Young v Lamb & Ors [2001] NSWCA 225

(2001) 10 BPR 18,553 Reported Decision : [2001] ANZ ConvR 629 [2001] ACL Rep 245 NSW 25 (2002) NSW ConvR 55-997

New South Wales Court of Appeal

CITATION : Young v Lamb & Ors [2001] NSWCA 225 FILE NUMBER(S) : CA 40661/00 HEARING DATE(S) : 18 June 2001 JUDGMENT DATE : 13 July 2001

PARTIES : Robert Francis Patrick Young v Kenneth John Lamb & Ors JUDGMENT OF : Mason P at 1; Stein JA at 2; Hodgson JA at 63

LOWER COURT JURISDICTION : Supreme Court - Equity Division LOWER COURT ED 5096/98 FILE NUMBER(S) : LOWER COURT Austin J JUDICIAL OFFICER :

COUNSEL : Appellant - M J Heath Respondents - R Colquhoun SOLICITORS : Appellant - Button Hawdon & McMahon Respondents - Daryl A Hurst CATCHWORDS : PROPERTY LAW - renewal of lease - whether option to renew exercised - whether an expression of an intention is binding - PROPERTY LAW - renewal of lease - service of notice of renewal - whether service on agent sufficient - COMPANY LAW - Partnership Act 1892 - whether had ostensible or implied authority - whether renewal of lease is business in the 'usual way' - D Conveyancing Act 1919 - s 170 LEGISLATION CITED : Partnership Act 1892 - ss 5 and 6 Partnership Act 1890 (UK) - s 5 Ballas v Theophilos (No 2) (1957) 98 CLR 193 Bava Holdings Pty Ltd v Pando Holdings Pty Ltd (1998) NSW Conv R 55862 Beyfus v Greene (1856-57) VLT 348 Booker Industries Pty Ltd v Wilson Parking (Qld) Pty Ltd (1982) 149 CLR 600 Carter v Hyde (1923) 33 CLR 115 Chan v Zacharia (1984) 154 CLR 178 Codelfa Construction Pty Ltd v SRA (1982) 149 CLR 337 Construction Engineering (Aust) Pty Ltd v Hexyl Pty Ltd (1985) 155 CLR 541 CASES CITED: James v Daniel [1894] 2 Ch 332 Mann v D'Arcy [1968] 2 All ER 172 Mandelberg v Adams (1930) 31 SR (NSW) 50 Mercantile Credit Co Ltd v Ganod & Anor [1962] 3 All ER 1103 Prudential Assurance Co Ltd v Health Minders Pty Ltd (1987) 9 NSWLR 673 Quadling v Robinson (1976) 137 CLR 192 Townsend Carriers Ltd v Pfizer Ltd (1977) 33 Prop & Comp R 361 Union Bank of Australia v Fisher (1893) 14 LR (NSW) Eq 241 Zacharia v Ajay Investments Pty Ltd (No 1) (1983) 33 SASR 395 DECISION : 1. Appeal upheld with costs. 2. Respondents to receive a certificate under the Suitor's Fund Act 1951 for the costs of the appeal if otherwise entitled. 3. Set aside the orders made by the Court below. 4. In lieu thereof, declare that the respondents by letter dated 22 July 1998 validly exercised an option to renew the subject lease of Unit 15, Capital Coast Centre, Queen Street, Moruya and that the respondents have repudiated the agreement to renew the lease constituted by the exercise of the option. 5. The respondents pay the appellant's costs of the proceedings below. 6. Remit to the Equity Division to assess the damages to be awarded to the appellant.