Carbone v Metricon Homes Pty Ltd [2018] NSWCA 296

Court of Appeal Supreme Court New South Wales Medium Neutral Citation: Carbone v Metricon Homes Pty Ltd [2018] NSWCA 296 Hearing dates: 1 June 2018 Decision date: 07 December 2018 Before: Meagher JA at [1] Payne JA at [15] White JA at [19] Decision: Appeal dismissed with costs. Catchwords: CONTRACTS – Construction – Where parties entered into deeds of put and call option – Where vendor was paid a call option fee upon entry into deed – Where vendor failed to register the plan of subdivision as required by the contract – Whether meaning of "rescind" in the contract operated to rescind the contract from the beginning including the refund of the call option fee or terminate executory obligations – Appeal dismissed Legislation Cited: Conveyancing Act 1919 (NSW), s 88B Cases Cited: Alati v Kruger (1955) 94 CLR 216 Andrews v Australia and New Zealand Banking Group Ltd (2012) 247 CLR 205; [2012] HCA 30 Baltic Shipping Co v Dillon (1993) 176 CLR 344 Beaufort Developments (NI) Ltd v Gilbert-Ash NI Ltd [1999] 1 AC 266 BP Refinery (Westernport) Pty Ltd v Shire of Hastings (1977) 180 CLR 266 Brambles Holdings Ltd v Bathurst City Council (2001) 53 NSWLR 153; [2001] NSWCA 61 Brunswick Corporation v Baker (1916) 21 CLR 407 Buick v Equity Trustees Executors and Agency Co Ltd (1957) 97 CLR 599 Cherry v Steele-Park (2017) 96 NSWLR 548; [2017] NSWCA 295 Coastal Estates Pty Ltd v Melevende [1965] VR 433 Codelfa Construction Pty Ltd v State Rail Authority of NSW (1982) 149 CLR 337 at 352; [1982] HCA 24 Commissioner of Taxation (Cth) v Reliance Carpet Co Pty Ltd (2008) 236 CLR 342; [2008] HCA 22 Coolangatta Investments Pty Ltd v Perri (1980) 1 BPR 97,053 Davis Contractors Ltd v Fareham UDC [1956] AC 696 Fibrosa Spolka Akcyjna v Fairbairn Lawson Combe Barbour Ltd [1943] AC 32 Gange v Sullivan (1966) 116 CLR 418 Goss v Chilcott [1996] AC 788 Guinness Mahon & Co Ltd v Kensington and Chelsea Royal London Borough Council [1999] QB 215 Johnson v Agnew [1980] AC 367 Kettlewell v Refuge Assurance Co [1908] 1 KB 545 McDonald v Dennys Lascelles Ltd (1933) 48 CLR 457 Metricon Homes Pty Ltd v Carbone [2017] NSWDC 256 Mount Bruce Mining Pty Ltd v Wright Prospecting Pty Ltd (2015) 256 CLR 104; [2015] HCA 37 Perri v Coolangatta Investments Pty Ltd (1982) 149 CLR 537 Re Birks [1900] 1 Ch 417 Refuge Assurance Co v Kettlewell [1909] AC 243 Robbins v Federal Commissioner of Taxation (1973) 129 CLR 332 Roxborough v Rothmans of Pall Mall Australia Ltd (2001) 208 CLR 516; [2001] HCA 68 Sargent v ASL Developments Ltd (1974) 131 CLR 634 Suttor v Gundowda Pty Ltd (1950) 81 CLR 418 Tudor Developments Pty Ltd v Makeig (2008) 72 NSWLR 624; [2008] NSWCA 263 Watson v Haggitt [1928] AC 127 Westralian Farmers Ltd v Commonwealth Agricultural Service Engineers Ltd (1936) 54 CLR 361 Wilkie v Gordian Runoff Ltd (2005) 221 CLR 522; [2005] HCA 17 Texts Cited: P Butt, The Standard Contract for Sale of Land in New South Wales (2nd ed, Law Book Co 1998) J D Heydon, M J Leeming and P G Turner, Meagher Gummow and Lehane's Equity: Doctrines and Remedies (2015, 5th ed LexisNexis Butterworths) Category: Principal judgment Parties: Angela Carbone (Appellant) Metricon Homes Pty Ltd (Respondent) Representation: Counsel: T S Hale SC with D W Robertson (Appellant) M Ashhurst SC with L Corbett (Respondent)