Usual Undertaking as to Damages Practice Note (GPN-UNDR)
General Practice Note
1.1 This practice note relates to any proceeding (or prospective proceeding) where the usual undertaking as to damages is given to the Court. It takes effect from the date it is issued and, to the extent practicable, applies to proceedings whether filed before, or after, the date of issuing.
2. Usual Undertaking as to Damages
2.1 Before the Court will grant an interlocutory injunction, the party seeking the order will almost always offer or be required to give to the Court the "usual undertaking as to damages" (set out below).
2.2 The "usual undertaking as to damages" if given to the Court in relation to any interlocutory order made by it or any interlocutory undertaking given to it, is an undertaking:
(a) to submit to such order (if any) as the Court may consider to be just for the payment of compensation, (to be assessed by the Court or as it may direct), to any person, (whether or not that person is a party), affected by the operation of the order or undertaking or any continuation (with or without variation) of the order or undertaking; and
(b) to pay the compensation referred to in (a) to the person affected by the operation of the order or undertaking.
3. Further Information
3.1 In addition to the form of the undertaking set out in paragraph 2.2 above, broader forms of undertaking are sometimes required, including in circumstances involving ex parte applications. See further the specific forms of undertaking set out in the:
(a) Schedule A of Annexure A of the Freezing Orders Practice Note (GPN-FRZG); and
(b) Schedule B of Annexure A of the Search Orders Practice Note (GPN-SRCH).
3.2 Parties and Practitioners should also take into consideration the Central Practice Note (CPN-1) and the relevant National Practice Area ("NPA") practice note that applies to the matter which the undertaking has been given.
3.3 Further information to assist litigants, including a range of helpful guides, is also available on the Court’s website. This information may be particularly helpful for litigants who are representing themselves.
J L B ALLSOP
25 October 2016