Linfox Transport (Aust) Pty Ltd v Arthur Yates & Co Ltd; Dynamic Lifter Pty Ltd v Linfox Transport (Aust) Pty Ltd [2004] NSWSC 943

New South Wales Supreme Court

CITATION : Linfox Transport (Aust) Pty Ltd v Arthur Yates & Co Ltd; Dynamic Lifter Pty Ltd v Linfox Transport (Aust) Pty Ltd [2004] NSWSC 943 HEARING DATE(S) : 3 /11/2002 - 18/2/2004 JUDGMENT DATE : 21 October 2004

JURISDICTION: Equity Division Commercial List JUDGMENT OF : Brownie AJ DECISION : In proceeding No 50125/2000 I give judgment for the plaintiff against the defendant for $706,917 and judgment for the cross-claimant against the cross-defendant for $4,983,218. In proceeding No.50112/2003 I give judgment for the defendant.

CATCHWORDS : A claim by Linfox against Yates was compromised during the hearing. Yates brought a cross-claim against Linfox, essentially for breach of a contract to project manager a move from one Yates warehouse to another. The contract had been made informally. Several questions were litigated, and resolved in accordance with established principles, concerning the terms of the contract. - Illegality: Linfox said that Yates' claim for damages was defeated because it involved the occupation and use of a new building, without an occupation certificate, in breach of s109 M (i) of the Environmental Planning and Assessment Act 1979. Defence rejected. - Practice and Procedure: In an action in contract, as in an action in negligence, it may be appropriate to direct a party to amend its pleadings, so as to reflect the issues litigated. - Evidence: inferences to be drawn from the failure to call a witness - no inference if the evidence would go only to questions about credit. - Damages: held that certain claims in respect of lost sales to hypothetical questions, to be assessed not on the balance of probabilities, but upon an assessment of the probabilities. - Damages: it is not an essential ingredient to a claim for loss of profits on the sale of goods that the claimant owns the goods. - Legal Practitioners: Directions given about possible misconduct and possible costs orders. Corporations Act 2001 (Cth) Environmental Planning and Assessment Act 1979 LEGISLATION CITED : Evidence Act 1997 Insurance Contracts Act 1984 (Cth) Supreme Court Act 1970 (NSW) Trade Practices Act Alexander v Cambridge Credit Corporation Limited (1987) 9 NSWLR 310 Allen v Tobias (1958) 98 CLR 367 Allied Maples Group Limited v Simmons & Simmons [1995] 1 WLR 1602 Armory v Delamirie (1722) 1 Stra 505, 93 ER 664 Babcock International Ltd v Babcock Australia Ltd [2003] NSWCA 6; 56 NSWLR 51 Biggin & Co Limited v Permanite Limited [1951] 1 KB 422 BP Refinery (Westernport) Pty Ltd v Hastings Shire Council (1977) 180 CLR 266 Brambles Holdings Ltd v Bathurst City Council (2001) 53 NSWLR 153 Browne v Dunn (1893) 6 R 67 Byrne & Frew v Australian Airlines Ltd (1995) 185 CLR 410 Commercial Union Assurance Company of Australia Limited v Ferrcom Pty Limited & Anor (1991) 22 NSWLR 389 Commonwealth of Australia v Amann Aviation Pty Limited (1991) 174 CLR 64 Davies v Taylor [1974] AC 207 Fink v Fink (1946) 74 CLR 127 Fitzgerald v F J Leonhardt Pty Ltd (1997) 189 CLR 215 GEC Marconi Systems Pty Ltd v BHP Information Technology Pty Ltd [2003] FCA 50 G R Securities Pty Ltd v Baulkham Hills Private Hospital Pty Ltd (1986) 40 NSWLR 631 Hawkins v Clayton (1988) 164 CLR 539 Henville v Walker (2001) 206 CLR 459 Holman v Johnson (1775) 1 Cowp 341; 98 ER 1120 Houghton v Immer (No 155) Pty Limited (1997) 44 NSWLR 46 I & L Securities Pty Limited v HTW Valuers (Brisbane) Limited (2002) 210 CLR 109 Industrial Rollformers Pty Ltd v Ingersoll-Rand (Australia) Ltd [2001] NSWCA 111 Insurance Commissioner v Joyce (1948) 77 CLR 39 Integrated Computer Services Pty Ltd v Digital Equipment Corporation (Australia) Pty Ltd (1988) 5 BPR 11,110 CASES CITED : Leotta v Public Transport Commission (NSW) (1976) 50 ALJR 666 L J P Investments Pty Limited v Howard Chia Investments Pty Limited (No 2) (1990) 24 NSWLR 499 Makita (Australia) Pty Limited v Sprowles (2001) 52 NSWLR 705 Malec v JC Hutton Pty Limited (1990) 169 CLR 638 Maloney v Commissioner for Railways (NSW) (1978) 52 ALJR 292 March v E & M H Stramare Pty Limited (1991) 171 CLR 506 Mummery v Irvings Pty Ltd (1956) 96 CLR 99 Murphy v Overton Investments Pty Limited (2004) 78 ALJR 324 Nelson v Nelson (1995) 184 CLR 538 Nilon v Bezzina [1988] 2 Qd R 420 Ophelia, The [1916] 2 AC 206 Payne v Parker [1976] 1 NSWLR 191 Placer (Granny Smith) Pty Limited v Thiess Contractors Pty Limited (2003) 77 ALJR 768 Poseidon Limited & Sellars v Adelaide Petroleum NL (1994) 179 CLR 332 Ratcliffe v Evans [1892] 2 QB 524 Richardson v Mellish Robinson v Harman (1848) 1 Exch 850; 154 ER 363 Sabag v Health Care Complaints Commission [2001] NSWCA 411 Shorey v P T Limited (2003) 197 ALR 410 Sinclair Scott & Co Ltd v Naughton (1929) 43 CLR 310 SS Pharmaceutical Company Ltd v Qantas Airways Ltd [1991] 1 Lloyd's Rep 288 State of New South Wales v Moss (2000) 54 NSWLR 536 Water Board v Moustakas (1988) 180 CLR 491 Watts v Rake (1960) 108 CLR 158 White v Australian and New Zealand Theatres Ltd (1943) 67 CLR 266 White v Overland [2001] FCA 1333 Linfox Transport (Aust) Pty Ltd (Plaintiff in 50125/2000, Defendant in 50112/2003) PARTIES : Arthur Yates & Co Ltd (Defendant in 50125/2000) Dynamic Lifter Pty Ltd (Plaintiff in 50112/2003) FILE NUMBER(S) : SC 50125/2000; 50112/2003 COUNSEL : Mr SK Wilson QC, Mr GL Meehan (Plaintiff in 50125/2000, Defendant in 50112/2003) Mr RM Smith SC, Mr NJ Kidd (Defendant in 50125/2000, Plaintiff in 50112/2003) SOLICITORS : Corrs Chambers Westgarth (Plaintiff in 50125/2000, Defendant in 50112/2003) Coudert Brothers (Defendant in 50125/2000, Plaintiff in 50112/2003)