Australian Finance Direct Ltd Timothy Elderton [2006] NSWLC 1

Local Court of New South Wales

CITATION: Australian Finance Direct Ltd Timothy Elderton [2006] NSWLC 1 JURISDICTION: Civil PARTIES: Australian Finance Direct Ltd Timothy Elderton FILE NUMBER: 5583/05 PLACE OF HEARING: Downing Centre DATE OF DECISION: 02/10/2006 MAGISTRATE: Magistrate H Dillon CATCHWORDS: Consumer Credit - Whether contract between supplier of services to consumer discharged or rescinded so as to entitle consumer to terminate contract with credit provider - Whether consumer terminated contract with supplier of services - Whether consumer accepted repudiation of contract by services provider or affirmed the contract LEGISLATION CITED: Uniform Consumer Credit Code ss 125 CASES CITED: McDonald v Dennys Lascellas Ltd (1933) 48 CLR 457 Shevill v Builders Licensing Board (1982) 149 CLR 620 REPRESENTATION: Mr J White (Counsel) instructed by McKells, Solicitors Self with Mr D Emerson - Elliott (McKenzie friend) ORDERS: 1. Verdict for the plaintiff in the sum of $29,009 plus interest to be calculated at a rate of 14 per cent per annum from 22 April 2004 (the date of the letter of demand) to the date of judgment. Judgment accordingly.; 2. In relation to costs, the order I propose is the usual order that costs follow the event in a sum agreed or assessed. Parties may have liberty to apply in respect of the proposed order. If the matter is not relisted within 28 days by either party on the question of costs, the proposed order will be executed.

JUDGMENT

1. The plaintiff, Australian Finance Direct Ltd ("AFD") is a finance company which entered into an arrangement with an unrelated corporation, National Investment Institute Pty Ltd ("NII") to enable persons applying to undertake courses with NII to finance the fees by way of loans extended to them by AFD. The defendant's husband, Mr Timothy Elderton, was such a student. Mrs Carolyn Elderton signed an application for finance from the plaintiff on 28 November 2002 to enable Mr Elderton to undertake a course with NII. The application was accepted by AFD and a contract was formed.