal AllowedWon
Toshali Marketing Pte LtdDefendant, RespondentCorporationAppeal DismissedLost

3. Judges

Judge NameTitleDelivered Judgment
Kan Ting ChiuJudgeYes

4. Counsels

4. Facts

  1. The plaintiffs were to recruit members for the defendant, a timeshare and club membership company.
  2. The defendant was to pay the plaintiffs based on membership fees received through their efforts.
  3. The plaintiffs claimed the defendant failed to fulfill its obligations under the agreement.
  4. The defendant applied for the plaintiffs to provide security for costs because they are foreign nationals residing outside of Singapore with no assets in Singapore.
  5. A Deputy Registrar ordered the plaintiffs to provide S$20,000 as security for costs, with a stay of proceedings if not furnished.
  6. The plaintiffs appealed against the order without furnishing the security or obtaining a stay of the order.
  7. The District Judge dismissed the appeal, holding that it was stayed by the order of 21 September 1999.

5. Formal Citations

  1. Djuric, 5473/1997, DC Suit 5473/1997
  2. Djuric, 44, [2000] SGHC 44

6. Timeline

DateEvent
District Court action filed (DC Suit 5473/1997).
Deputy Registrar ordered plaintiffs to provide security for costs.
District Judge dismissed the appeal against the order for security for costs.
High Court allowed the appeal and remitted the matter to the District Judge.

7. Legal Issues

  1. Staying of proceedings pending security for costs
    • Outcome: The court held that the appeal against the stay order could proceed without the order itself being stayed.
    • Category: Procedural
  2. Right to appeal
    • Outcome: The court held that the aggrieved party has a right of appeal against the order, and the court does not have the right to restrict that right.
    • Category: Procedural

8. Remedies Sought

  1. Damages

9. Cause of Actions

  • Breach of Contract

10. Practice Areas

  • Commercial Litigation

11. Industries

  • Marketing

12. Cited Cases

Case NameCourtAffirmedCitationJurisdictionSignificance
Remm Construction (SA) Pty Ltd v Allco Newsteel Pty Ltd & OrsSupreme Court of South AustraliaYes[1992] 57 SASR 180South AustraliaCited for the principle that a plaintiff should be free to exercise its right of appeal against an order for security for costs without first complying with that order.
JH Billington Ltd v BillingtonN/AYes[1907] 2 KB 106N/ACited for the principle that an appellate court can impose conditions on an appeal, such as furnishing security or paying outstanding costs, before the appeal is heard.

13. Applicable Rules

Rule Name
O 55B Rules of Court
O 55C Rules of Court
O 56 Rules of Court
O 57 Rules of Court

14. Applicable Statutes

Statute NameJurisdiction
No applicable statutes

15. Key Terms and Keywords

15.1 Key Terms

  • Security for costs
  • Stay of proceedings
  • Right of appeal
  • Banker's guarantee
  • Nominal plaintiff
  • Interlocutory applications

15.2 Keywords

  • security for costs
  • stay order
  • appeal
  • civil procedure
  • Singapore High Court

17. Areas of Law

16. Subjects

  • Civil Procedure
  • Appeals
  • Security for Costs