Security for Costs

On 2 August 2017, the Industrial Court of Mauritius (Industrial Court) awarded a historic amount of MUR 100,000 [± USD 3,000] as security of costs. This decision is significant in three respects. Firstly, it highlights the readiness of the Industrial Court to adjust to the changed Mauritian employment landscape which now accommodates an increasing number of foreign employees at all levels of an enterprise and uphold their statutory employment rights or under Mauritius law generally. Secondly, against this landscape, this decision reflects a conscious effort by the Industrial Court to balance the equally important right of employers to be guarded against the risks of what may turn out to be non-meritorious employment claims. Finally, the amount awarded is the first of its kind as it is the first time that such an amount has been awarded by the Industrial Court.

Appleby appeared for ATSL and was represented by Sharmilla Bhima (Partner) and Dushyant Ramdhur (Partner).

MALLETIER L V V TEJOO A B 2017 SCJ 339

Security for Costs

On 23 October 2017, the Supreme Court of Mauritius (Supreme Court) reiterated two Mauritius law principles in relation to the question of security for costs. Firstly, security for costs was only triggered only when a foreigner was a claimant to a contentious matter, not a defendant in proceedings. Secondly, it had to be raised as a point of law (i.e. in limine litis). This therefore meant that, as a matter of procedure, it could not be raised after the completion of the exchange of pleadings. In the present matter, the Supreme Court set aside the application for security for costs that was raised in a counterclaim inasmuch as the foreign party was a defendant to the counterclaim action and the application for security for costs was lodged after the close of pleadings.

Type

Insight

Locations

Mauritius

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