MURRAY IRRIGATION LTD v BALSDON [2006] NSWCA 253

Reported Decision : 159 IR 52

New South Wales Court of Appeal

CITATION: MURRAY IRRIGATION LTD v BALSDON [2006] NSWCA 253

HEARING DATE(S): 01/08/2006

JUDGMENT DATE: 19 September 2006

JUDGMENT OF: Handley JA at 1; Ipp JA at 2; Bryson JA at 3

DECISION: Appeal allowed - see [60]

CATCHWORDS: EMPLOYMENT – termination – non-standard contractual terms dealing with termination and notice - Respondent employed on two-year contract as Manager Maintenance, Deniliquin was dismissed without notice for alleged breach in failing to give information required by employer about its affairs and property - Clause 36.2.8 provided "Termination of employment by MIL shall not be harsh, unjust or unreasonable" – clause 17 provided for payment of three months' wages in lieu of notice "… except in cases of acts of delinquency or incompetence." - respondent refused to give information because information asked for was relevant to criminal charges which Police had brought against him - held that in the circumstances insisting on information and terminating for breach was harsh, unjust or unreasonable and was in breach of contract - employment was terminated but employer was liable to damages for failing to give three months' notice - consideration whether respondent entitled to damages for loss of prospects of further employment after expiry of current two-year contract - held that he was not.

Constitution s.51(xxix) Crimes Act 1900 (NSW) s.249 LEGISLATION CITED: Industrial Relations Act 1996 (NSW) s.84(1) Industrial Relations Act 1988 (Cth) s.170DE(1) & (2) Suitors' Fund Act 1951 (NSW)

Associated Dominion Assurance Society Pty Ltd v Andrew & Haraldson (1949) 49 SR (NSW) 351 Baker v Commissioner of The Australian Federal Police (2000) 104 FCR 359 Commonwealth Of Australia v Amann Aviation Pty Ltd (1991) 174 CLR 64 Hadley v Baxendale (1854) 9 Exchequer 341 In Re Dispute – Board of Fire Commissioners Re Reports [1971] AR (NSW) 615 Kilburn v Enzed Precision Products (Australia) Pty Ltd (1988) 5 VIR 31 Martin v Tasmania Development And Resources [1999] FCA 593 CASES CITED: New South Wales Cancer Council v Sarfaty (1992) 28 NSWLR 68 Patty v Commonwealth Bank Of Australia (2000) 179 ALR 57 Re Matthews [2001] WASC 61 Regina v Travers (1957) 58 SR (NSW) 85 Reid v Howard (1995) 184 CLR 1 Ridge v Baldwin [1964] AC 40 State of Victoria v Commonwealth Of Australia (1996) 187 CLR 416 Tasmania Development & Resources v Martin [2000] FCA 414, (2000) 97 IR 66 Walker v Citigroup Global Markets Australia Pty Ltd [2006] FCAFC 101