PATTERSON v. BRUINSMA & 2 ORS [2004] NSWCA 279

Reported Decision : (2004) Aust Torts Reports 81-769

New South Wales Court of Appeal

CITATION : PATTERSON v. BRUINSMA & 2 ORS [2004] NSWCA 279 HEARING DATE(S) : 31/05/2004 JUDGMENT DATE : 23 September 2004

JUDGMENT OF : Handley JA at 1; Sheller JA at 2; Bryson JA at 3 DECISION : Appeal dismissed with costs.

CATCHWORDS : PROFESSIONAL NEGLIGENCE – solicitor- acted for developer and homeowners in complex development agreement providing for demolition of 2 houses, construction of 5 units, sale of 3 units, homeowners to receive 1 unit + $100,000 each and developer to pay expenses and keep proceeds – decisions on construction of development agreement as to holding and applying parts of purchase prices received in advance of settlement- decisions on duty of care owed by solicitor to homeowners in dealings between them and his other client the developer- solicitor held liable to indemnify homeowners against liability for damages they incurred to purchaser of one unit when sale could not be completed as developer misapplied proceeds of sale- decision on complex special facts and construction of agreement. LEGISLATION CITED : Contracts Review Act 1980 Hawkins v. Clayton (1990) 164 CLR 539 CASES CITED : March v. E & M N Stramare Pty Ltd (1991) 171 CLR 506 Bullock v London General Omnibus Company [1906] 1 KB 264 Harkins v. Butcher & Anor (2002) 55 NSWLR 558 PARTIES : Dean Anthony Patterson t/as DA Patterson Partners - Appellant Peter Bruinsma, Clara Adriana Bruinsma, William Cecil Mansfield & June Mansfield - Respondents FILE NUMBER(S) : CA 40398 of 2003 COUNSEL : D. Davies SC and A.M. Colefax - Appellant J. Anderson - Respondents SOLICITORS : Colin Biggers & Paisley - Appellant Gibson Howlin - Respondents