Rodgers v Moonta Town Corporation

High Court of Australia Gibbs CJ Mason, Aickin, Wilson and Brennan JJ. Rodgers v Moonta Town Corporation

ORDER Appeal dismissed with costs. Aug. 19. Gibbs CJ

These proceedings were commenced by an application made under s 192 of the Real Property Act, 1886-1975 SA, by the respondent, the Corporation of the Town of Moonta (to which I shall refer as "the Council") for an order that the present appellants, Mr and Mrs Rodgers, give up possession of the land described in the summons.

The application was refused by Zelling J., but the appeal to the Full Court of the Supreme Court was allowed and the Full Court ordered that the appellants deliver up possession of the land in question on or before 16th January, 1981. This appeal is brought from that decision.

On 9th July, 1973, the appellants submitted to the Council a tender for a lease of a caravan park at Moonta Bay at a rental of $2,036 per annum plus payment to the Council of a 5 per cent commission on gross revenue from the business of the caravan park. The words of the tender showed that it was assumed that the period of the lease was to be ten years and this was made clear by a further letter which Mr Rodgers wrote to the Council on 30th July, 1973. The Council met on 6th August, 1973, and passed a resolution which is recorded in the minutes as follows:

That R. F. and M. E. Rodgers be granted a five year lease of the Moonta Bay Caravan Park on the basis of their tender and letter of 30th July, 1973, and that the extension of the term of the lease to ten years be negotiated with Mr and Mrs Rodgers in August 1974.

Mr Rodgers gave oral evidence that he was present at the meeting although not at the time when the resolution was passed. He said that afterwards the Mayor, Mr Dowling, told him what had been decided. In evidence-in-chief he said that Mr Dowling told him that "in essence I was to have the park for an initial term of five years, but in implication it be ten". When asked to say what Mr Dowling had told him and not what was implied he said: "As long as I conducted myself within the fidst twelve months I would be granted a lease as I had originally submitted, ten years."