Swift v Armitage Designer Homes Pty Limited [2008] NSWDC 269

New South Wales District Court

CITATION: Swift v Armitage Designer Homes Pty Limited [2008] NSWDC 269

HEARING DATE(S): 24 - 25 November 2008

JUDGMENT DATE: 22 December 2008

JURISDICTION: Civil

JUDGMENT OF: Goldring DCJ

DECISION: 1. Verdict for the plaintiffs against the first defendant in the sum of $612,094.52 2. Verdict for the plaintiffs against the second defendant in the sum of $83,260.10

CATCHWORDS: BUILDING CONTRACTS - Damages - Trade Practices - misleading and deceptive conduct - Contracts - pre-contractual representation

LEGISLATION CITED: Trade Practices Act 1974 (Cth) Home Building Act 1989

Mark Swift (First plaintiff) PARTIES: Carla Swift (Second plaintiff) Armitage Designer Homes Pty Ltd (First defendant) Alan Murphy (Second defendant)

FILE NUMBER(S): 5855 of 2007

COUNSEL: D Jay (First and Second plaintiff) In person (First and Second defendant)

SOLICITORS: Adams & Partners Lawyers (First and Second plaintiff)

JUDGMENT

Issues

1 The issue in these proceedings are whether or not the first defendant, Armitage Designer Homes Pty Limited ("Armitage") was in breach of its contract to build a house for Mr and Mrs Swift, and if so, how much the Swifts can recover by way of compensation, and secondly, whether the second defendant, Mr Alan Murphy, engaged in conduct that was misleading or deceptive or likely to mislead or deceive, so that the Swifts suffered a loss.

Factual Background

2 Mark and Carla Swift owned a block of land at Riverview in Sydney's northern suburbs. They wished to build a family home on this block. They retained an architect, Robin Edmiston, to design a house. He prepared plans and specifications for a contemporary home of a rather unusual design. They also retained structural and hydraulic engineers to prepare plans and engineering specifications for the house. They lodged a development application with the Lane Cove Council, and ultimately this application was approved on 12 August 2005. The Swifts had a limited budget. They obtained some quotes from builders, including the first defendant, Armitage, but at first all these quotes were too expensive.