Paolucci v Makedyn Pty Ltd [2021] NSWCA 215

Court of Appeal Supreme Court New South Wales Medium Neutral Citation: Paolucci v Makedyn Pty Ltd [2021] NSWCA 215 Hearing dates: 14 July 2021 Decision date: 14 September 2021 Before: Leeming JA at [1]; White JA at [152]; McCallum JA at [167]. Decision: Appeal dismissed with costs. Catchwords: CONTRACT – contract to transfer land, subdivide it and reconvey lots to vendor on which were constructed a House and Duplex – developer failed to provide Layout Plans to vendor of House and Duplex – plans ultimately provided – plans gave rise to dispute as to dimensions of "Duplex" – developer in breach of promise to reconvey lots with House and Duplex constructed – common ground that reasonable not to construct Duplex until dispute resolved – whether order for reconveyance of lots as vacant land plus Lord Cairns' Act damages appropriate – Soames v Edge (1860) Johns 669; 70 ER 588 considered – whether primary judge misapprehended plaintiff's case – whether anything turns on misapprehension of plaintiff's case – whether primary judge erred in proper construction of "Duplex" – whether primary judge erred in failing to address availability of contractual limitation of liability SPECIFIC PERFORMANCE – nature and availability of remedy – relevance of historic breach – need to establish not just for plaintiff to be confined to damages – damages under Supreme Court Act 1970 (NSW), s 68 (Lord Cairns' Act) – nature and availability of remedy Legislation Cited: Chancery Amendment Act 1858 (21 & 22 Vict c 27) Civil Procedure Act 2005 (NSW), ss 56-60 Conveyancing Act 1919 (NSW), s 66ZS Equity Act 1880 (NSW), s 32 Equity Act 1901 (NSW), s 9 Supreme Court Act 1970 (NSW), s 68 Uniform Civil Procedure Rules, r 36.16 Cases Cited: Australian Hardwoods Pty Ltd v Commissioner for Railways [1961] 1 All ER 737 Banque Commerciale SA en liquidation v Akhil Holdings Ltd (1990) 169 CLR 279; [1990] HCA 11 Boensch v Pascoe (2019) 268 CLR 593; [2019] HCA 49 Burns Philp Trust Co Pty Ltd v Kwikasair Freightlines Ltd (1963) 63 SR (NSW) 492 Calleja v Botany Bay City Council [2005] NSWCA 337; 142 LGERA 104 Chan v Cresdon Pty Ltd (1989) 168 CLR 242; [1989] HCA 63 Cherry v Steele-Park (2017) 96 NSWLR 548; [2017] NSWCA 295 DTR Nominees Pty Ltd v Mona Homes Pty Ltd (1978) 138 CLR 423; [1978] HCA 12 Evans Marshall & Co Ltd v Bertola SA [1973] 1 WLR 349 Fell v NSW Oil & Shale Co (1889) 10 LR (NSW) Eq 255 Ferguson v Wilson (1866) LR 2 Ch App 77 Fuller v Albert (No 2) [2021] NSWCA 183 Gallagher v Rainbow (1994) 179 CLR 624; [1994] HCA 24 Gallagher v Rainbow (Supreme Court (Qld), Lee J, 24 March 1992, unrep) Green v Sommerville (1979) 141 CLR 594; [1979] HCA 60 Hasham v Zenab [1960] 2 WLR 374 J C Williamson Ltd v Lukey and Mulholland (1931) 45 CLR 282; [1931] HCA 15 Jonval Builders Pty Ltd v Commissioner for Fair Trading (2020) 104 NSWLR 1; [2020] NSWCA 233 Lavery v Pursell (1888) 39 Ch D 508 Masterton Homes Pty Ltd v LED Builders Pty Ltd (1996) 33 IPR 417 New South Wales v Mannall [2005] NSWCA 367 Nobarani v Mariconte (2018) 265 CLR 236; [2018] HCA 36 Ogle v Comboyuro Investments Pty Ltd (1976) 136 CLR 444; [1976] HCA 21 Proctor v Bayley (1889) 42 Ch D 390 Secured Income Real Estate (Australia) Ltd v St Martins Investments Pty Ltd (1979) 144 CLR 596; [1979] HCA 51 Soames v Edge (1860) Johns 669; 70 ER 588 Soulemezis v Dudley (Holdings) Pty Ltd (1987) 10 NSWLR 247 Tanwar Enterprises Pty Ltd v Cauchi (2003) 217 CLR 315; [2003] HCA 57 Tullett Prebon (Australia) Pty Ltd v Purcell [2008] NSWSC 852; 175 IR 414 Waterways Authority of New South Wales v Coal & Allied (Operations) Pty Ltd [2007] NSWCA 276 White v Boby (1877) 26 WR 133 Williams v Boambee Bay Time Share Resort Pty Ltd [2004] NSWCA 59 Wolseley Investments Pty Ltd v Gillespie [2007] NSWCA 358; 13 BPR 24,813 Zhang v ROC Services (NSW) Pty Ltd; National Transport Insurance by its manager NTI Ltd v Zhang (2016) 93 NSWLR 561; [2016] NSWCA 370 Ren v Jiang [2014] NSWCA 1 Baulderstone Hornibrook Engineering Pty Ltd v Gordian Runoff Ltd (No 2) [2009] NSWCA 12 Texts Cited: A Burrows, Remedies for Torts, Breach of Contract and Equitable Wrongs, (4th ed, Oxford University Press, 2019) T Hall, The Life and Death of the Australian Backyard (CSIRO Publishing, 2010) F Jordan, Chapters on Equity in New South Wales (6th ed, Government Printer, Sydney, 1947) D McLauchlan, "Contract Formation and Subjective Intention" (2017) 34 Journal of Contract Law 41 D McLauchlan, "The Continuing Confusion and Uncertainty over the Relevance of Actual Mutual Intention in Contract Interpretation" (2021) 37 Journal of Contract Law 25 R Meagher, Review of I Spry, Equitable Remedies, (1974) 7(2) Sydney Law Review 313 R E Megarry QC, "Notes" (1960) 76 Law Quarterly Review 200 A Olijnyk, Justice and Efficiency in Mega-Litigation (Hart Publishing, 2019) A Zuckerman, "Lord Woolf's Access to Justice: Plus ça change" (1996) 59 Modern Law Review 773 Category: Principal judgment Parties: Carmelita Paolucci (Appellant) Makedyn Pty Ltd (Respondent) Representation: Counsel: A Harding SC, J Braithwaite (Appellant) J Knackstredt (Respondent)