Aiton v Transfield [1999] NSWSC 996

Reported Decision : [1999] 153 FLR 236 [2000] 16 BCL 70

New South Wales Supreme Court CITATION : Aiton v Transfield [1999] NSWSC 996 CURRENT JURISDICTION : Equity Division, Construction List FILE NUMBER(S) : 55020/99 HEARING DATE(S) : 26.7.99 JUDGMENT DATE : 1 October 1999

PARTIES : Aiton Australia Pty Limited (Plaintiff) Transfield Pty Limited (Defendant) JUDGMENT OF : Einstein J

COUNSEL : R.W. Hunt (Plaintiff) M.G. Rudge (Defendant) SOLICITORS : Corrs Chambers Westgarth (Plaintiff) Minter Ellison (Defendant) CATCHWORDS : Contract - Construction contracts - Settlement of disputes - Dispute resolution procedures a condition precedent to commencing expert resolution or judicial proceedings - Requirement that the parties utilise dispute resolution procedures in "good faith" - Meaning of "good faith" - Whether provision sufficiently certain to be enforced - Whether proceedings ought be adjourned or stayed; Procedure - Stay - Dispute resolution procedure a term of the contract - Stay order where abuse of process to sue - Exercise of court's discretion. Commercial Arbitration Act 1984 (NSW) ACTS CITED : Farm Debt Mediation Act 1994 (NSW) Industrial Relations Act 1988 (Cth) Native Title Act 1993 (Cth) Alcatel Australia Ltd v Scarcella (1998) 44 NSWLR 349 Allco (Steel) Queensland Pty Ltd v Torres Strait Pty Ltd (unreported, Supreme Court of Qld, 12 March 1990, Master Horton QC) Asia Pacific Resources Pty Ltd v Forestry Tasmania (unreported, Supreme Court of Tasmania FC, 4 September 1997) Australis Media Holdings Pty Ltd v Telstra Corporation Ltd (1998) 43 NSWLR 104 AWA Ltd v Daniels (unreported, Supreme Court of NSW, 24 February 1992, Rogers CJ in Comm D.) BP Refinery (Westernport) Pty Ltd v Hastings Shire Council (1977) 52 ALJR 20 Capolingua v Phylum Pty Ltd (1991) 5 WAR 137 Coal Cliff Collieries Pty Ltd v Sijehama Pty Ltd (1991) 24 NSWLR 1 Codelfa Construction Pty Ltd v State Rail Authority of NSW (1981) 149 CLR 337 Con Kallergis Pty Ltd T/A Sunlighting Australasia Pty Ltd) v Calshonie Pty Ltd (Formerly C W Norris Pty Ltd) (1998) 14 BCL 201 Cooper Brookes (Wollongong) Pty Ltd v Commissioner of Taxation (Cth) (1981) 147 CLR 297 Courtney & Fairbairn Ltd v Tolaini Bros (Hotels) Ltd [1975] 1 WLR 297 Elizabeth Bay Developments Pty Ltd v Boral Building Services Pty Ltd (1995) 36 NSWLR 709 Gateway Realty Ltd v Arton Holdings Ltd (No 3) (1991) 106 NSR (2d) 180 Graeme Webb Investments Pty Ltd v Soerpyk Pty Ltd (1993) NSWConvR 555-661 Healey v Commonwealth Bank of Australia (unreported, Supreme Court of NSW - CA, 8 December 1998) Haertl Wolff Parker Inc v Howard S Wright Construction Co (unreported, US Dist Lexis 14756) Hooper Bailie Associated Ltd v Natcon Group Pty Ltd (1992) 28 NSWLR 194 Hughes Aircraft Systems International v Air Services (1997) 146 ALR 1 IBM Australia Ltd v National Distribution Services Ltd (1991) 22 NSWLR 466 CASES CITED : Mackay v Dick (1881) 6 AppCas 251 McMillan v Joseph (1987) 4 ANZInsCas 61-162 Meehan v Jones (1982) 149 CLR 571 NLRB v Boss Mfg Co 7 Cir., 118 F.2d. 187,189 NLRB v Reed & Prince Manufacturing 118 F.2d. 874,885 Public Sector Professional Scientific Research, Technical, Communications, Aviation and Broadcasting Union v Australian Broadcasting Commission (ABC case) AILR Vol 36 No.21 374 R v Director-General of Health for the Commonwealth; Ex parte Thomson (1976) 51 ALJR 180 Racecourse Betting Control Board v Secretary for Air [1944] Ch 114 Renard Constructions (ME) Pty Ltd v Minister for Public Works (1992) 26 NSWLR 234 Ridgway v Wharton (1857) 10 ER 1287 SA Maritime et Commerciale of Geneva v Anglo-Iranian Oil Co Ltd [1954] 1 WLR 492 Scott v Avery (1856) 10 ER 1121 Secured Income Real Estate (Aust) Ltd v St Martins Investments Pty Ltd (1979) 144 CLR 596 State Bank of NSW v Freeman (unreported, Supreme Court of NSW, 31 January 1996, Badgery-Parker J) Tobias v QDL Ltd (unreported, Supreme Court of NSW, 12 September 1997, Simos J) Townsend v Coyne (unreported, Supreme Court of NSW, 26 April 1995, Young J) Trawl Industries of Australia Pty Ltd v Effem Foods Pty Ltd (1992) 27 NSWLR 326 United States Surgical Corp v Hospital Products International Pty Ltd [1982] 2 NSWLR 766 Vroon BV v Foster's Brewing Group Ltd [1994] 2 VR 32 Walford v Miles [1992] 2 AC 128 Walley v State of Western Australia & Western Mining Corporation Ltd (1996) 137 ALR 561 Western Australia v Taylor (Njamal People) (1996) 134 FLR 211 DECISION : Application for stay of proceedings dismissed.