Bachour Enterprises Pty Ltd v Munzer [2024] NSWSC 1601

Supreme Court New South Wales

Medium Neutral Citation: Bachour Enterprises Pty Ltd v Munzer [2024] NSWSC 1601 Hearing dates: 29 – 31 October 2024; last submissions 9 December 2024 Date of orders: 13 December 2024 Decision date: 13 December 2024 Jurisdiction: Equity - Expedition List Before: Rees J Decision: Orders made for specific performance, an account and costs. Catchwords: CONTRACTS – sale of business – businessman in need of cash sells one of his businesses to his bookkeeper – bookkeeper pays for business and begins operations – parties sign Heads of Agreement while more detailed transaction documents are prepared – businessman changes his mind, fires the bookkeeper and re-takes possession of the business – whether businessman bound by his agreement – absolutely. CONTRACTUAL CONSTRUCTION — ascertaining parties to contract — principles at [125]-[127] — vendor described by business name and ABN – both registered to the businessman – signature block assumed vendor was a corporation – drafting error corrected through contractual construction, at [135]. UNCONSCIONABLE CONDUCT – special disadvantage – principles at [154]-[162] – English not first language of businessman – bookkeeper translated some words into Arabic – businessman was the more experienced of the two. MISREPRESENTATIONS – principles at [139]-[140] – not persuaded that bookkeeper represented that the Heads of Agreement was a licence – not satisfied bookkeeper gave the businessman only one page and represented it comprised the entire agreement, where page clearly part of a larger document on its face. NON EST FACTUM – principles at [147], [150] – not established. Legislation Cited: Australian Consumer Law, s 18 Uniform Civil Procedure Rules 2005 (NSW), Part 20 rule 4 Cases Cited: A Roberts & Co Ltd v Leicestershire County Council [1961] Ch 555 Australia and New Zealand Banking Group Ltd v Couanis [2020] WASC 125 Australian Competition and Consumer Commission v Samton Holdings Pty Ltd [2002] FCAFC 4; (2002) 117 FCR 301 Bankstown City Council v Alamdo Holdings Pty Ltd (2005) 223 CLR 660 Baulkham Hills Private Hospital Pty Ltd v GR Securities Pty Ltd (1986) 40 NSWLR 622 Blackmore Design Group Pty Ltd v Mudge (2006) 4 DCLR(NSW) 30 at 36; [2006] NSWDC 160 Blomley v Ryan (1956) 99 CLR Burt v ANZ Banking Group Ltd (1994) ATPR 46-123 Butcher v Lachlan Elder Realty Pty Ltd [2004] HCA 60; (2004) 218 CLR 592 Commercial Bank of Australia Ltd v Amadio (1983) CLR 447 Concrete Construction (NSW) Pty Ltd v Nelson (1990) 169 CLR 594 Coulls v Bagot's Executor & Trustee Co Ltd (1967) 119 CLR 460 Dinh v Commonwealth Bank of Australia [2021] WASCA 127 Duxbury v Pierce [2009] FCA 367 Easyfind (NSW) Pty Ltd v Paterson (1987) 11 NSWLR 98 Equuscorp Pty Ltd v Glengallan Investments Pty Ltd (2004) 218 CLR 471 Evans Marshall & Co v Bertola SA [1973] 1 WLR 349 Fabre v Arenales (1992) MVR 303; (1992) 27 NSWLR 437 Ford by his tutor Watkinson v Perpetual Trustees Victoria (CA) (2009) 75 NSWLR 42 Ghazal v Government Insurance of New South Wales (1992) 29 NSWLR 336 Google Inc v ACCC (2013) 249 CLR 435 Hurley v McDonald's Australia Ltd [1999] FCA 1728 Ireland v WG Riverview Pty Ltd [2019] NSWCA 307; (2019) 101 NSWLR 658 Johnston v Arnaboldi [1990] 2 Qd R 138 Li v So [2019] VSC 515 Louth v Diprose (1992) 175 CLR 621 Lucas Stuart Pty Ltd v Hemmes Hermitage Pty Ltd (2012) 28 BCL 226; [2010] NSWCA 283 Luong v Du [2013] VSC 723 MacMilllan v Mumby [2006] NSWCA 74 Masters v Cameron (1954) 91 CLR 353 May v Platt [1900] 1 Ch 616 McCulloch v Fern and Anor [2001] NSWSC 406 Mills v Walsh [2022] NSWCA 255 Nitopi v Nitopi [2023] NSWCA 162 Paolucci v Makedyn Pty Ltd (2021) 20 BPR 41 Payne v Parker [1976] 1 NSWLR 191 Petelin v Cullen [1975] HCA 24; (1975) 132 CLR 355 Pethybridge v Stedikas Holdings Pty Ltd [2007] NSWCA 154 QBT Pty Ltd v Wilson [2024] NSWCA 114 Riverlate Properties Ltd v Paul [1975] Ch 133 Rozenbilt v Vainer [2019] VSC 316 Ryan v UPG 322 Pty Ltd [2023] NSWSC 1293 Self Care IP Holdings Pty Ltd v Allergan Australia Pty Ltd [2023] HCA 8 at [80]-[83] Southdown Publications Pty Ltd v ACP Magazines Pty Ltd (2003) 60 IPR 367; [2003] NSWCA 347 Stubbings v Jams 2 Pty Ltd [2022] HCA 6; (2022) 399 ALR 300 Ta Lee Investment Pty Limited v Antonios (2019) 19 BPR 39153; [2019] NSWCA 24 Taylor v Johnson [1983] HCA 5; (1983) 151 CLR 422 Toll (FGCT) Pty Limited v Alphapharm Pty Limited [2004] HCA 52; (2004) 219 CLR 165 Tullett Prebon (Australia) Pty Ltd v Purcell (2008) 175 IR 424; [2008] NSWSC 852 Waterways Authority of New South Wales v Coal & Allied (Operations) Pty Ltd [2007] NSWCA 276 Watson v Foxman (1995) 49 NSWLR 315 Wilton v Farnworth (1948) 76 CLR 646 Yorke v Lucas [1985] HCA 65; (1985) 158 CLR 661 Texts Cited: The Law Quarterly Review R E Megarry (1960) 76(302) Category: Principal judgment Parties: Bachour Enterprises Pty Ltd (Plaintiff) Simon Munzer (First Defendant) Paradise CC Corp Pty Ltd (Second Defendant) Representation: Counsel: A Byrne (Plaintiff) DC Eardley (Defendants)