Court Proceedings in Queensland

When a commercial dispute cannot be resolved through negotiation, mediation or other means, court proceedings may be the only way to protect your position. Whether you are bringing a claim or responding to one, understanding which court has jurisdiction, what the process involves, what it costs and how long it takes is essential to making informed decisions about how to proceed.

Astris Law conducts litigation in the Queensland Supreme Court, the District Court, the Magistrates Court, the Federal Court of Australia and QCAT. This page provides an overview of the court system, the litigation process and the practical considerations that should inform your approach.

Magistrates Court

The Magistrates Court has jurisdiction in civil matters where the amount in dispute is up to $150,000. It is the busiest court in Queensland and handles the largest volume of civil claims. Proceedings are commenced by filing a claim and statement of claim. The process is less formal than the higher courts, and matters typically move through the system more quickly.

District Court

The District Court has jurisdiction in civil matters where the amount in dispute is between $150,001 and $750,000. Proceedings are more formal than the Magistrates Court, with more extensive disclosure obligations and a more structured pre-trial process. The District Court also has jurisdiction over some matters regardless of amount, including claims under certain statutes.

Supreme Court

The Supreme Court of Queensland is the state's superior court. It has unlimited civil jurisdiction but in practice hears claims exceeding $750,000, as well as matters involving corporate insolvency, trusts, equity, judicial review, and applications for injunctions and other urgent relief. The Supreme Court also has inherent jurisdiction to hear any matter that falls within the jurisdiction of the lower courts.

Commercial disputes in the Supreme Court are typically managed through the commercial list, which provides a structured case management process designed to move matters to trial or resolution efficiently.

Federal Court of Australia

The Federal Court has jurisdiction over matters arising under Commonwealth legislation, including the Corporations Act 2001 (Cth), the Competition and Consumer Act 2010 (Cth) (including the Australian Consumer Law), intellectual property legislation and taxation disputes. It also has cross-vesting jurisdiction that allows it to hear certain state-based claims.

The Federal Court assigns a docket judge to each matter from filing, which means the same judge manages the case from commencement through to trial. This promotes consistency and efficiency in case management.

QCAT

The Queensland Civil and Administrative Tribunal is not a court but handles a significant volume of commercial disputes including building and construction disputes, retail shop lease disputes, minor civil disputes (up to $25,000), disciplinary proceedings, state revenue objections and anti-discrimination complaints. QCAT has different rules about legal representation: in most matters, you need leave from the tribunal for a lawyer to appear on your behalf.

While the precise procedures vary between courts, the general structure of commercial litigation in Queensland follows a common pattern.

Commencement. The plaintiff (or applicant) files a claim setting out the factual and legal basis for the claim and the relief sought. The defendant (or respondent) files a defence, and may file a counterclaim.

Disclosure. Each party is required to disclose documents that are relevant to the issues in dispute. This includes documents that support your case and documents that do not. Disclosure obligations are extensive in the higher courts and can be one of the most time-consuming and expensive parts of the process.

Evidence. Witness evidence in civil proceedings is typically given by affidavit or witness statement, filed in advance of the hearing. Expert evidence (such as valuation evidence, engineering evidence or accounting evidence) is given by expert report. Witnesses attend the hearing for cross-examination on their evidence.

Mediation. Most courts require or strongly encourage mediation before trial. Mediation is a confidential, without-prejudice process in which an independent mediator assists the parties to negotiate a settlement. A significant proportion of commercial disputes settle at or following mediation.

Trial. If the matter does not settle, it proceeds to trial. The judge hears the evidence, considers the submissions of the parties and delivers a judgment. In the Supreme Court and Federal Court, commercial trials are heard by a judge alone. In the District Court, there is a limited right to trial by jury.

Judgment and enforcement. The court delivers its judgment, which may include orders for the payment of damages, declarations of rights, injunctions, specific performance or other relief. If the unsuccessful party does not comply with the judgment, the successful party can enforce it through the court's enforcement mechanisms.

In Queensland courts, the general rule is that costs follow the event: the unsuccessful party is ordered to pay a proportion of the successful party's legal costs. This is different from QCAT, where each party generally bears their own costs.

Costs orders do not cover the full amount of your legal costs. Party-party costs (the amount recoverable from the other side) are assessed on a standard basis and typically cover 50 to 70 per cent of the amount actually incurred. Indemnity costs, which cover a higher proportion, may be awarded in certain circumstances, such as where a party has rejected a reasonable settlement offer.

Calderbank offers and offers to settle are tactical tools that can shift the costs position. If you make a reasonable offer to settle that is rejected, and you ultimately achieve a result at trial that is more favourable than your offer, the court may order the other party to pay your costs on an indemnity basis from the date of the offer.

The cost of commercial litigation varies widely depending on the complexity of the matter, the court, the volume of documents, the number of witnesses and whether the matter settles or proceeds to trial. It is important to obtain a realistic estimate of costs at the outset and to revisit that estimate as the matter progresses.

Many commercial disputes involve interlocutory applications before the matter reaches trial. These include applications for injunctions (to restrain a party from doing something or compel them to do something pending trial), security for costs (requiring the plaintiff to provide security for the defendant's costs in case the plaintiff is unsuccessful), summary judgment (where one party argues the other has no reasonable prospect of success), and applications to strike out pleadings that do not disclose a reasonable cause of action or defence.

Interlocutory applications can be significant turning points in litigation. An injunction obtained early can preserve the status quo and prevent irreparable harm. A successful summary judgment application can dispose of the entire case without the need for a trial.

Commercial litigation takes time. As a general guide, a straightforward matter in the Magistrates Court may take 6 to 12 months from commencement to trial. In the District Court, 12 to 18 months is common. In the Supreme Court and Federal Court, complex commercial matters may take 18 months to 3 years or more. These are indicative timeframes only and depend on the complexity of the matter, the court's list and the conduct of the parties.

Mediation, if successful, can resolve a matter in a fraction of the time. Early engagement with the dispute resolution process is almost always in the client's interest.