James Adam Pty Ltd v Fobeza Pty Ltd [2020] NSWCA 311

Court of Appeal Supreme Court New South Wales Medium Neutral Citation: James Adam Pty Ltd v Fobeza Pty Ltd [2020] NSWCA 311 Hearing dates: 4 November 2020 Decision date: 03 December 2020 Before: Bell P at [1]; Macfarlan JA at [3]; Leeming JA at [4]. Decision: Appeal dismissed, with costs. Catchwords: CONTRACTS - construction - mistake - whether mistake can be corrected by construction - contract for sale of proposed lot defined by reference to sketch plan - vendor obliged to procure subdivision in accordance with sketch plan - sketch plan showed area of 2001m2 - purchaser entitled to rescind if registered plan contained area of 2100m2 or more - whether literal meaning of language created absurdity or inconsistency - whether objective intention self-evident - consideration of relationship between construction and rectification - consideration of the term "rectification" Legislation Cited: Married Women's Property Act 1882 (UK) Surveying and Spatial Information Regulation 2017 (NSW), cl 66 Cases Cited: Bache v Proctor (1780) 1 Dougl 382; 99 ER 247 Bowler v Hilda Pty Ltd (2001) 112 FCR 59; [2001] FCA 342 Chartbrook Ltd v Persimmon Homes Ltd [2009] AC 1101; [2009] UKHL 38 East v Pantiles (Plant Hire) Ltd (1981) 263 EG 61 Energy World Corporation Ltd v Maurice Hayes & Associates Pty Ltd [2007] FCAFC 34; 239 ALR 457 Fitzgerald v Masters (1956) 95 CLR 420; [1956] HCA 53 Franklins Pty Ltd v Metcash Trading Ltd (2009) 76 NSWLR 603; [2009] NSWCA 407 Green Growth No 2 Ltd v Queen Elizabeth the Second National Trust [2019] 1 NZLR 161; [2018] NZSC 75 Harker-Mortlock v Commonwealth Bank of Australia [2019] NSWCA 56 HDI Global Specialty SE v Wonkana No. 3 Pty Ltd [2020] NSWCA 296 Holding & Barnes Plc v Hill House Hammond Ltd [2001] EWCA Civ 1334; [2002] 2 P & CR 11 Hunt v Hunt (1862) 4 De GF & J 221; 45 ER 1168 ING Bank NV v Ros Roca SA [2011] EWCA Civ 353; [2012] 1 WLR 472 Mainteck Services Pty Ltd v Stein Heurtey SA (2014) 89 NSWLR 633; [2014] NSWCA 184 McHugh Holdings Pty Ltd v Newtown Colonial Hotel Pty Ltd (2008) 73 NSWLR 53; [2008] NSWSC 542 Miwa Pty Ltd v Siantan Properties Pte Ltd [2011] NSWCA 297 National Australia Bank Ltd v Clowes [2013] NSWCA 179 Newey v Westpac Banking Corporation [2014] NSWCA 319 Perpetual Ltd v Myer Pty Ltd [2019] VSCA 98 Saxby Soft Drinks Pty Ltd v George Saxby Beverages Pty Ltd [2009] NSWSC 1486; 14 BPR 27,213 Seymour Whyte Constructions Pty Ltd v Ostwald Bros Pty Ltd (in liquidation) (2019) 99 NSWLR 317; [2019] NSWCA 11 Simic v New South Wales Land and Housing Corporation (2016) 260 CLR 85; [2016] HCA 47 SZOXP v Minister for Immigration and Border Protection (2015) 231 FCR 1; [2015] FCAFC 69 Tatham v Huxtable (1950) 81 CLR 639; [1950] HCA 56 Wilson v Wilson (1845) 14 Sim 405; 60 ER 415 Wilson v Wilson (1854) 5 HL Cas 40; 10 ER 811 Texts Cited: J Bentham, An Introduction to the Principles of Morals and Legislation (University of London, The Athlone Press, 1970) J Carter, The Construction of Commercial Contracts (Hart Publishing, 2013) R Catterwell, A Unified Approach to Contract Interpretation (Hart Publishing, 2020) R Goff, "The Search for Principle" (1983) 69 Proceedings of the British Academy 169 J D Heydon, Heydon on Contract (Lawbook Co 2019) D Hodge, Rectification (2nd ed 2016, Sweet & Maxwell) D McLauchlan, "The lingering confusion and uncertainty in the law of contract interpretation" [2015] LMCLQ 406 F Pollock, Principles of Contract (Stevens & Sons, 7th ed, 1902) J Tarrant, Rectification of Documents (Federation Press, 2020) Category: Principal judgment Parties: James Adam Pty Ltd (Appellant) Fobeza Pty Ltd (First Respondent) William Kevin Young (Second Respondent) Representation: Counsel: M Ashhurst SC, G Farland (Appellant) D Price (Respondents)