Teresa Nadia Pedulla v Fernando Rene Panetta & Ors [2011] NSWSC 1386

Supreme Court New South Wales

Medium Neutral Citation: Teresa Nadia Pedulla v Fernando Rene Panetta & Ors [2011] NSWSC 1386 Hearing dates: 7, 8 and 9 November 2011 Decision date: 25 November 2011 Jurisdiction: Equity Division Before: Pembroke J Decision: See paragraph [68] Catchwords: REAL PROPERTY - Torrens Assurance Fund - determining market value for purposes of Real Property Act 1900 s 129A - market value to be determined based on price that a willing buyer will pay and a not unwilling vendor will accept - sale price accepted as market value REAL PROPERTY - Torrens Assurance Fund - defences available to Registrar-General - Real Property Act 1900 s 129(2)(a) - mere causative contribution insufficient to make out defence - actual fault-based contribution required akin to contributory negligence REAL PROPERTY - Torrens Assurance Fund - defences available to Registrar-General - Real Property Act 1900 s 129(2)(b) - whether loss compensable under policy of professional indemnity - not necessary to determine whether liability ought to be accepted by insurer - onus on Registrar-General to prove that loss would be compensable REAL PROPERTY - Torrens Assurance Fund - statutory subrogation of Registrar-General to claimant's rights and remedies in relation to loss - operation of Real Property Act 1900 ss 133, 133A - Registrar-General only subrogated to extent of compensable loss within meaning of s 128 - Registrar-General may bring proceedings in own name - plaintiff not barred from bringing action in respect of heads of damage available beyond compensable loss REAL PROPERTY - Torrens Assurance Fund - claims against Registrar-General and wrongdoers - whether Real Property Act 1900 s 120(2) limits plaintiff to proceeding against Registrar-General or wrongdoer - plaintiff entitled to proceed against both REAL PROPERTY - Torrens Assurance Fund - whether claim in negligence against Registrar-General ousted by Real Property Act s 120(4) - section requires proceedings to be conducted in accordance with Real Property Act Part 14 - statutory cause of action in Part 14 overlaps so significantly with common law rights as to require that any possible common law cause of action against Registrar-General be ousted by necessary intendment NEGLIGENCE - damages - remoteness - whether claim for loss associated with losing Capital Gains Tax exempt asset too remote - actual loss sustained too speculative and subject to too many contingencies NEGLIGENCE - damages - restitutio in integrum - whether restoring plaintiff to pre-tort position requires payment for the loss of the value of their assets or sufficient compensation to enable them to purchase a new property - whether stamp duty payable to purchase new property compensable head of damage - reasonable in the circumstances to award plaintiff stamp duty payable on acquisition of new property with same market value as lost property INSURANCE - dishonest and fraudulent conduct exceptions - meaning of "dishonest" CIVIL LIABILITY - proportionate liability - operation of Civil Liability Act 2002 Part 4 - principles for the apportionment of responsibility between concurrent wrongdoers - consideration of extent of engagement in activities causing loss and consideration of who was more effectively able to prevent the loss required CIVIL PROCEDURE - amendment of pleadings - whether amendment to name additional concurrent wrongdoers should be allowed within days of hearing - relevance of prospects of success of newly pleaded claims - importance of acting with promptness in Expedition List proceedings when hearing date fixed Legislation Cited: Civil Liability Act 2002 Civil Procedure Act 2005 Professional Standards Act 1994 Real Property Act 1900 Cases Cited: A.F.G. Insurances Ltd v City of Brighton (1972) 126 CLR 655 Airservices Australia v Canadian Airlines International Limited (1999) 202 CLR 133 Bofinger v Kingsway Group Limited (2009) 239 CLR 269 Boscawen v Bajwa [1996] 1 WLR 328 Challenger Managed Investments Ltd v Direct Money Corp P/L [2003] NSWSC 1072 Chandra v Perpetual Trustees Victoria Ltd [2007] NSWSC 694 Chandra v Perpetual Trustees Victoria Ltd [2008] NSWSC 178 Gates v City Mutual Life Assurance Society Limited (1986) 160 CLR 1 Ginelle Finance Pty Limited v Diakakis [2007] NSWSC 60 Holt v Cox (1994) 15 ACSR 313 Kayteal Pty Ltd v Dignan [2011] NSWSC 197 Krakowski v Eurolynx Properties Ltd (1995) 183 CLR 563 Mallesons Stephen Jaques v Trenorth Ltd [1999] 1 VR 727 McCann v Switzerland Insurance Australia Limited (2000) 203 CLR 579 Parramatta City Council v Lutz (1988) 12 NSWLR 293 Potter v Minahan (1908) 7 CLR 277 Reinhold v New South Wales Lotteries Corporation (No 2) [2008] NSWSC 187 Royal Brunei Airlines SDN BHD v PhilipTan Kok Ming [1995] 2 AC 378 Spencer v The Commonwealth (1907) 5 CLR 418 State of South Australia v Johnson (1982) 42 ALR 161 Thompson v Australian Capital Television Pty Ltd (1994) 54 FCR 513 Transport Accident Commission v C.M.T. Construction of Metropolitan Tunnels (1988) 165 CLR 436 Vaccaro v Flammia [2008] NSWSC 1322 Yaktine v Perpetual Trustees Victoria Ltd [2004] NSWSC 1078 Yates v Mobile Marine Repairs Pty Ltd [2007] NSWSC 1463 Texts Cited: Mitchell & Watterson, Subrogation Law and Practice, 2007, Oxford University Press Category: Principal judgment Parties: Teresa Nadia Pedulla - plaintiff Fernando Rene Panetta - first defendant Anna Panetta - second defendant Registrar-General - third defendant Lewis Fineman Yee - fourth defendant Representation: Counsel: D L Williams SC with D A Caspersonn - for the plaintiff G A Sirtes SC with H Altan - for the third defendant L V Gyles SC with H Chiu - for the fourth defendant Solicitors: Lee and Lyons - for the plaintiff Gavin Ronald Bartier, Solicitor for the Registrar-General, Department of Finance and Services, Legal Services - for the third defendant DLA Piper Australia - for the fourth defendant No appearance for the first and second defendants File Number(s): 2011/00166997