Cro Travel Pty Ltd v Australia Capital Financial Management Pty Ltd [2018] NSWCA 153

Court of Appeal Supreme Court New South Wales Medium Neutral Citation: Cro Travel Pty Ltd v Australia Capital Financial Management Pty Ltd [2018] NSWCA 153 Hearing dates: 19 April 2018 Decision date: 13 July 2018 Before: Meagher JA at [1]; Ward JA at [2]; Barrett AJA at [268] Decision: 1. Appeal dismissed with costs. Catchwords: CONSUMER LAW – misleading or deceptive conduct – whether the appellant contravened s 18(1) of the Australian Consumer Law by issuing sea-carriage documents in respect of goods as agent for certain carriers despite having no authority and whilst other sea-carriage documents issued by carriers as principal in respect of the same goods were also in circulation – whether such conduct caused the respondent loss

AGENCY – warranty of authority – whether the appellant's breach of warranty of authority caused the respondent loss – whether primary judgment could be supported on the basis that, if the documents had been issued with authority, the respondent would have obtained rights as pledgee Legislation Cited: Bills of Lading Act 1855, 18 & 19 Vic, c 111 Carriage of Goods by Sea Act 1992 (UK), c 50, ss 2(1) and 5(2) Competition and Consumer Act 2010 (Cth), Schedule 2 s 18(1) Sea-Carriage Documents Act 1997 (NSW), ss 5 and 8 Sea-Carriage of Goods Act 1924 (Cth) Australian Consumer Law (Competition and Consumer Act 2010 (Cth), Sch 2, s 18(1) Cases Cited: Australia Capital Financial Management Pty Limited v Freight Solutions (Vic) Pty Limited [2017] NSWDC 279 Barber v Meyerstein (1869) LR 4 HL 317 BHPB Freight Pty Ltd v Cosco Oceania Chartering Pty Ltd [2009] FCA 1087 Borealis AB v Stargas Ltd (The "Berge Sisar") [2002] 2 AC 205 Brandt v Liverpool, Brazil and River Plate Steam Navigation Company Ltd [1924] 1 KB 575 Butcher v Lachlan Elder Realty Pty Ltd (2004) 218 CLR 592; [2004] HCA 60 C.A. Pisani & Co Ltd v Brown, Jenkinson & Co Ltd [1939] 64 Lloyd's Law Rep 340 Campbell v Backoffice Investments Pty Ltd (2009) 238 CLR 304; [2009] HCA 25 Campomar Sociedad, Limitada v Nike International Ltd (2000) 202 CLR 45; [2000] HCA 12 Carrington Slipways Pty Ltd v Patrick Operations Pty Ltd (1991) 24 NSWLR 745 Chabbra Corporation Pte Ltd v Jag Shakti (Owners) (The "Jag Shakti") [1986] AC 337 Comalco Aluminium Ltd v Mogal Freight Services Pty Ltd [1993] FCA 180; 113 ALR 677 Commonwealth Bank of Australia v Hamilton [2012] NSWSC 242 Comptroller of Stamps (Vic) v Howard Smith (1936) 54 CLR 614; [1936] HCA 12 Deputy Commissioner of Taxation v Bluebottle UK Ltd (2006) 68 NSWLR 558; [2006] NSWCA 360 Dick v Lumsden (1793) Peake 250; 170 ER 146 East West Corpn v DKBS AF 1912 A/S [2003] QB 1509 Fabcot Pty Ltd v Port Macquarie-Hastings Council [2011] NSWCA 167 Firbank's Executors v Humphreys (1886) 18 QBD 54 Glyn Mills Currie & Co v East and West India Dock Co (1882) 7 App Cas 591 Henville v Walker (2006) 206 CLR 459; [2001] HCA 52 Heskell v Continental Express Ltd [1950] 1 All ER 1033 Jones v European & General Express Company Ltd [1920] 4 Lloyd's Law Rep 127 Keppel Tatlee Bank Ltd v Bandung Pte Ltd [2003] 1 Lloyd's Law Rep 619 Kum v Wah Tat Bank Ltd [1971] 1 Lloyd's Law Rep 439 Kuzmanovski v New South Wales Lotteries Corporation [2010] FCA 876; 270 ALR 65 Last v Rosenfeld [1972] 2 NSWLR 923 Lickbarrow v Mason (1787) 2 Term Rep 63 Marks v GIO Australia Holdings Ltd (1998) 196 CLR 494; [1998] HCA 69 Meyer v Sharpe (1813) 5 Taunt 74; 128 ER 614 Miller & Associates Insurance Broking Pty Ltd v BMW Australia Finance Ltd (2010) 241 CLR 357; [2010] HCA 31 Nathan v Giles (1814) 5 Taunt 558; 128 ER 808 Olsson v Dyson (1969) 120 CLR 365; [1969] HCA 3 OXS Pty Ltd v Sydney Harbour Foreshore Authority [2016] NSWCA 120 Re Beaumont [1902] 1 Ch 889 Skinner v Redmond Family Holdings Pty Ltd [2017] NSWCA 329; (2017) 123 ACSR 593 Standard Chartered Bank v Dorchester LNG (2) Ltd [2016] QB 1 The "Future Express" [1992] 2 Lloyd's Law Rep 79 Thomas v National Australia Bank [2000] 2 Qd R 448; [1999] QCA 525 Thomson v Dominy (1845) 14 M & W 403 Traderight Pty Ltd v Bank of Queensland Ltd [2015] NSWCA 94 V/O Rasnoimport v Guthrie & Co Ltd [1966] 1 Lloyd's Law Rep 1 Westpac Banking Corp v The "Stone Gemini" (1999) 110 FCR 47; [1999] FCA 434 Texts Cited: A Mocatta, M Mustill and S Boyd, Scrutton on Charterparties and Bills of Lading (19th ed, 1984, Sweet & Maxwell) B Eder, H Bennett, S Berry, D Foxton and C Smith, Scrutton on Charterparties and Bills of Lading (23rd ed, 2015, Sweet & Maxwell) E McKendrick (ed), Goode on Commercial Law (5th ed, 2016, LexisNexis UK and Penguin Books) F M B Reynolds, Bowstead and Reynolds on Agency (18th ed, 2006, Sweet & Maxwell) I Holloway, "Troubled Waters: The Liability of a Freight Forwarder as a Principal Under Anglo-Canadian Law" (1986) 17(2) Journal of Maritime Law and Commerce 243 J D Heydon, M J Leeming and P G Turner, Meagher, Gummow and Lehane's Equity: Doctrines and Remedies (5th ed, 2015, LexisNexis Butterworths) M Davies and A Dickey, Shipping Law (4th ed, 2016, Thomson Reuters) N Palmer, Palmer on Bailment (3rd ed, 2009, Sweet & Maxwell) P Watts and F M B Reynolds, Bowstead and Reynolds on Agency (21st ed, 2018, Sweet & Maxwell) R Aikens, R Lord, and M Bools, Bills of Lading (2nd ed, 2016, Routledge) S Girvin, Carriage of Goods By Sea (2nd ed, 2011, Oxford University Press) The Law Commission and The Scottish Law Commission, Rights of Suit in Respect of Carriage of Goods by Sea, (19 March 1991) Category: Principal judgment Parties: Cro Travel Pty Ltd (Appellant) Australia Capital Financial Management Pty Ltd (Respondent) Representation: Counsel: M Y Bearman with S P Thomas (Appellant) E G H Cox (Respondent)