Resource Base Limited v Sutton [2024] NSWSC 1424

Supreme Court New South Wales

Medium Neutral Citation: Resource Base Limited v Sutton [2024] NSWSC 1424 Hearing dates: 2 October, 6 November 2024 Date of orders: 6 November 2024 Decision date: 08 November 2024 Jurisdiction: Common Law Before: Williams J Decision: See orders at [80]. Catchwords: CONTRACTS – Remedies – Specific performance – Where vendor and purchaser entered into contract for sale of land which failed to complete – Where purchaser claimed specific performance of sale contract, and vendor claimed specific performance of an alleged novated and varied sale contract – Where vendor abandoned claim and consented to orders for specific performance of sale contract relied on by purchaser – Orders made for specific performance of that sale contract in terms consented to by the parties CONTRACTS – Construction and interpretation of sale contract to be specifically performed – Where vendor, after entering into the contract for sale of land, applied and was granted an exploration licence over a large area of land, including the land that is the subject of the sale contract, in respect of Group 5 minerals including clay – Whether the sale contract, properly construed, expressly requires the vendor to transfer its clay exploration licence to the purchaser upon completion or contains an implied term to that effect – Held: no express or implied term requiring transfer of clay exploration licence to purchaser on completion LAND LAW – Non-derogation from grant – Whether the vendor has derogated from the grant of property made to the purchaser under the contract for sale of land by refusing to transfer its clay exploration licence upon completion – Where evidence does not support imputing to the parties a common intention that the purchaser acquired the land for the purpose of gaining access to, and an entitlement to use, clay deposits – Held: no derogation from grant Legislation Cited: Mining Act 1992 (NSW) ss 5, 13, 19, 51, 58 Cases Cited: Agricultural & Rural Finance Pty Ltd v Gardiner (2008) 238 CLR 570; [2008] HCA 57 Australian Casualty Co Ltd v Federico (1986) 160 CLR 513 at 520; [1986] HCA 32 Bankstown Trotting Recreational Club Ltd v Chisholm (2016) 218 LGERA 428; [2016] NSWCA 274 Bocardo SA v Star Energy UK Onshore Ltd [2010] Ch 100; [2009] EWCA Civ 579 Bocardo SA v Star Energy UK Onshore Ltd [2011] 1 AC 380; [2010] UKSC 35 Charter Reinsurance Co Ltd v Fagan [1997] AC 313 Cherry v Steele-Park (2017) 96 NSWLR 548; [2017] NSWCA 295 Codelfa Construction Pty Ltd v State Rail Authority of New South Wales (1982) 149 CLR 337; [1982] HCA 24 Cuzeno Pty Ltd v The Owners – Strata Plan 65870 [2013] NSWSC 1385 Donau Pty Ltd v ASC AWD Shipbuilder Pty Ltd (2019) 101 NSWLR 679; [2019] NSWCA 185 Ecosse Property Holdings Pty Ltd v Gee Dee Nominees Pty Ltd (2017) 261 CLR 544; [2017] HCA 12 Electricity Generation Corporation v Woodside Energy Ltd (2014) 251 CLR 640; [2014] HCA 7 Harmer v Jumbil (Nigeria) Tin Areas Ltd [1921] 1 Ch 200 Laundy Hotels (Quarry) Pty Ltd v Dyco Hotels Pty Ltd (2023) 276 CLR 500; [2023] HCA 6 McGrath v Sturesteps (2011) 81 NSWLR 690; [2011] NSWCA 315 Metlife Insurance Ltd v RGA Reinsurance Company of Australia Ltd [2017] NSWCA 56 Newey v Westpac Banking Corporation [2014] NSWCA 319 Project Blue Moon Pty Ltd v Fairway Trading Pty Ltd [2000] FCA 127 Pwllbach Colliery Co Ltd v Woodman [1915] AC 634 Realestate.com.au Pty Ltd v Hardingham (2022) 277 CLR 115; [2022] HCA 39 Rees v Windsor-Clive [2021] 2 All ER 1013; [2020] EWCA Civ 816 The J & P Marlow (No. 2) Pty Ltd v Hayes and McCabe (2023) 112 NSWLR 29; [2023] NSWCA 117 Wilcox v Richardson (1997) 43 NSWLR 4 XL Insurance Co SE v BNY Trust Company of Australia Ltd [2019] NSWCA 215 Texts Cited: N/A Category: Principal judgment Parties: Resource Base Limited (ACN 113 385 425) (First Plaintiff/First Cross Defendant) Broula King Joint Venture Pty Ltd (Second Plaintiff/Second Cross Defendant) John Barry Sutton (Defendant/Cross Claimant) Representation: Counsel: Ms T Fishburn (Plaintiffs/Cross Defendants) Mr J R Willis with Mr M Bui (Defendant/Cross Claimant)