CH2M Hill v State of NSW [2012] NSWSC 963

Supreme Court New South Wales

Medium Neutral Citation: CH2M Hill v State of NSW [2012] NSWSC 963 Hearing dates: 03/07/2012, 04/07/2012, 05/07/2012, 09/07/2012, 10/07/2012, 12/07/2012, 16/07/2012, 17/07/2012,18/07/2012, 19/07/2012, 24/07/2012, 01/08/2012, 02/08/2012; further written submissions received 06/08/2012, 08/08/2012, 09/08/2012. Decision date: 24 August 2012 Jurisdiction: Equity Division - Technology and Construction List Before: McDougall J Decision: Judgment for defendant with costs. Catchwords: [CONTRACT] - building and construction - whether defendants breached contractual duty of care - whether breach of specific design criteria - whether defendants design of the works was in accordance with best engineering practices - whether defendant complied with contractual duty of care - whether defendant engaged in misleading and deceptive conduct by representing it would provide design services properly - whether rectification works unreasonable. [EQUITY] - assignments - whether valid assignment - whether genuine commercial interest. [DAMAGES] - contract - calculation of indirect costs - whether plaintiff is entitled to recover damages for corporate overheads - whether assessment of loss includes rectification works. [TORTS] - duty of care - whether defendant owed the plaintiff a duty of care - whether duty of care more extensive than the obligations under the express retainer. [PROCEDURE] - application for leave to amend - whether amendment propounded was so deficient as to be embarrassing - whether proposed pleading is likely to cause significant prejudice. Legislation Cited: Law Reform (Miscellaneous Provisions) Amendment Act 2000 (NSW) Civil Procedure Act 2005 (NSW) Practice Note SC Eq 3 Cases Cited: AJ Lucas Drilling Pty Ltd v McConnell Dowell Constructors (Aust) Pty Ltd (No.3) [2008] VSC 315 Astley v Austrust Limited (1999) 197 CLR 1) Banabelle Electrical v State of New South Wales [2005] NSWSC 714 Bulk Materials (Coal Handling) Pty Ltd v Compressed Air and Packaging Systems (NSW) Pty Ltd (1997) 14 BCL 109 Baulderstone Hornibrook Engineering Pty Ltd v Gordian Runoff Pty Ltd [2008] NSWCA 243 Commonwealth Bank of Australia v Hamilton [2012] NSWSC 242 Equuscorp Pty Ltd v Haxton (2012) 86 ALJR 296 Franklins Pty Ltd v Metcash Trading Ltd (2009) 76 NSWLR 603 HSD Co Pty Ltd v Masu Financial Management Pty Ltd [2008] NSWSC 1279 Jones v Dunkel (1959) 101 CLR 298 Ucak v Avante Developments [2007] NSWSC 367 Thiess Watkins White Constructions Ltd v The Commonwealth (1992) 14 BCL 61 Texts Cited: Proportionate Liability in Construction Litigation" (2006) 22 BCL 394 Category: Principal judgment Parties: CH2M Hill Australia Pty Limited (Plaintiff) State of New South Wales (Defendant) Representation: Counsel: M Christie SC / L Shipway (Plaintiff) J Simpkins SC / D Talintyre (Defendant) Solicitors: Norton Rose (Plaintiff) Clayton Utz (Defendant) File Number(s): 2009/326148