Ellis’s Town House Pty Ltd v Botan Pty Ltd [2017] NSWCA 20

Court of Appeal Supreme Court New South Wales Medium Neutral Citation: Ellis's Town House Pty Ltd v Botan Pty Ltd [2017] NSWCA 20 Hearing dates: 7 February 2017 Decision date: 17 February 2017 Before: Gleeson JA at [1] Leeming JA at [47] Simpson JA at [61] Decision: (1) Summons seeking leave to appeal dismissed with costs. Catchwords: PROCEDURE – application for leave to appeal from judgment of the District Court – where damages awarded for breach of lessor's painting and repairing covenants under a lease – matter less than $100,000 – where no issue of principle, question of general importance or injustice which is reasonably clear – leave to appeal refused.

LANDLORD AND TENANT – covenants – as to painting and repair – breach of landlord's covenant to maintain motel premises in good condition and serviceable repair – breach of landlord's covenant to paint and varnish parts of premises – tenant has not yet incurred expense in remedying landlord's defaults – whether cost of remedying landlord's default is the appropriate measure of damages.

DAMAGES – general principles – breach of landlord's painting and repairing covenants – where tenant has not yet incurred expense in remedying lessor's defaults – where landlord asserted no actual loss suffered by tenant – whether damages properly awarded on 'costs of cure' basis rather than 'difference in value' basis. Legislation Cited: Civil Procedure Act 2005 (NSW), ss 56, 58, 60 District Court Act 1973 (NSW), s 127(2)(c) Sale of Goods Act (1923) (NSW), s 54(3) Cases Cited: Alley v Deschamps (1806) 13 Ves Jun 255; 33 ER 278 Be Financial Pty Ltd as Trustee for Be Financial Operations Trust v Das [2012] NSWCA 164 Bellgrove v Eldridge (1954) 90 CLR 613; [1954] HCA 36 Bowen Investments Pty Ltd v Tabcorp Holdings Ltd (2008) 166 FCR 494; [2008] FCAFC 38 Brewarrina Shire Council v Beckhaus Civil Pty Ltd [2006] NSWCA 361 Calabar Properties Ltd v Stitcher [1984] 1 WLR 287 Clark v Macourt (2013) 253 CLR 1; [2013] HCA 56 Coffs Harbour City Council v McLeod [2016] NSWCA 94 Coulls v Bagot's Executor & Trustee Co Ltd (1967) 119 CLR 460; [1967] HCA 3 DH MB Pty Ltd v Manning Motel Pty Ltd [2014] NSWCA 396 Granada Theatres Ltd v Freehold Investment (Leytonstone) Ltd [1959] Ch 592 Hewitt v Rowlands [1924] All ER Rep 344 Jaycar Pty Ltd v Lombardo [2011] NSWCA 284 Joyner v Weeks [1891] QB 31 Polo Enterprises Australia Pty Ltd v Pinctada Hotels and Resorts Pty Ltd [2015] NSWCA 397 Progressive Mailing House v Tabali (1985) 157 CLR 17; [1985] HCA 14 Radford v De Froberville [1977] 1 WLR 1262; 1 All ER 33 Robinson v Harman (1848) 1 Exch 850; 154 ER 363 Tabcorp Holdings Ltd v Bowen Investments Pty Ltd (2009) 236 CLR 272; [2009] HCA 8 The Commonwealth v Amann Aviation Pty Ltd (1991) 174 CLR 64; [1991] HCA 54 Wenham v Ella (1972) 127 CLR 454 Wheeler v Ecroplot [2010] NSWCA 61 Zhu v Treasurer of the State of New South Wales [2004] HCATrans 200 (15 June 2004) Zhu v Treasurer of New South Wales (2004) 218 CLR 530; [2004] HCA 56 Category: Principal judgment Parties: Ellis's Town House Pty Ltd (ACN 135 401 973) (Appellant) Botan Pty Ltd (Respondent) Representation: Counsel: Mr J Downing / Mr J Raftery (Appellant) Mr P Bolster (Respondent)