Notaras & Anor v Hugh & Ors [2003] NSWSC 440

New South Wales Supreme Court

CITATION : Notaras & Anor v Hugh & Ors [2003] NSWSC 440 17-20, 24-27 February 2003 HEARING DATE(S) : 3-6, 10, 11, 13, 17-21 March 2003 4, 14, 28-30 April 2003 1, 5-9 May 2003 JUDGMENT DATE : 29 May 2003 JURISDICTION: Common Law JUDGMENT OF : Sperling J at 1 DECISION : (1) Verdict and judgment for the defendants in each of the proceedings, with costs; (2) Liberty to apply for any other order, my associate to be notified of any such application within fourteen days from today's date.

CATCHWORDS : Negligence - professional negligence - action against solicitors - alleged fault in failing to apply for an injunction to prevent sale of properties - whether solicitors at fault - principles relating to loss of a chance - whether s57(2)(b) notices invalid for want of default as specified - whether error as to amount significant - whether capitalised interest is "interest" - whether a clause in the mortgages satisfied s58A - whether available default not involving non-payment - whether more than a negligible chance of obtaining an injunction on ground of no effective power of sale or otherwise - whether loss suffered because no injunction obtained Contracts Review Act 1980 LEGISLATION CITED : Corporations Law, s460 Real Property Act 1900, s57, s58, s58A Abalcheck Pty Ltd v Pullen (Hodgson J, Supreme Court of NSW, 26 June 1990, unreported) Bank of New South Wales v Brown (1983) 151 CLR 514 Daniels v Anderson (1995) 37 NSWLR 438 Feletti v Kontoulas [2000] NSWCA 59 Grose v St George Commercial Credit Corporation Ltd (1991) NSW ConvR 55-586 Harvey v McWatters (1948) SR(NSW) 173 Heydon v NRMA Ltd (2000) 51 NSWLR 1 Inglis v Commonwealth Trading Bank of Australia (1971) 126 CLR 161 Inland Revenue Commissioner v Oswald [1945] AC 360 CASES CITED : Isherwood v Butler Pollnow Pty Ltd (1986) 6 NSWLR 363 Malec v J C Hutton (1990) 169 CLR 638 MCP Muswellbrook Pty Ltd v Deutsche Bank AG (1988) 12 NSWLR 16 R J Wood Pty Ltd v Sherlock (Davies J, Federal Court of Australia, 18 March 1988, Unreported) Sellars v Adelaide Petroleum NL (1992) 179 CLR 332 Sibard Pty Ltd v AGC (Advances) Pty Ltd (1992) 4 BPR 13,178 Sinclair v SSET Constructions Pty Ltd [2002] NSWCA 125 Topfelt Pty Ltd v State Bank of NSW (1993) 4 BPR 13,209 Websdale v S & J D Investments Pty Ltd (1991) 24 NSWLR 573 Williams & Glyn's Bank Ltd v Barnes [1981] Com LR 205 Wongala Holdings Pty Ltd v Mulinglebar Pty Ltd (1994) 6 BPR 13,527 Irene Notaras PARTIES : Enijar Pty Ltd Robert Duncan Hugh, Justin Simon Adam, Robert Warwick Anderson, Michael John Astill, John Ashton Beardow, Jeremy James Bingham, Brian Harvey Davidson, Christopher Lee Davies, Sandra Katherine Dibella, Roger Andrew Fitzsimmons, Ronald William Forster, Andrew Dymock Forsyth, Ross Walter Forsyth, Terence Brian Grace, Robert Gordon Haines, Edward Lindsay Roux Houghton, Heather Patricia Irish, Stanley Simon Kalinko, Paul Joseph Larbalestier, Richard Geoffrey Lewis, Donald Gordon Mackay, Andrew John Tunmer Martin, Russell Victor Miller, Robert Keith Newton, Warwick Philip O'Rourke, Neal Findlay Shirras Parkinson, Mahla Liane Pearlman, Timothy George Peken, Warren James Pengilly, Martin Cassimer Przybylski, Graham Leonard Raffell, Michael Bernard Reymond, Barry Gordon Richardson, Peter Ronald Rigg, Paul William Robinson, Ross Edward Seller, Margaret Siddis, Ruth Lindsay Stringer, Mark Ferdinand Treffers, John Frederick Warburton, John Bede Weber, Jennifer Helen Wily, Ian Stuart Wylie & Michael Rodney Wynter t/a Sly & Weigall Solicitors (20217/98) Graeme Solomon Newman & Kosmas Psaltis t/a Newman Psaltis & Co (20212/98) FILE NUMBER(S) : SC 20217/98; 20212/98 Mr R Evans with Mr J Whyte for the Plaintiffs COUNSEL : Mr J Sackar QC with Mr R Hollo for the Defendants in 20217/98 Mr D Davies SC with Mr J Downing for the Defendants in 20212/98 McKells Solicitors for the Plaintiffs SOLICITORS : Minter Ellison for the Defendants in 20217/98 Ebsworth & Ebsworth for the Defendants in 20212/98