Kazacos v Shuangling International Development Pty Ltd [2016] NSWSC 1504

Supreme Court New South Wales

Medium Neutral Citation: Kazacos v Shuangling International Development Pty Ltd [2016] NSWSC 1504 Hearing dates: 30 October 2015; 2 November 2015 Decision date: 27 October 2016 Before: White J Decision: Order that the plaintiffs' claims for relief be dismissed. Catchwords: CONTRACTS — Contract for sale of land — Special condition requiring payment of deposit in two instalments — Purchaser failed to complete — Deposit paid on exchange forfeited — Property resold for a surplus — Whether Vendor entitled to payment of second instalment of deposit — Second instalment due under the contract only if purchaser fails to complete — Second instalment not in the nature of a deposit — Provision requiring payment of second instalment of deposit void as a penalty — Whether clause 9.3.1 requires that any surplus on resale and any retained deposit be credited against reasonable costs and expenses arising out of purchaser's non-compliance and of resale — Held that clause 9.3.1 requires that any surplus on resale and any retained deposit be set off against reasonable costs and expenses arising out of purchaser's non-compliance and of resale — Whether clause 9.3 requires a vendor to make an election between a right to sue for liquidated damages and a right to sue for damages for breach of contract — Held that clause 9.3 gives a vendor a choice between remedies not between rights — Choice between remedies can be kept open until judgment Cases Cited: Agricultural and Rural Finance Pty Ltd v Gardiner (2008) 238 CLR 570; [2008] HCA 57 Andrews v Australia and New Zealand Banking Group Ltd (2012) 247 CLR 205; [2012] HCA 30 Ashdown v Kirk [1999] 2 Qd R 1 Luu v Sovereign Developments Pty Ltd [2006] NSWCA 40; (2006) 12 BPR 23,629 Berry v Mahony [1933] VLR 314 Boyarsky v Taylor [2008] NSWSC 1415; (2008) 14 BPR 26,553 BP Refinery (Westernport) Pty Ltd v President, Councillors and Ratepayers of the Shire of Hastings (1977) 180 CLR 266 Brien v Dwyer (1978) 141 CLR 378; [1978] HCA 50 Brien v Dwyer [1976] 2 NSWLR 420 Buchanan v Dunstan [2007] NSWSC 248; (2007) 13 BPR 24,521 Cloud Top Pty Ltd v Toma Services Pty Ltd [2008] NSWSC 568 Consolidated Credit Network Pty Ltd v Illawarra Retirement Trust Ltd (No. 2) [2005] NSWSC 1007 Cox v Parker (1987) 5 BPR 97,339 Delbridge v Low [1990] 2 Qd R 317 Denby v Khyat (1931) 26 Tas LR 152 Donnellan v Garlick [2006] NSWSC 132; (2006) 12 BPR 23,571 Galafassi v Kelly (2014) 87 NSWLR 119; [2014] NSWCA 190 Gogard Pty Ltd v Satnaq Pty Ltd [1999] NSWSC 1283; (1999) 9 BPR 17,171 Hadley v Baxendale (1854) 9 Ex 341; 156 ER 145 Havyn Pty Ltd v Webster [2005] NSWCA 182; (2005) 12 BPR 22,837 Hearse v Pallister [2008] NSWSC 504 Hoskins v Rule [1952] NZLR 827 Howe v Smith (1884) 27 Ch D 89 Iannello v Sharpe (2007) 69 NSWLR 452; [2007] NSWCA 61 Jampco Pty Ltd v Cameron (No. 2) (1985) 3 NSWLR 391 Jampco Pty Ltd v Cameron (No. 2) (1986) NSW ConvR 55-275 Kinleyside v Irwin [1961] WAR 169 Mallett v Jones [1959] VR 122 McDonald v Dennys Lascelles Ltd (1933) 48 CLR 457 Pitt v Curotta (1932) 48 WN (NSW) 156 Rossco Developments Pty Ltd v O'Halloran (1980) 42 FLR 236 Soper v Arnold (1889) 14 App Cas 429 Talley v Wolsey-Neech (1979) 38 P & CR 45 Taylor v Raglan Developments Pty Ltd [1981] 2 NSWLR 117 Tiplady v Gold Coast Carlton Pty Ltd (1984) ATPR 40-491 United Australia Ltd v Barclay's Bank Ltd [1941] AC 1 Wallace-Turner v Cole (1983) 46 P & CR 164 Ward v Ellerton (1927) VLR 264 Ward v Ellerton [1927] VLR 494 Category: Principal judgment Parties: Peter Kazacos (1st Plaintiff) Vicki Kazacos (2nd Plaintiff) Shuangling International Development Pty Ltd (1st Defendant) Xiuyan Guan (2nd Defendant) Representation: Counsel: D D Knoll (Plaintiffs) D H Mitchell with C E O'Neill (Defendants)