MacDonald Holdings (QLD) Pty Limited v Nikolas [2007] NSWSC 552

New South Wales Supreme Court

CITATION : MacDonald Holdings (QLD) Pty Limited v Nikolas [2007] NSWSC 552

HEARING DATE(S) : 9, 10, 12, 16, 17, 18, 23, 26 October 2006 and 26 February 2007

JUDGMENT DATE : 4 June 2007

JURISDICTION : Equity Division Commercial List

JUDGMENT OF : Bergin J

DECISION : Plaintiffs entitled to entry of judgment against the third defendant. Claims against first and second defendants dismissed. Cross-claim dismissed.

CATCHWORDS : [CONTRACT] - Whether terms for payment regime when "business performance" is "lower than expected" uncertain - Whether uncertain terms can be severed - Whether terms providing for payment of rental for full term of terminated agreement "liquidated damages" or "a penalty" - [MISLEADING OR DECEPTIVE CONDUCT] - Whether alleged misrepresentation made - Whether false - Whether reliance

Civil Procedure Act 2005 (NSW) LEGISLATION CITED : Fair Trading Act 1987 (NSW) Industrial Relations Act 1996 (NSW) Trade Practices Act 1974 (Cth)

Boucaut Bay Co Limited (in liquidation) v The Commonwealth (1927) 40 CLR 98 Brew v Whitlock (No 2) [1967] VR 803 David Jones Limited v Lunn (1969) 91 WN (NSW) 468 Dunlop Pneumatic Tyre Co Limited v New Garage and Motor Co Limited [1915] AC 79 Esanda Finance Corp Limited v Plessnig (1989) 166 CLR 131 CASES CITED : Fitzgerald v Masters (1956) 95 CLR 420 O'Dea v Allstates Leasing System (W.A.) Pty Limited (1983) 152 CLR 359 State of New South Wales v Banabelle Electrical Pty Limited (2002) 54 NSWLR 503 The Life Insurance Company of Australia Limited v Phillips (1925) 36 CLR 60 Trawl Industries of Australia Pty Limited v Effem Foods Pty Limited (trading as "Uncle Bens Of Australia") (1992) 27 NSWLR 326 Whitlock v Brew (1968) 118 CLR 445