Ateco Automotive Pty Limited v Business Bytes Pty Limited Business Bytes Pty Limited v Ateco Automotive Pty Limited [2003] NSWSC 197

New South Wales Supreme Court

CITATION : Ateco Automotive Pty Limited v Business Bytes Pty Limited Business Bytes Pty Limited v Ateco Automotive Pty Limited [2003] NSWSC 197 HEARING DATE(S) : 16-18 December 2002; 3-4 February 2003 JUDGMENT DATE : 31 March 2003

JURISDICTION: Equity Division Commercial List JUDGMENT OF : McClellan J DECISION : 50146/01 Summons dismissed; 50171/01 Verdict and judgment for plaintiff

CATCHWORDS : CONTRACT - breach of contract - contract for provision of new computer system to vehicle distributorship - system allegedly faulty - expert evidence that problems with system were confined to one area and that installation of system was poorly managed by plaintiff, particularly in failure to provide "Requirements Analysis" to defendant - damages claimed only in terms of replacing system entirely - whether system so inadequate that plaintiff received no effective benefit and was entitled to cost of replacing system entirely - whether total failure of consideration - whether defendant entitled to recovery of its fees, claimed in separate proceedings - Held: plaintiff's claim dismissed as plaintiff received significant value for work done by defendant - defendant entitled to recover fees LEGISLATION CITED : Sections 52, 82 Trade Practices Act 1974 Butterworth v Kingsway Motors [1954] 1 WLR 1286 CASES CITED : David Securities Pty Ltd v Commonwealth Bank of Australia (1992) 175 CLR 353 McDonald v Dennings Lascelles Ltd (1938) 48 CLR 457 Rowland v Divall [1923] 2 KB 500 Ateco Automotive Pty Limited (Pltf) PARTIES : Business Bytes Pty Limited (1D) Maurice Patrick Villari (2D) FILE NUMBER(S) : SC 50146/01 50171/01 COUNSEL : G A Sirtes (Pltf) F P Donohoe (Defs) SOLICITORS : Letherbarrow Lawyers (Pltf) Lenehan & Co (Defs)