BBB Constructions v Aldi Foods [2010] NSWSC 1352

New South Wales Supreme Court

CITATION : BBB Constructions v Aldi Foods [2010] NSWSC 1352

HEARING DATE(S) : 12/10/10, 13/10/10, 14/10/10, 15/10/10, 18/10/10, 19/10/10, 21/10/10

JUDGMENT DATE : 2 December 2010

JURISDICTION : Equity Division Commercial List

JUDGMENT OF : McDougall J at 1

DECISION : Proceedings dismissed with costs.

CATCHWORDS : TRADE PRACTICES – misleading or deceptive conduct – where plaintiff negotiated with defendant for defendant to take lease of real property – where negotiations came to consensus on principal commercial terms of lease – where heads of agreement exchanged – where drafting of detailed terms of agreement of lease finalised – where defendant withdrew from negotiations and lease not executed – whether defendant engaged in misleading or deceptive conduct – whether representations made – silence – whether reliance – whether defendant engaged in unconscionable conduct – Trade Practices Act 1974 (Cth) ss 51A, 51AA, 51AC, 52. - ESTOPPEL – equitable estoppel – conventional estoppel – whether defendant estopped from resiling from a mutual or common assumption that defendant would enter into binding agreement for lease – whether reliance. - REMEDIES – restitution – quantum meruit – consideration of principles – whether plaintiff entitled to payment for work provided and costs incurred in connection with proposed lease.

Builders Licensing Act 1971 (NSW) LEGISLATION CITED : Environmental Planning and Assessment Act 1979 (NSW) Trade Practices Act 1974 (Cth)

CATEGORY : Principal judgment

Angelopoulos v Sabatino (1995) 65 SASR 1 Austotel Pty Ltd v Franklins Self Serviee Pty Ltd (1989) 16 NSWLR 582 Australian Competition and Consumer Commission v CG Berbatis Holdings Pty Limited (2003) 214 CLR 51 Attorney-General of Hong Kong v Humphreys Estate (Queen's Gardens) Ltd [1987] AC 114 Brenner v First Artists' Management Pty Ltd [1993] 2 VR 221 Cobbe v Yeoman's Row Management Ltd [2008] 1 WLR 1752 Demagogue Pty Ltd v Ramensky (1992) 39 FCR 31 EK Nominees Pty Ltd v Woolworths Ltd [2006] NSWSC 1172 Falcke v Scottish Imperial Insurance Company (1887) LR 34 Ch D234 Fensom v Cootamundra Racecourse Reserve Trust [2000] NSWSC 1072 Giumelli v Giumelli (1999) 196 CLR 101 CASES CITED : Leading Edge Events Australia Pty Ltd v Kiri Te Kanawa (2007) Aust Contract Reports 90–250 Lumbers v W Cook Builders Pty Ltd (In Liquidation) (2008) 232 CLR 635 Miller & Associates Insurance Broking Pty Ltd v BMW Australia Finance Ltd (2010) 84 ALJR 644 Nguyen v Cosmopolitan Homes [2008] NSWCA 246 Pavey & Matthews Proprietary Limited v Paul (1987) 162 CLR 221 Regalian Properties PLC v London Docklands Development Corporation [1995] 1 WLR 212 Roxborough v Rothmans of Pall Mall Australia Limited (2001) 208 CLR 516 Ryledar Pty Ltd v Euphoric Pty Ltd (2007) 69 NSWLR 603 Sabemo Pty Ltd v North Sydney Municipal Council [1977] 2 NSWLR 880 Waltons Stores (Interstate) Ltd v Maher (1988) 164 CLR 387 Watson v Foxman (1995) 49 NSWLR 315 William Lacey (Hounslow) Ltd v Davies [1957] 1 WLR 932