Carter v Mehmet [2021] NSWCA 286

Court of Appeal Supreme Court New South Wales Medium Neutral Citation: Carter v Mehmet [2021] NSWCA 286 Hearing dates: 20 October 2021 Date of orders: 25 November 2021 Decision date: 25 November 2021 Before: Meagher JA; Gleeson JA; Payne JA Decision: (1) Appeal allowed. (2) Set aside the orders of Ward CJ in Eq made on 17 April 2020 and in lieu thereof order: (a) Judgment for the appellants against the respondents in the sum of $480,832.20 plus interest thereon from 29 November 2015 pursuant to s 100 of the Civil Procedure Act 2005 (NSW). (b) Respondents pay the appellants' costs of the proceeding below, including (as per the orders of the Court of Appeal made on 13 December 2018) the costs of the separate determination the subject of the proceeding before Darke J in 2017. (3) Respondents pay the appellants' costs of the appeal. Catchwords: CONTRACTS — termination — repudiation of contract — implied refusal to perform — where purchasers raised requisitions on title — whether requisitions properly made — whether vendors adequately answered requisitions — whether vendors evinced intention no longer to be bound by contract CONTRACTS — termination — repudiation of contract — erroneous construction of contract — where vendors insisted on payment of default interest — whether repudiation by insisting on erroneous construction of contract ENVIRONMENT AND PLANNING — heritage conservation — protection of Aboriginal heritage — National Parks and Wildlife Act 1974 (NSW) — meaning of "Aboriginal object" LAND LAW — conveyancing — contract for sale — defect in title — whether presence of Aboriginal objects on land constitutes defect in title — whether Aboriginal objects on land — whether presence of Aboriginal objects constituted defect in title where land already subject to development constraints LAND LAW — conveyancing — contract for sale — termination in accordance with rule in Flight v Booth — whether presence of Aboriginal objects materially or substantially affected contract — no Aboriginal objects on land — no material or substantial effect LAND LAW — conveyancing — contract for sale — requisitions — where requisitions based on plausible contention of presence of Aboriginal objects — whether purchasers' objections and requisitions on title properly made — whether vendors' responses sufficient Legislation Cited: Civil Procedure Act 2005 (NSW), s 100 Coastal Protection Act 1979 (NSW) Competition and Consumer Act 2010 (Cth), Sch 2 – Australian Consumer Law, s 18 Conveyancing Act 1919 (NSW), s 55 Environmental Planning and Assessment Act 1979 (NSW) Fauna Conservation Act 1974 (Qld), s 7 Home Building Act 1989 (NSW) Interpretation Act 1987 (NSW), s 33 Mine Subsidence Compensation Act 1961 (NSW), s 15 National Parks and Wildlife (Amendment) Act 1969 (NSW) National Parks and Wildlife Act 1967 (NSW), ss 3, 33D National Parks and Wildlife Act 1974 (NSW), ss 2A, 5, 83, 85, 85A, 86 Real Property Act 1900 (NSW) State Environmental Planning Policy No 14—Coastal Wetlands Cases Cited: Adderton v Festa Holdings Pty Ltd [2003] NSWSC 1065 Adolfson v Jengedor Pty Ltd (1995) 6 BPR 14,147 Bebonis v Angelis (2003) 56 NSWLR 127; [2003] NSWCA 13 Bell v Scott (1922) 30 CLR 387; [1922] HCA 13 Carydis v Merrag Pty Ltd [2007] NSWSC 1220 CIC Insurance Ltd v Bankstown Football Club Ltd (1997) 187 CLR 384; [1997] HCA 2 Country Energy v Williams (2005) 63 NSWLR 699; [2005] NSWCA 318 Crowe v Rindock [2005] NSWSC 375; (2005) 12 BPR 22,823 DTR Nominees Pty Ltd v Mona Homes Pty Ltd (1978) 138 CLR 423; [1978] HCA 12 Federal Commissioner of Taxation v Consolidated Media Holdings Ltd (2012) 250 CLR 503; [2012] HCA 55 Festa Holdings Pty Ltd v Adderton [2004] NSWCA 228 Flight v Booth [1834] Eng R 1087; (1834) 131 ER 1160 Frankel v Paterson [2015] NSWSC 1307 Godfrey Constructions Pty Ltd v Kanangra Park Pty Ltd (1972) 128 CLR 529; [1972] HCA 36 Gogard Pty Ltd v Satnaq Pty Ltd [1999] NSWSC 1283; (1999) 9 BPR 17,171 Greek Orthodox Parish Community of St Marys and District Ltd v Denis Stanley Merrick [2014] NSWSC 1196 Green v Sommerville (1979) 141 CLR 594; [1979] HCA 60 Gupta v Fordham Laboratories Pty Ltd [2018] NSWSC 551 Liberty Grove (Concord) Pty Ltd v Yeo [2006] NSWSC 1373 Mehmet v Carter [2017] NSWSC 1067 Mehmet v Carter (2018) 98 NSWLR 977; [2018] NSWCA 305 Mehmet v Carter [2020] NSWSC 413 Micos v Diamond [1970] 3 NSWR 407; (1970) SR (NSW) 392 Re Ford & Hill (1879) 10 Ch D 365 Re Stone and Saville's Contract [1962] 1 WLR 460 Reysson Pty Ltd v Minister Administering the Environmental Planning and Assessment Act 1979 [2020] NSWCA 281 Shevill v Builders Licensing Board (1982) 149 CLR 620; [1982] HCA 47 Travinto Nominees Pty Ltd v Vlattas (1973) 129 CLR 1; [1973] HCA 14 Votraint No 1088 Pty Ltd v Commonwealth [2004] NSWSC 1003 Walton v Stocks & Parkes Investments Pty Ltd (1975) 1 BPR 9660 William Sindall PLC v Cambridgeshire County Council [1994] 1 WLR 1016 Winchcombe Carson Trustee Co Ltd v Ball-Rand Pty Ltd [1974] 1 NSWLR 477 Yanner v Eaton (1999) 201 CLR 351; [1999] HCA 53 Texts Cited: FE Moss, Sale of Land in New South Wales (5th ed, 1973, Butterworths) L Voumard, The Sale of Land (5th ed, 1995, Law Book Co) P Butt, The Standard Contract for Sale of Land in New South Wales (2nd ed, 1998, Law Book Co) Patricia Lane, Sale of Land in New South Wales (6th ed, 2018, Law Book Co) Roy Milner Stonham, The Law of Vendor and Purchaser (1964, Law Book Co) T Williams, A Treatise on the Law of Vendor and Purchaser of Real Estate and Chattels Real (3rd ed, 1922, Sweet and Maxwell) Category: Principal judgment Parties: Murray John Carter (First Appellant) The Wheel Resort Pty Ltd (Second Appellant) Cathscompany Pty Ltd (Third Appellant) Ian Mehmet t/as ATF Ian G Mehmet Testamentary Trust (First Respondent) Cameron Mehmet t/as ATF Cameron Mehmet Testamentary Trust (Second Respondent) Errol Mehmet t/as ATF Errol J Mehmet Testamentary Trust (Third Respondent) Cheers Aviation Pty Ltd t/as ATF KMCG Investment Trust (Fourth Respondent) Matthew Timothy Cheers (Fifth Respondent) Representation: Counsel: T Alexis SC, M Southwick (Appellants) DA Smallbone (Respondents)