Randwick City Council v Nancor Trading Co. Pty Ltd [2002] NSWCA 108

Reported Decision : (2002) 120 LGERA 261 (2003) NSW ConvR 56-036

New South Wales Court of Appeal

CITATION : Randwick City Council v Nancor Trading Co. Pty Ltd [2002] NSWCA 108 FILE NUMBER(S) : CA 40655/01 HEARING DATE(S) : 27 February 2002 JUDGMENT DATE : 1 May 2002

PARTIES : Randwick City Council (Appellant) Nancor Trading Co. Pty Ltd (Respondent) JUDGMENT OF : Mason P at 1; Stein JA at 2; Santow JA at 63

LOWER COURT JURISDICTION : District Court LOWER COURT DC 204/00 FILE NUMBER(S) : LOWER COURT Rolfe DCJ JUDICIAL OFFICER :

COUNSEL : R Forster SC/A J Thompson (Appellant) P Brereton SC/M Cohen (Respondent) SOLICITORS : Bowen & Gerathy (Appellant) Stephen Wawn & Associates (Respondent) CATCHWORDS : LOCAL GOVERNMENT - powers, functions and duties of councils generally - call for tender for the operation of kiosk - tender accepted - kiosk demolished by council - CONTRACT - general contractual principles - offer and acceptance - agreement of terms - Masters v Cameron (1954) 91 CLR 353 - whether acceptance of tender was conditional - whether a legally binding agreement existed - intention of parties at time of making agreement - construction of the terms of the licence agreement - whether draft plan of management was part of the terms and conditions of the tender - CROSS-APPEAL - costs - District Court Rules, Part 39A rule 25(4) - COSTS - D District Court Rules, Part 39A rule 25(4) LEGISLATION CITED : Local Government Act 1993 Local Government (Tendering) Regulation Baulkham Hills Private Hospital Pty Ltd v G R Securities Pty Ltd (1986) 40 NSWLR 622 Brunninghausen v Glavanics (1999) 46 NSWLR 538 CASES CITED: Masters v Cameron (1954) 91 CLR 353 Sinclair, Scott & Co v Naughton (1929) 43 CLR 310 Solle v Butcher [1950] 1 KB 671 Taylor v Johnson (1983) 151 CLR 422 DECISION : 1. Appeal allowed in part. 2. The verdict and judgment for the plaintiff in the sum of $469,506.46 be set aside and in lieu thereof substitute a verdict and judgment for the plaintiff in the sum of $407,061.00. 3. Set aside his Honour's orders as to costs made on 21 August 2001 and substitute therefor an order that the appellant pay the respondent's costs of the trial on a solicitor and client basis. 4. Order the appellant to pay 80% of the respondent's costs of the appeal. 5. Cross-Appeal allowed with costs.