United Group Rail Services Limited v Rail Corporation New South Wales [2009] NSWCA 177

Reported Decision: 74 NSWLR 618

New South Wales Court of Appeal

CITATION: United Group Rail Services Limited v Rail Corporation New South Wales [2009] NSWCA 177

HEARING DATE(S): 3 June 2009

JUDGMENT DATE: 3 July 2009

JUDGMENT OF: Allsop P at 1; Ipp JA at 100; Macfarlan JA at 101

DECISION: Appeal dismissed with costs.

CATCHWORDS: CONTRACTS - Certainty of terms - agreement to undertake genuine and good faith negotiations in a commercial dispute resolution clause - sufficient certainty to be valid and enforceable - meaning - CONTRACTS - certainty of terms - severance - mediation agreement void for uncertainty because nominated dispute centre did not exist - arbitration clause severable.

Australia Acts 1986 (Cth) and (UK) LEGISLATION CITED: Civil Procedure Act 2005 (NSW) Judiciary Act 1903 (Cth) Law and Justice Legislation Amendment Act 1988 (Cth)

CATEGORY: Principal judgment

Ahmed Angullia Bin Hadjee Mohamed Salleh Angullia v Estate and Trust Agencies (1927) Ltd [1938] AC 624 Aiton Australia Pty Limited v Transfield Pty Limited [1999] NSWSC 996; 153 FLR 236 Alcatel Australia Ltd v Scarcella (1998) 44 NSWLR 349 AMCI (IO) Pty Limited v Aquila Steel Pty Limited [2009] QSC 139 Amoco Australia Pty Limited v Rocca Bros Motor Engineering Co Pty Ltd (No 2) [1975] UKPCHCA 1; 133 CLR 331 Asia Television Ltd v Yau's Entertainment Pty Ltd (2000) 48 IPR 283 Australis Media Holdings Pty Ltd v Telstra Corporation Ltd (1998) 43 NSWLR 104 Baulderstone Hornibrook Engineering Pty Ltd v Gordian Runoff Limited [2008] NSWCA 243 Bellevarde Constructions Pty Ltd v CPC Energy Pty Ltd [2008] NSWCA 228 Beattie v Fine [1925] VLR 363 Booker Industries Pty Ltd v Wilson Parking (Qld) Pty Ltd [1982] HCA 53; 149 CLR 600 Brew v Whitlock [1967] VR 803 Brooks v Burns Philp Trustee Co Ltd [1969] HCA 4; 12 CLR 432 Burger King Corporation v Hungry Jacks Pty Ltd [2001] NSWCA 187; 69 NSWLR 558 Butt v McDonald (1896) 7 QLJ 68 Capolingua v Phylum Pty Ltd (1991) 5 WAR 137 Carney v Herbert [1985] AC 301 Carr v Brisbane City Council [1956] St R (Qld) 403 Central Exchange Ltd v Anaconda Nickel Ltd [2001] WASC 128; 24 WAR 382 on appeal [2002] WASCA 94; 26 WAR 33 Channel Home Centers, Division of Grace Retail Corporation v Grossman 795 F 2d 291 (3rd Cir 1986) Chaplin v Hicks [1911] 2 KB 786 Coal Cliff Collieries Pty Ltd v Sijehama Pty Ltd (1991) 24 NSWLR 1 Comandate Marine Corporation v Pan Australia Shipping Pty Ltd [2006] FCAFC 192; 157 FCR 45 Con Kallergis Pty Limited v Calshonie Pty Limited (1998) 14 BCL 201 Cook v Cook [1986] HCA 73; 162 CLR 376 Coulls v Bagot's Executor and Trustee Company Limited [1967] HCA 3; 119 CLR 460 Courtney & Fairbairn Ltd v Tolaini Brothers (Hotels) Ltd [1975] 1 WLR 297 Donwin Productions Ltd v EMI Films Ltd (Pain J, QBD Crown Office List unreported 2 March 1984) Elfic Limited v Macks [2000] QSC 18Elizabeth Bay Developments Pty Ltd v Boral Building Services Pty Ltd (1995) 36 NSWLR 709 Esso Australia Resources Pty Ltd v Southern Pacific Petroleum NL [2005] VSCA 228 Far Horizons Pty Ltd v McDonald's Australia Ltd [2000] VSC 310 Fiona Trust & Holding Corporation v Privalov [2007] UKHL 40; 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36 CLR 60 Little v Courage Limited (1994) 70 P & CR 469 Loftus v Roberts (1902) 18 TLR 532 Mallozzi v Carapelli SPA [1976] 1 Lloyd's Rep 407 Pacific Brands Sport & Leisure Pty Ltd v Underworks Pty Ltd [2005] FCA 288; (2005) Aust Contract Reports 90-213 Paul Smith Ltd v H & S International Holdings Inc [1991] 2 Lloyd's Rep 127 Placer Development Limited v Commonwealth [1969] HCA 29; 121 CLR 353 May and Butcher Ltd v The King [1934] 2 KB 17(n) and on appeal [1929] All ER Rep 679 McFarlane v Daniell (1938) 38 SR (NSW) 337 Meehan v Jones [1982] HCA 52; 149 CLR 571 New Zealand Shipping Co Ltd v AM Satterthwaite & Co Ltd [1975] AC 154 NT Power Generation Pty Ltd v Power and Water Authority [2001] FCA 334; 184 ALR 481 Public Transport Commission of NSW v J Murray-More (NSW) Pty Limited [1975] HCA 28; 132 CLR 336 Renard Constructions (ME) Pty Ltd v Minister for Public Works (1992) 26 NSWLR 234 at 263-270 Rieson v SST Consulting Services Pty Ltd [2005] FCAFC 6 Royal Botanic Gardens and Domain Trust v South Sydney City Council [2002] HCA 5; 76 ALJR 436 Royal Brunei Airlines Sdn Bhd v Tan [1995] 2 AC 378 Secured Income Real Estate (Australia) Limited v St Martins Investments Pty Limited [1979] HCA 51; 144 CLR 596 Sellars v Adelaide Petroleum NL [1994] HCA 4; 179 CLR 332 Service Station Association Ltd v Berg Bennett & Associates Pty Ltd (1993) 45 FCR 84 Smith & Smith v Nylex Corporation [1994] A Contracts Rep 90-048 The "Didymi" [1988] 2 Lloyd's Rep 108 The "Jing Hong Hai" [1989] 2 Lloyd's Rep 522 The "John S Darbyshire" [1977] 2 Lloyd's Rep 457 The "Scraptrade" [1981] 2 Lloyd's Rep 425 Threlkeld & Co Inc v Metallgesellschaft Limited (London) 923 F 2d 245 (2nd Cir 1991) Trawl Industries of Australia Pty Ltd v Effem Foods Pty Ltd (1992) 27 NSWLR 326 Twinsectra Ltd v Yardley [2002] UKHL 12; [2002] 2 AC 164 United States Surgical Corporation v Hospital Products International Pty Limited [1982] 2 NSWLR 766 Upper Hunter County District Council v Australian Chilling and Freezing Co Limited [1968] HCA 8; 118 CLR 429 Vodaphone Pacific Ltd v Mobile Innovations Ltd [2004] NSWCA 15 Voest Alpine v Chevron [1987] 2 Lloyd's Rep 547 Walford v Miles [1992] 2 AC 128 Wellington City Council v Body Corporate 51702 (Wellington) [2002] 3 NZLR 486 Wenzel v ASX Ltd [2002] FCAFC 400; 125 FCR 570 Whitlock v Brew [1968] HCA 71; 118 CLR 445