Workplace disputes are nothing new, but when they spill into the courts, they can have far-reaching consequences. The recent Federal Court decision in Purvinas v Wyse [2024] FCA 1122 serves as a cautionary tale about union governance, legal strategy, and the financial risks of unmeritorious litigation.
Stephen Purvinas, the Federal Secretary of the Australian Licensed Aircraft Engineers Association (ALAEA), clashed with the union’s Federal Executive over who really called the shots at work. The Executive accused him of making big decisions without their approval. In response, they passed a no-confidence motion in February 2024, stripping him of his ability to represent the union without their say-so.
Unhappy with the decision, Purvinas took the fight to court, arguing that the motion was invalid and against the union’s rules. But instead of a legal victory, he walked away with a hefty indemnity costs order, meaning he now has to pay a significant chunk of the other side’s legal fees.
Why Did the Court Rule Against Purvinas?
To put it simply, his case didn’t hold up. The court found that his lawsuit was more about putting pressure on the Executive than about fixing a genuine legal issue.
When reviewing Purvinas’s actions before, during, and after the court case, it was found that:
- Before the lawsuit, he made exaggerated claims that the Executive’s motion would stop union staff from doing their jobs.
- During the lawsuit, he incorrectly argued that the Executive’s decision was unlawful and prevented him from delegating tasks—even though the rules didn’t support this claim.
- After withdrawing the case, it was clear he had used legal action as a power move against the Executive, rather than as a way to resolve an actual dispute.
Another key issue? His credibility as a witness. When questioned in court, Purvinas relied heavily on documents instead of simply explaining things in his own words. The judge wasn’t convinced and only accepted his evidence when backed up by independent documents. On the other hand, the Executive’s witnesses, including their President Rodney Wyse, came across as far more reliable.
Ultimately, Justice Raper decided that Purvinas brought the case for the wrong reasons—and that meant he had to pay up.
The Costly Fallout
Most of the time in workplace disputes, both sides cover their own legal costs, no matter who wins. But there’s an exception: if the court finds that a lawsuit was brought without a solid reason or for an ulterior motive, it can order the losing party to cover the other side’s costs. That’s exactly what happened here.
Justice Raper ruled that Purvinas’s legal action was vexatious (basically, a waste of the court’s time) and ordered indemnity costs against him. This means he won’t just pay standard legal costs, he’ll likely be covering a much bigger portion of the Executive’s legal fees.
Interesting Bits to Note
- Be careful with legal threats! Purvinas spent months threatening legal action before finally going through with it. The judge saw this as a tactic to pressure the Executive rather than a genuine case.
- Courts don’t like power plays disguised as lawsuits. This case was less about legal rights and more about internal politics within the union.
- Workplace law doesn’t usually work this way. It’s rare for workplace disputes to end with a costs order, and even rarer for someone to get hit with indemnity costs. This case is a reminder that if you take a weak case to court, it can seriously backfire.
A Union Drama with a Price Tag
At its core, this case wasn’t just about legal technicalities, it was about power, control, and the dangers of taking the wrong fight to court. Purvinas thought he was standing his ground, but instead, he found himself stuck with a big legal bill and a reputation for bringing an unconvincing case.
For union officials, employees, and workplace lawyers, the message is clear:
- Stick to the rules when running an organisation.
- Think twice before rushing to court over internal disputes.
- If your case isn’t strong, it might cost you more than you expect.
At WWLegal, we are a new breed of workplace lawyers who streamline the complexities of Australian employment law to significantly benefit both individuals and businesses. Our team provides expert legal representation tailored to your unique situation, ensuring knowledgeable support that aligns with your needs.
If you’re facing employment law challenges or need expert advice, WWLegal is ready to help. Contact us today to schedule a consultation and discover how we can assist you in navigating employment law with confidence and expertise.
0 Comments Leave a comment
Comments are closed.