State of New South Wales v. R.T. & Y.E. Falls Investments Pty. Ltd.; R.T. & Y.E. Falls Investments Pty. Ltd. v. State of New South Wales [2003] NSWCA 54

57 NSWLR 1 Reported Decision : (2003) ATPR (Digest) 46-233 (2003) Aust Contract Reports 90-175

New South Wales Court of Appeal

CITATION : State of New South Wales v. R.T. & Y.E. Falls Investments Pty. Ltd.; R.T. & Y.E. Falls Investments Pty. Ltd. v. State of New South Wales [2003] NSWCA 54 HEARING DATE(S) : 18 and 19 February 2003 JUDGMENT DATE : 25 March 2003

JUDGMENT OF : Spigelman CJ at 1; Sheller JA at 46; Hodgson JA at 62 DECISION : 1. The appeal of the State of New South Wales (CA40990/01) allowed and orders below set aside. 2. FI to pay the State of New South Wales' costs of that appeal and to have a Suitors Fund certificate if otherwise entitled. 3. Appeal of FI (CA41073/01) dismissed with costs. 4. Verdict and judgment for the State of New South Wales on FI's claims in contract, estoppel, and under the Fair Trading Act. 5. FI's claim in negligence and all questions of costs of the first instance proceedings remitted to Palmer J for further consideration in accordance with the judgment of the Court of Appeal.

CATCHWORDS : ESTOPPEL - Representation that approval of proposal "highly likely" - Representee acts to detriment in belief that was "safe to proceed" - Whether estoppel created. - TRADE PRACTICES - Fair Trading Act - Binding on Crown in so far as it "carries on a business" - Crown acquires and disposes of cattle pursuant to a compensation scheme - Whether Crown thereby carrying on a business. Fair Trading Act 1987 ss.3, 4, 41, 42 LEGISLATION CITED : Cattle Compensation Act 1951 ss.3, 5, 6, 7, 8 Stock Diseases Act 1923 ss.3, 8. Australian Securities Commission v. Marlborough Gold Mines Ltd. (1993) 177 CLR 485 Commonwealth of Australia v. Verwayen 91990) 170 CLR 394 Corrections Corporation of Australia Pty. Ltd. v. Commonwealth (2000) 104 FCR 448 J.S. McMillan Pty. Ltd. v. Commonwealth (1997) 77 FCR 337 Legione v Hateley (1983) 152 CLR 435-7 Mid-Density Development Pty. Ltd. v. Rockdale Municipal Council (1992) 39 FCR 579 CASES CITED : N.T. Power General v. Power & Water Authority [2002] FCAFC 302 Paramedical Services Pty. Ltd. v. The Ambulance Service of NSW [1999] FCA 548 Saitta Pty. Ltd. v. Commonwealth (2001) 162 FCR 35 Sirway Asia Pacific Pty. Ltd. v. Commonwealth [2000] FCA 1152 Standard Chartered Bank Aust. Ltd. v. Bank of China (1991) 23 NSWLR 164 Tame v. New South Wales (2002) 76 ALJR 1348 Walton Stores (Interstate) Ltd. v. Maher (1988) 164 CLR 387 PARTIES : State of New South Wales R.T. & Y.E. Falls Investments Pty. Limited FILE NUMBER(S) : CA 40990/01; 41073/01 COUNSEL : Mr. S. Gageler SC with Mr. G. Laughton for State of NSW Mr. P.T. Taylor for R.T. & Y.E. Falls Inv. P/L SOLICITORS : Crown Solicitor's Office Sydney for State of NSW Taylor & Whitty, Finley for R.T. & Y.E. Falls Inv. P/L