Jinhong Design & Constructions Pty Limited v Xu and Anor [2010] NSWSC 523

New South Wales Supreme Court

CITATION : Jinhong Design & Constructions Pty Limited v Xu and Anor [2010] NSWSC 523

HEARING DATE(S) : 22 February 2010, 23 February 2010, 24 February 2010, 25 February 2010, 26 February 2010, 1 March 2010, 2 March 2010, 3 March 2010, 4 March 2010

JUDGMENT DATE : 25 May 2010

JUDGMENT OF : Johnson J at 1

DECISION : 1. Parties to bring in short minutes to reflect awards in the Plaintiff's favour of (a) compensatory damages in the sum of $391,255.15; (b) exemplary damages in the sum of $25,000.00; (c) interest up to judgment under s.100 Civil Procedure Act 2005. 2. Unless agreed, written submissions to be made as to costs.

CATCHWORDS : CONTRACT - claim for damages for breach of contract, deceit and misleading and deceptive conduct under the Fair Trading Act 1987 - claim by builder against alleged guarantors of building contract - denial that guarantees provided - held that guarantees provided - whether guarantors entitled to deny or reduce claim upon basis available to principal debtor - principal debtor a company in liquidation and not party to proceedings - Plaintiff entitled to compensatory damages - no basis for denying or reducing award of compensatory damages - claim for exemplary damages - whether conduct of Defendants demonstrated contumelious disregard for rights of Plaintiff - exemplary damages awarded

Fair Trading Act 1987 (NSW) LEGISLATION CITED : Evidence Act 1995 Home Building Act 1989 (NSW) Civil Procedure Act 2005

CATEGORY : Principal judgment

Goodrich Aerospace Pty Limited v Arsic [2006] NSWCA 187; 66 NSWLR 186 Gawne v Gawne (1979) 2 NSWLR 449 R v Doney [2001] NSWCCA 463; 126 A Crim R 271 Jeans v Cleary [2006] NSWSC 647 Watson v Foxman (1995) 49 NSWLR 315 Tabcorp Holdings Limited v Bowen Investments Pty Limited [2009] HCA 8; 236 CLR 272 Hadley v Baxendale (1854) 9 Exch 341 European Bank Limited v Evans [2010] HCA 6; 84 ALJR 239 Masters v Cameron [1954] HCA 72; 91 CLR 353 Demagogue Pty Limited v Ramensky (1992) 39 FCR 31 Fraser v NRMA Holdings Limited (1995) 55 FCR 452 Briginshaw v Briginshaw [1938] HCA 34; 60 CLR 336 CASES CITED : Helton v Allen [1940] HCA 20; 63 CLR 691 Rejfek v McElroy [1965] HCA 46; 112 CLR 517 Bannister v Walton (1993) 30 NSWLR 699 Walton Stores (Interstate) Limited v Maher [1988] HCA 7; 164 CLR 387 Begley v Attorney General of NSW [1910] HCA 69; 11 CLR 432 Westco Motors (Distributors) Pty Limited v Palmer [1979] 2 NSWLR 93 Langford Concrete Pty Limited v Finlay [1978] 1 NSWLR 14 Elkhoury v Farrow Mortgage Services Pty Limited (1993) 114 ALR 541 Re Kleiss & Anor ex parte Kliess & Anor v Capt'n Snooze Pty Limited (1996) 61 FCR 436 Commonwealth Development Bank of Australia Limited v Windermere Pastoral Co Pty Ltd [1999] NSWSC 518 Australia and New Zealand Banking Group v Harvey (1994) ATPR (Digest) 46 McMahon v National Foods Milk Limited [2009] VSCA 153; 259 ALR 20 Hancock v Williams (1942) 42 SR (NSW) 252 Gray v Motor Accident Commission [1998] HCA 70; 196 CLR 1