SMITS & ORS v ROACH & ORS [2004] NSWCA 233

Reported Decision : 60 NSWLR 711

New South Wales Court of Appeal

CITATION : SMITS & ORS v ROACH & ORS [2004] NSWCA 233 revised - 15/07/2004 HEARING DATE(S) : 24 May 2004, 25 May 2004, 26 May 2004 JUDGMENT DATE : 15 July 2004

JUDGMENT OF : Sheller JA at 1; Ipp JA at 98; Bryson JA at 99 DECISION : 1 Appeal allowed; 2 Set aside orders 1-4 made by McClellan J on 6 August 2002; 3 In lieu thereof ; (a) Dismiss the proceedings against Mr and Mrs Roach; (b) The appellants within fourteen days to bring in short minutes of orders for specific performance by the Roach companies of the agreement made on or about 16 September 1999 (the Ten Point Plan); 4 The appellants to pay Mr and Mrs Roach's costs of the proceedings and of this appeal on a party and party basis; 5 The Roach companies to pay one-half of the appellants' costs of the proceedings before McClellan J and of this appeal but in respect of the costs of this appeal to have a certificate under the Suitors' Fund Act 1951 if so entitled.

CATCHWORDS : RETAINER AGREEMENT - champertous agreement - Legal Profession Act 1987 - if recovery contingent upon successful outcome - repudiation - whether repudiation accepted - specific performance of agreement, apprehended bias - whether judge should have disqualified himself - whether waived right to seek disqualification Builders Licensing Act 1971 Fair Trading Act 1987 LEGISLATION CITED : Legal Profession Act 1987 Maintenance and Champerty Abolition Act 1993 Trade Practices Act 1974 Awwad v Geraghty & Co (a firm) [2001] QB 570 Bank Nationalisation case (Bank of New South Wales v The Commonwealth (1948) 76 CLR 1 Blackburn, Low & Co v Vigors (1887) LR 12 App Cas 531 Cachia v Isaacs (1995) 3 NSWLR 366 Clyne v The New South Wales Bar Association (1960) 104 CLR 186 Dimes v Proprietors of Grand Junction Canal (1852) 3 HL Cas 759; (1852) 10 ER 301 Dovade Pty Ltd v Westpac Banking Group (1999) 46 NSWLR 168 Ebner v Official Trustee in Bankruptcy (2000) 205 CLR 337 Fitzgerald v F J Leonardt Pty Ltd (1997) 189 CLR 215 Herman v Jeuchner (1885) 15 QBD 561 Hogarth v Gye (2002) NSWSC 32 Holman v Johnson (1775) 1 Cowp 341; 98 ER 1120 CASES CITED : Independent Grocers Co-operative Ltd v Noble Lowndes Superannuation Consultants Ltd (1993) 60 SASR 525 Kearley v Thomson [1890] 24 QB 742 Magic Menu Systems Pty Ltd v AFA Facilitation Pty Ltd (1997) 72 FCR 261 McGowan v Commissioner of Stamp Duties (2001) 47 ATR 357 Nelson v Nelson (1995) 184 CLR 538 Pavey & Matthews Proprietary Ltd v Paul (1987) 162 CLR 221 Permanent Trustee Australia Limited v FAI General Insurance Company Ltd (2001) NSWCA 20 Permanent Trustee Australia Limited v FAI General Insurance Company Ltd (in Liquidation) (2003) 77 ALJR 1070 Thai Trading Co v Taylor & Anor [1998] QB 781 Underwood Son & Piper v Lewis [1894] 2 QB 306 Vakauta v Kelly (1989) 167 CLR 568 Webb v The Queen (1994) 181 CLR 41 Wild v Simpson [1919] 2 KB 544 Yango Pastoral Company Pty Ltd v First Chicago Australia Ltd (1978) 139 CLR 410 Leonardus Geradus Smits - First Appellant John Anthony Leslie - Second Appellant Plantoy Pty Ltd - Third Appellant PARTIES : Walter Edward Roach - First Respondent Valerie Anne Roach - Second Respondent Winnote Pty Ltd - Third Respondent Sydtech Pty Ltd - Fourth Respondent FILE NUMBER(S) : CA 40753/02 COUNSEL : J M Ireland QC - Appellants R M Smith SC/T G R Parker - Respondents SOLICITORS : N/A Maurice Blackburn Cashman - Respondents