Marvoe Management Pty Ltd t/as The Sweet Life v Plantation Management Services (WA) Pty Ltd (No 5) [2017] NSWSC 1167

Supreme Court New South Wales

Medium Neutral Citation: Marvoe Management Pty Ltd t/as The Sweet Life v Plantation Management Services (WA) Pty Ltd (No 5) [2017] NSWSC 1167 Hearing dates: 5-9, 12, 16, 19-20 September 2016 Date of orders: 01 September 2017 Decision date: 01 September 2017 Jurisdiction: Common Law Before: Campbell J Decision: Judgment for the plaintiff in the sum of $1,112,825; The first and second defendants to pay the plaintiff's costs; I direct the parties to bring short minutes of order calculating pre-judgment interest to be added to the judgment by arrangement with my associate; Liberty to apply in respect of arithmetical errors. Catchwords: CONTRACTS – Whether contract for sale of goods or bailment for labour and works – Where plaintiff supplied watermelon seeds and defendant supplied seedlings – Where watermelon plants developed "Fusarium wilt" infection – Held to be contract for sale of goods

CONTRACTS – Breach of contract – Forms of breach – Breach of conditions implied under Sale of Goods Act 1972 (NT)

CONTRACTS – Implied terms – Terms implied – Fitness for purpose – Merchantable quality

CONTRACTS – Remedies – Damages for breach of contract – Held that plaintiff took reasonable steps to mitigate its loss Legislation Cited: Civil Procedure Act 2005 (NSW) Sale of Goods Act 1923 (NSW) Sale of Goods Act 1972 (NT) Sale of Goods Act 1979 (UK) The Sale of Goods Act 1893 (56 & 57 Vict. c.71) Cases Cited: Aluminium Industrie Vaassen BV v Romalpa Aluminium Ltd (1976) 1 WLR 676; [1976] 2 All ER 552 Angel v Hawkesbury City Council [2008] NSWCA 130; (2008) Aust Torts Reports ¶81 – 955 Associated Alloys Pty Ltd v Metropolitan Engineering and Fabrication Pty Ltd & anor (1996) 20 ACSR 205 Associated Alloys Pty Ltd v Metropolitan Engineering and Fabrication Pty Ltd & anor (1998) 16 ACLC 1633 Associated Alloys Pty Limited v CAN 001 452 106 Pty Ltd (2000) 202 CLR 588; [2000] HCA 25 Blacktown City Council v Hocking [2008] NSWCA 144 Borden (UK) Limited v Scottish Timber Products Limited [1981] Ch 25; [1979] 3 All ER 961 BP Refinery (Westernport) Pty Ltd v Shire of Hastings (1977) 180 CLR 266 Bradshaw v McEwans Pty Ltd (Unreported, 27 April 1951) C. Van Der Lely N.V. v Bamfords Limited [1963] RPC 61 Caltex Oil (Australia) Pty Ltd v The Dredge "Willemstad" (1976) 136 CLR 529 Cammell Laird & Co Ltd v The Manganese Bronze and Brass Co Ltd [1934] AC 402 Chapman Bros v Verco Bros & Co Ltd (1933) 49 CLR 306 Christopher Hill Ltd v Ashington Piggeries Ltd [1972] AC 441 Clough Mill Ltd v Martin [1985] 1 WLR 111 Codelfa Construction Pty Ltd v State Rail Authority of New South Wales (1982) 149 CLR 337 Entores Limited v Miles Far East Corporation [1955] 2 QB 327 GK Serigraphics v Dispro Limited (Unreported, EWCA Civ, Cumming-Bruce LJ, 15 December 1980) Grant v Australian Knitting Mills Limited [1936] AC 85 Holloway v McFeeters (1956) 94 CLR 470 Jones v Dunkel (1959) 101 CLR 298 Pacific Film Laboratories Pty Ltd v Federal Commissioner of Taxation (Cth) (1970) 121 CLR 154 Pangallo Estate Pty Ltd & ors v Killara 10 Pty Ltd [2007] NSWSC 1528 PST Energy 7 Shipping LLC v OW Bunker Malta Ltd (The Res Cogitans) [2016] AC 1034; [2016] UK SC 23 Ramsay v Watson (1961) 108 CLR 642 Shepherd v R (1990) 170 CLR 573 Stoneleigh Finance Limited v Phillips [1965] 2 QB 537 The Queen v Hillier (2007) 228 CLR 614 Toll (FGCT) Pty Limited v Alphapharm Pty Limited (2004) 219 CLR 165; [2004] HCA 52 United States Shipping Board v The Ship St. Albans [1931] AC 632 Unity Insurance Brokers Pty Ltd v Rocco Pezzano Pty Ltd (1998) 192 CLR 603 Warren v Gittoes [2009] NSWCA 24 Texts Cited: Adams, Macqueen and Atiyah, Atiyah's Sale of Goods (Pearson Education, 12th ed, 2010) KCT Sutton, Sales and Consumer Law (Thomson Reuters, 4th ed, 1995) Category: Principal judgment Parties: Marvoe Management Pty Ltd t/as The Sweet Life (Plaintiff) Plantation Management Services (WA) Pty Ltd (First Defendant) and Bobadah Pty Ltd t/as Territory Tree Nursery (Second Defendant) Representation: Counsel: Mr G P McNally SC with Mr A J Barnett (Plaintiff) Mr R Cavanagh SC with Mr S Walsh (First and Second Defendants)