Increases in the Civil Jurisdiction of the District and Magistrates Courts

On 13 August 2010 the Civil and Criminal Jurisdiction Reform and Modernisation Amendment Act 2010 (‘the Amending Act’) received royal assent. The Amending Act affects increases to the civil monetary jurisdictions of the District and Magistrates Courts; the last increases occurred over 10 years ago. This article details those increases and other changes to jurisdictional power and civil procedure.

Where to start a proceeding

In the Supreme Court it is permissible to start a proceeding in any central registry of that court.1 More thought was required when it came to the District Court or Magistrates Courts. One had to take into account factors such as where the defendant resided or carried on business or where the cause of action arose.

The Amending Act amends, effective from 1 November 2010, the Uniform Civil Procedure Rules 1999 (‘the Rules’) to permit a plaintiff or applicant to start a proceeding in a central registry of the District Court and Magistrates Courts.2

Monetary and power jurisdiction

District Court: The monetary jurisdictional limit has been increased to $750,000 (previously $250,000).3 This increase extends to de facto property proceedings (Pt 19 Property Law Act 1974 (QLD)).4 The District Court’s expanded monetary jurisdiction applies to proceedings commenced on and after 1 November 2010.

A party cannot apply to remove, to the District Court, a proceeding pending in the Supreme Court which could now be brought in the District Court because of that Court’s increased monetary jurisdiction.5

Importantly, the District Court now has, for the purposes of exercising its jurisdiction, the same power to grant relief or a remedy as the Supreme Court (where the power is conferred on the Supreme Court by an Act) e.g. the power of the Supreme Court to remove a caveat.6

Magistrates Courts: The monetary jurisdictional limit has been increased to $150,000 (previously $50,000).7 This increase will extend to de facto property proceedings (Pt 19 Property Law Act 1974 (Qld)).8 The Magistrates Courts’ expanded monetary jurisdiction applies to proceedings commenced on and after 1 November 2010.9

A party cannot apply to remove, to a Magistrates Court, a proceeding pending in the District Court which could now be brought in the Magistrates Courts because of that Courts’ increased monetary jurisdiction.10

Judgment by Default

The Rules now provide, effective from 1 September 2010, that a Registrar, in considering whether to give default judgment in a claim for a debt or liquidation demand, or for recovery of possession of land, is not required to consider the merits of the plaintiff’s claim against the defendant.11

Civil trial by jury

In a District Court civil proceeding a party may elect trial by jury where the amount involved exceeds $150,000 (previously $10,000).12 This amendment applies to proceedings commenced on or after 1 November 2010.13

Appeals

District Court: A party may, as of right, appeal a final or interlocutory judgment14 of the District Court, made in its original jurisdiction, to the Court of Appeal if the judgment is for an amount of $150,000 or more or relates to a property claim where the property has a value of $150,000 or more.15 This amendment applies to appeals commenced on or after 1 November 2010.16

Magistrates Courts: A party may, as of right, appeal a judgment or order of a Magistrates Court to the District Court if the amount involved is more than $25,000.17 This amendment applies to appeals commenced on or after 1 November 2010.

Costs

In the Magistrates Courts there is a new scale of costs where the amount recovered by the plaintiff is over $50,000.18 The new scale applies to proceedings commenced on or after 1 November 2010. This scale is in the same format as exists in the Supreme and District Courts. Costs recoverable under the new scale are equivalent to about 80% of the amounts recoverable for items under the District Court scale. 

Body Corporate and Community Management Act 1997

The Amending Act amends certain provisions of the Body Corporate and Community Management Act 1997.19 One of the amendments enables a body corporate to sue an owner of a lot for recovery of a debt under the Body Corporate and Community Management Act 1997 by starting a proceeding in the Queensland Civil and Administrative Tribunal or a court of competent jurisdiction; there is no need to go through the dispute resolution process set out by the Act. Further, an adjudicator does not have jurisdiction to deal with a debt dispute. These amendments took effect on 1 September 2010.

Workers’ Compensation and Rehabilitation Act 2003

Most appeals now from the decisions of Q-COMP can only be made to the Queensland Industrial Relations Commission rather than to an Industrial Magistrate.20 This change applies to appeals commenced on or after 1 November 2010.

Anand Shah and Diana Awad

Footnotes

1. Rule 33 of the Uniform Civil Procedures Rule 1999. The proceeding could be transferred to another registry but that is a separate issue: see rule 49 and s. 289 Supreme Court Act 1995.

2. Sections 135 — 138 and 143 of the Amending Act. Despite this change, there is power in the District Court and Magistrates Courts to transfer the proceeding to another registry: Rules 40 and 45.
3. Section 49 of the Amending Act.
4. Sections 113(1) and 114 of the Amending Act.
5. Section 52 of the Amending Act.
6. Section 50 of the Amending Act.
7. Sections 98 and 100 of the Amending Act.
8. Sections 113(2) and 114 of the Amending Act.
9. Section 105 of the Amending Act.
10. Section 53 of the Amending Act.
11. Sections 139 and 140 of the Amending Act amending Rules 283 and 286.
12. Section 51 of the Amending Act amending section 75 District Court of Queensland Act 1967.
13. Section 55 of the Amending Act.
14. ‘Judgment’ includes a judgment, order, or other decision or determination of the court: section 3 District Court of Queensland Act 1967.
15. Section 54 of the Amending Act amending section 118(2) District Court of Queensland Act 1967.
16. Section 55 of the Amending Act.
17. Section 104 of the Amending Act.
18. Sections 141 and 142 of the Amending Act.
19. Part 3 of the Amending Act.
20. Part 22 of the Amending Act.