Stellar Vision Operations Pty Ltd v Hills Health Solutions Pty Ltd [2022] NSWSC 144

Supreme Court New South Wales

Medium Neutral Citation: Stellar Vision Operations Pty Ltd v Hills Health Solutions Pty Ltd [2022] NSWSC 144 Hearing dates: 19 – 21 and 26 – 29 April 2021 Date of orders: 23 February 2022 Decision date: 23 February 2022 Jurisdiction: Equity Before: Ward CJ in Eq Decision: 1. Dismiss the plaintiff's claim with costs. Catchwords: EQUITY — Trusts and trustees — Express trusts — Where no declaration of trust — Whether benefit of contract pr plaintiff's alleged interest therein held on trust — Whether defendant acquired interest in contract subject to any interest of the plaintiff therein or "subject to the equities" EQUITY — Fiduciary duties — Partners and joint venturers — Where plaintiff negotiating with a third party company to enter into a joint venture agreement — Where business of that company purchased by defendant prior to conclusion of formal joint venture or partnership agreement — Where undertaking by defendant to "honour the intent of previous discussions" — Whether sufficient to give rise to fiduciary duties and breached when defendant obtained for itself benefit of contract in respect of which "joint" tender for installation of patient entertainment systems had been lodged CONTRACTS — Formation — Whether binding contractual undertaking to "honour the intent of previous discussions" —Whether agreement to agree, or agreement to negotiate — Whether undertaking breached ESTOPPEL — Proprietary estoppel — Promissory estoppel — Conventional estoppel — Whether defendant estopped from resiling from undertaking Legislation Cited: Civil Procedure Act 2005 (NSW), s 100 Conveyancing Act 1919 (NSW), s 12 Cases Cited: ADM v FDGK [2018] NSWSC 442 Amit Laundry Pty Ltd v Jain [2017] NSWSC 1495 Ammon v Consolidated Minerals Ltd (No 3) [2007] WASC 232 Antov v Bokan [2018] NSWSC 1474 Ashton v Pratt (2015) 88 NSWLR 281; [2015] NSWCA 12 Austin v Hornby [2011] NSWSC 1059 Bahr v Nicolay (No 2) (1988) 164 CLR 604; [1988] HCA 16 Banque Commerciale SA (in liq) v Akhil Holdings Ltd (1990) 169 CLR 279; [1990] HCA 11 Barnes v Addy (1874) LR 9 Ch App 244 Barnes v Forty Two International Pty Ltd (2014) 316 ALR 408; [2014] FCAFC 152 Baulkham Hills Private Hospital Pty Ltd v GR Securities Pty Ltd (1986) 40 NSWLR 622 Berry v CCL Secure Pty Ltd (2020) 381 ALR 427; [2020] HCA 27 Biala Pty Ltd v Mallina Holdings Limited (No 4) (1994) 13 WAR 11 Brambles Holdings Limited v Bathurst City Council (2001) 53 NSWLR 153; [2001] NSWCA 61 Broadway Plaza Investments Pty Ltd v Broadway Plaza Pty Ltd; In the matter of Combined Projects (Arncliffe) Pty Ltd [2020] NSWSC 1778 Byrnes v Kendle (2011) 243 CLR 253; [2011] HCA 26 Calverley v Green (1984) 155 CLR 242; [1984] HCA 81 Canadian Aero Service Ltd v O'Malley (1973) 40 DLR (3d) 371; [1974] SCR 592 Canny Gabriel Castle Jackson Advertising Pty Limited v Volume Sales (Finance) Pty Limited (1974) 131 CLR 321; [1974] HCA 22 Carter v Brine [2015] SASC 204 Chan v Zacharia (1984) 154 CLR 178; [1984] HCA 36 Clark v Macourt (2013) 253 CLR 1; [2013] HCA 56 Cockell v Taylor (1852) 15 Beav. 103; (1852) 51 ER 475 Commissioner of State Revenue (Vic) v Snowy Hydro Limited (2012) 43 VR 109; [2012] VSCA 145 Concrete Pty Limited v Parramatta Design and Developments Pty Ltd (2006) 229 CLR 577; [2006] HCA 55 Disctronics Ltd v Edmonds [2002] VSC 454 Duffy Bros Fruit Market (Campbelltown) Pty Ltd v Gumland Property Holdings Pty Ltd [2007] NSWCA 7 Edmonds v Donovan (2005) 12 VR 513; [2005] VSCA 27 Equuscorp Pty Ltd v Glengallan Investments Pty Ltd (2004) 218 CLR 471; [2004] HCA 55 Fraser Edmiston Pty Ltd v AGT (Qld) Pty Ltd (1988) 2 Qd R 1 G R Securities Pty Ltd v Baulkham Hills Private Hospital Pty Ltd (1986) 40 NSWLR 631 Galafassi v Kelly (2014) 87 NSWLR 119; [2014] NSWCA 190 Gibson Motorsport Merchandise Pty Ltd v Forbes (2006) 149 FCR 569; [2006] FCAFC 44 Gould v Mount Oxide Mines Ltd (in liq) (1916) 22 CLR 490; [1916] HCA 81 Hadid v Lenfest Communications Inc [1999] FCA 1798 Hastie Group Ltd (in liq) v Bourne [2017] NSWSC 709 Hospital Products Ltd v United States Surgical Corp (1984) 156 CLR 41; [1984] HCA 64 HTW Valuers (Central Qld) Pty Ltd v Astonland Pty Ltd (2004) 217 CLR 640; [2004] HCA 54 Hungry Jack's v Burger King [1999] NSWSC 1029 In the matter of Tresdar Pty Ltd [2019] NSWSC 179 Ingot Capital Investments Pty Ltd v Macquarie Equity Capital Markets Ltd (2008) 73 NSWLR 653; [2008] NSWCA 206 Jasmin Solar Pty Ltd v Trina Solar Australia Pty Ltd [2020] FCA 1018 John Alexander's Clubs Pty Limited v White City Tennis Club Limited (2010) 241 CLR 1; [2010] HCA 19 Johnson v Perez (1988) 166 CLR 351; [1988] HCA 64 Jones v Dunkel (1959) 101 CLR 298; [1959] HCA 8 Kizbeau Pty Ltd v WG & B Pty Ltd (1995)184 CLR 281; [1995] HCA 4 Koompahtoo Local Aboriginal Land Council v Sanpine Pty Ltd (2007) 233 CLR 115; [2007] HCA 61 Korda v Australian Executor Trustees (SA) Limited (2015) 255 CLR 62; [2015] HCA 6 Laurinda Pty Ltd v Capalaba Park Shopping Centre Pty Ltd (1989) 166 CLR 623; [1989] HCA 23 Management Service Australia Pty Ltd v PM Works Pty Ltd [2017] NSWSC 1743 Masters v Cameron (1954) 91 CLR 353; [1954] HCA 72 McCrohon v Harith [2010] NSWCA 67 Meehan v Jones (1982) 149 CLR 571; [1982] HCA 52 Moore v Aubusson [2020] NSWSC 1466 Moratic Pty Ltd v Gordon [2007] NSWSC 5 Natural Extracts Pty Ltd v Stotter (1997) 24 ACSR 110 News Limited v Australian Rugby Football League Limited (1996) 64 FCR 410; [1996] FCA 870 Nguyen v Phan (No 2) [2015] VSC 634 Pavan v Ratnam (1996) 23 ACSR 214 Payne v Parker (1976) 1 NSWLR 191 Phipps v Boardman [1967] 2 AC 46 Redman v Permanent Trustee Co of NSW Ltd (1916) 22 CLR 84; [1916] HCA 47 Regal (Hastings) Ltd v Gulliver [1967] 2 AC 134 Reitano v Reitano [2012] NSWSC 1127 Rydledar Pty Ltd t/as Volume Plus v Euphoric Pty Ltd (2007) 69 NSWLR 603; [2007] NSWCA 65 Sanrus Pty Ltd v Monto Coal 2 Pty Ltd (No 7) [2019] QSC 241 Scammell (G) & Nephew Ltd v Ouston [1941] AC 251 Shevill v Builders Licensing Board (1982) 149 CLR 620; [1982] HCA 47 Sidhu v Van Dyke (2014) 251 CLR 505; [2014] HCA 19 Sinclair, Scott & Co v Naughton (1929) 43 CLR 310; [1929] HCA 34 Southern British National Trust Ltd v Pither (1937) 57 CLR 89 Southern Cross Mine Management Pty Ltd v Ensham Resources Pty Ltd [2004] QSC 457 Swiss Bank Corporation v Lloyds Bank Ltd [1979] Ch 548 TMA Australia Pty Ltd v Indect Electronics & Distribution GmbH [2015] NSWCA 343 Trident General Insurance Co Ltd v McNiece Bros Pty Ltd (1988) 165 CLR 107; [1988] HCA 44 Trustees of the Property of Cummins v Cummins (2006) 227 CLR 278; [2006] HCA 6 United Dominions Corporation Limited v Brian Pty Limited (1985) 157 CLR 1; [1985] HCA 49 Upper Hunter County District Council v Australian Chilling & Freezing Co Ltd (1968) 118 CLR 429; [1968] HCA 8 Vines v Australian Securities and Investments Commission (2007) 73 NSWLR 451; [2007] NSWCA 75 Warman International Ltd v Dwyer (1995) 182 CLR 544; [1995] HCA 18 Zugic v Vesuvius Australia Pty Ltd [2020] NSWSC 106 Texts Cited: Heydon and Leeming, Jacobs' Law of Trusts in Australia (8th ed, 2016, LexisNexis Butterworths) Young, Croft and Smith, On Equity (2009, Thomson Reuters) Seddon and Bigwood, Cheshire and Fifoot Law of Contract (11th Australian edition, 2017, LexisNexis) Category: Principal judgment Parties: Stellar Vision Operations Pty Ltd (Plaintiff) Hills Health Solutions Pty Ltd (Defendant) Representation: Counsel: C Bova SC with J Burnett (Plaintiff) R Newlinds SC with T Epstein (Defendant)