Silverbrook Research Pty Ltd v Lindley [2010] NSWCA 357

New South Wales Court of Appeal

CITATION: Silverbrook Research Pty Ltd v Lindley [2010] NSWCA 357

HEARING DATE(S): 18 October 2010

JUDGMENT DATE: 17 December 2010

JUDGMENT OF: Allsop P at 1; Beazley JA at 19; Hammerschlag J at 20

DECISION: On or before 28 January 2011, the parties bring in short minutes giving effect to the reasons of Allsop P and Beazley JA, including proposed orders for costs and submissions of no more than two pages if the orders for costs are not agreed. [Note: The Uniform Civil Procedure Rules 2005 provide (Rule 36.11) that unless the Court otherwise orders, a judgment or order is taken to be entered when it is recorded in the Court's computerised court record system. Setting aside and variation of judgments or orders is dealt with by Rules 36.15, 36.16, 36.17 and 36.18. Parties should in particular note the time limit of fourteen days in Rule 36.16.]

CATCHWORDS: DAMAGES – employment contract – breach – failure of employer to review salary – failure of employer to set objectives and review performance for payment of bonus – loss of commercial opportunity or chance – loss of opportunity to increase remuneration – loss of opportunity to be paid a bonus – assessment of value requires proper understanding of content of obligations and entitlements under the contract – opportunity or chance to be measured by the probabilities and possibilities - DAMAGES – award – reduction in damages – ex gratia payment – sufficient connection to the contractual claim to be taken into account – overriding principle of compensation - CONTRACT – employment contract – breach – implied terms of good faith, trust and confidence – contract provided for review of remuneration and for employer to set performance objectives relevant to bonus payments – discretion of employer to decide whether performance bonus paid – discretion to be understood against the proper scope and content of the contract