Document ID: chunk:federal_register_of_legislation:F2018C00409:clause:1_4:p2
Version: federal_register_of_legislation:F2018C00409
Segment Type: clause
Provision Reference: sch 1 cl 4 (pt 2/3)
Character Range: 11183–14014

and conducting litigation in accordance with legal principle and practice are:
(a) acting in the Commonwealth's financial interest to defend fully and firmly claims brought against the Commonwealth where a defence is properly available, subject to the desirability of settling claims wherever possible and appropriate, and
(b) generally enforcing costs orders in favour of the Commonwealth.
Note 2: In addition to the obligations arising under these Directions, section 11 of the Public Governance, Performance and Accountability Rule 2014 requires accountable authorities of non‑corporate Commonwealth entities to pursue the recovery of debts owing to the Commonwealth.

Handling monetary claims
4.4  Monetary claims by and against the Commonwealth or the entity (other than claims that are to be determined under a legislative or contractual mechanism) are to be handled in accordance with the Directions on Handling Monetary Claims, at Appendix C.

Disclosure of terms of settlement
4.5  The entity is only to agree that the terms of settlement are confidential and cannot be disclosed where this is necessary to protect the Commonwealth's interests. Before imposing or agreeing to such a condition, the entity is to satisfy itself, including by raising the matter with a party requesting the condition, that the condition is necessary. The entity should also seek to incorporate an exception to enable voluntary disclosure of the settlement (in whole or in part) to the Parliament or to a Parliamentary Committee. Where practicable, the responsible Minister is to be consulted before the entity agrees to a settlement inhibiting voluntary disclosure to the Parliament or to a Parliamentary Committee.
4.5A  The entity is to tell the other party to a confidential settlement that disclosure of the settlement may nevertheless be required by law; in particular, to the Parliament or to a Parliamentary Committee which has power to compel disclosure.
Note: An example of when it may be in the Commonwealth's interests to agree to a confidential settlement is if the Commonwealth seeks to settle a claim against it on condition that the terms of settlement not be disclosed, with a view to avoiding prejudice in responding to other similar claims against it.

Jurisdiction of State and Territory courts and tribunals
4.6  An objection on behalf of the Commonwealth to the jurisdiction of a State or Territory court on the basis that it is not a court authorised under section 56 of the Judiciary Act 1903 is not to be made by the entity without the approval of the Attorney‑General.
Note: The High Court has held that section 56 of the Judiciary Act does not limit the jurisdiction conferred on State courts by subsection 39(2) of that Act, but enables the Commonwealth to object to a court proceeding which is not authorised under