Caltex Australia Petroleum Pty Ltd v Charben Haulage Pty Ltd [2005] FCAFC 271

FEDERAL COURT OF AUSTRALIA

Caltex Australia Petroleum Pty Ltd v Charben Haulage Pty Ltd [2005] FCAFC 271 TRADE PRACTICES – decommissioned service station and workshop site sold for development as residential properties – environmental assessment reports produced on contamination and pollution and remediation of site – whether reports contained misleading statements – whether reports complied with guidelines on production of reports on service stations – reliance on reports – negligent misstatement – negligence CONTRACT – breach of contract – whether developer compelled to complete contract for purchase of land unless triggered specific clause and gave appropriate notice that not satisfied with environmental assessment report – indemnity

Contaminated Land Management Act 1997 (NSW) Trade Practices Act 1974 (Cth) ss 52 and 82

Woolcock Street Investments Pty Ltd v CDG Pty Ltd (2004) 216 CLR 515 referred to CALTEX AUSTRALIA PETROLEUM PTY LTD v CHARBEN HAULAGE PTY LTD & ANOR NSD611 OF 2004 ENVIRONMENTAL & EARTH SCIENCES PTY LTD v CHARBEN HAULAGE PTY LTD & ANOR NSD615 OF 2004 TAMBERLIN, KIEFEL & EMMETT JJ 22 DECEMBER 2005 SYDNEY

IN THE FEDERAL COURT OF AUSTRALIA

NEW SOUTH WALES DISTRICT REGISTRY NSD611 OF 2004

BETWEEN: CALTEX AUSTRALIA PETROLEUM PTY LTD

APPELLANT

AND: CHARBEN HAULAGE PTY LTD

FIRST RESPONDENT

ENVIRONMENTAL & EARTH SCIENCES PTY LTD

SECOND RESPONDENT

JUDGES: TAMBERLIN, KIEFEL & EMMETT JJ

DATE OF ORDER: 22 DECEMBER 2005

WHERE MADE: SYDNEY

THE COURT ORDERS THAT: 1. The appeal be upheld. 2. The orders of 8 April 2004 in NSD626 of 2002 be set aside and in lieu thereof there be orders that: (a) The proceeding against the appellant be dismissed. (b) The cross-claim by the appellant against the second respondent be dismissed. 1. The costs of the proceeding below and of the appeal are reserved. 2. The parties are to file and serve brief written submissions on costs by 4:00 pm on Friday 27 January 2006. Note: Settlement and entry of orders is dealt with in Order 36 of the Federal Court Rules.