Mulkearns v Chandos Developments Pty Ltd (No 4) [2005] NSWSC 511

New South Wales Supreme Court

CITATION : Mulkearns v Chandos Developments Pty Ltd (No 4) [2005] NSWSC 511

HEARING DATE(S) : 09/03/05

JUDGMENT DATE : 1 June 2005

JURISDICTION : Equity Division

JUDGMENT OF : Young CJ in Eq

DECISION : Defendant to pay second plaintiff $297,209.

CATCHWORDS : CONVEYANCING [74][95]- Breach- Vendor paid licence fees for occupation of purchaser- Fees to be deducted from balance of purchase monies- Breach by purchaser- Whether recovery allowed to purchaser- Whether purchaser to be compensated for increase in value of property because of improvements made whilst in possession- Whether deposit should be forfeited. ESTOPPEL [41]- Election- Forensic election- Plaintiff chose not to pursue claim for deposit at original hearing- No evidence that plaintiff needed to choose between two inconsistent courses. EVIDENCE [96]- Without prejudice offer of settlement- Admissible for purpose of contradicting evidence that may mislead Court- Evidence Act 1995, s 131(2)(g). PROCEDURE [107]- Notice of motion- Return of deposit- Capacity of Court to hear motion for return of deposit where claim not made in original specific performance suit- Preferable for deposit claim to be heard simultaneously with specific performance suit but not imperative.

Conveyancing Act 1919, s 55(2A) Evidence Act 1995, s 131 LEGISLATION CITED : Law of Property Act 1925 (Eng), s 49(2) Supreme Court Act 1970, s 63 Trade Practices Act 1974 (Cth)

Bennett v Stuart (1927) 27 SR (NSW) 317 Benyon v Wongala Holdings Pty Ltd (1999) 9 BPR 16,781 Bernard v Weingarth (1997) 8 BPR 15,651 Berry v Mahony [1933] VLR 314 Brown v Federal Commissioner of Taxation (2001) 187 ALR 714 Carringville Pty Ltd v The Gatto Group Pty Ltd (2003) 11 BPR 21,069 Clancy v Salienta Pty Ltd (2000) 11 BPR 20,425 Clarke v Dilberovic (1982) NSW Conv R 55-083 Clurstock Pty Ltd v Timanu Pty Ltd (1988) NSW Conv R 55-419 Eighth SRJ Pty Ltd v Merity (1997) 7 BPR 15,189 Forgeard v Shanahan (1994) 35 NSWLR 206 Harkins v Butcher (2002) 55 NSWLR 558 Hasanovic v Polistena (1982) NSW Conv R 55-078 Heyman v Darwins Ltd [1942] AC 356 Howe v Smith (1884) 27 Ch D 89 Huber v Conroy [1982] 2 NSWLR 143 Hythe Corp v East (1866) LR 1 Eq 620 Inmer (No 145) Pty Ltd v Uniting Church in Australia Property Trust (NSW) (1993) 182 CLR 26 James Macara Ltd v Barclay [1944] 2 All ER 31 James Macara Ltd v Barclay [1945] KB 148 Laird v Pim (1841) 7 M & W 474; 151 ER 852 Lexane Pty Ltd v Highfern Pty Ltd [1985] 1 Qd R 446 Lucantonio v Ciofuli (2003) 11 BPR 21,181 Lucas & Tait (Investments) Pty Ltd v Victoria Securities Ltd [1973] 2 NSWLR 268 CASES CITED : McDonald v Dennys Lascelles Ltd (1993) 48 CLR 457 One Spencer St Pty Ltd v Maryland International Pty Ltd [2005] NSWSC 275 PC Developments Pty Ltd v Revell (1991) 22 NSWLR 615 Poort v Development Underwriting (Victoria) Pty Ltd [1976] VR 779 Poort v Development Underwriting (Victoria) Pty Ltd (No 2) [1977] VR 454 Port of Melbourne Authority v Anshun Pty Ltd (1981) 147 CLR 589 Pratt v Hawkins (1991) 32 NSWLR 319 Ramsden v Dyson (1866) LR 1 HL 129 Romanos v Pentagold Investments Pty Ltd (2003) 77 ALJR 1882 Schindler v Pigault (1975) 30 P & CR 328 Shevill v Builders Licensing Board (1980) 2 BPR 9662 Shevill v Builders Licensing Board (1982) 149 CLR 620 Southcomb v Exeter (Bishop) (1847) 6 Hare 213; 67 ER 1145 Sunstar Fruit Pty Ltd v Cosmo [1995] 2 Qd R 214 Tanwar Enterprises Pty Ltd v Cauchi (2002) NSW Conv R 55-994 Tanwar Enterprises Pty Ltd v Cauchi (2003) 77 ALJR 1853 Terry v Permanent Trustee Australia Ltd (1995) 6 BPR 14,091 Timanu Pty Ltd v Clurstock (1988) 15 NSWLR 338 Todd v Gee (1810) 17 Ves 273; 34 ER 106 Universal Corp v Five Ways Properties Ltd [1978] 3 All ER 1131 Universal Corp v Five Ways Properties Ltd [1979] 1 All ER 552 Webster v Havyn Pty Ltd [2004] NSWSC 227 Westmacott v Robins (1862) 4 De GF & J 390; 45 ER 1234 Wight v Foran (1987) 11 NSWLR 470