Greencapital Aust Pty Ltd v Pasminco Cockle Creek Smelter Pty Ltd (Subject to Deed of Company Arrangement) [2019] NSWCA 53

Court of Appeal Supreme Court New South Wales Medium Neutral Citation: Greencapital Aust Pty Ltd v Pasminco Cockle Creek Smelter Pty Ltd (Subject to Deed of Company Arrangement) [2019] NSWCA 53 Hearing dates: 14 March 2019 Decision date: 26 March 2019 Before: Leeming JA at [1]; Sackville AJA at [75]; Emmett AJA at [78] Decision: 1. Appeal allowed.

2. Set aside orders 2, 3 and 4 made on 18 December 2018, and in lieu thereof, declare that (a) the purported notices of rescission dated 1 and 2 July 2018 served by Pasminco are invalid, and (b) the notice of election dated 2 July 2018 served by Greencapital is valid and effective.

3. Remit the proceedings to the Commercial List for such further orders as may be appropriate.

4. Pasminco to pay the costs of Greencapital of the appeal. Catchwords: CONTRACT – construction – conflict between contractual powers – conditional contract for sale of land – vendor had right to rescind if conditions precedent not satisfied – contract amended so as to confer right upon purchaser to "step-in" to attempt to achieve satisfaction of conditions precedent – whether vendor's contractual right qualified by purchaser's right

CONTRACT – frustration – conditional contract for sale of land – land contaminated – whether amendment to State Environmental Planning Policy preventing subdivision until remediation conditions satisfied amounted to frustration Legislation Cited: Contaminated Land Management Act 1997 (NSW) Conveyancing Act 1919 (NSW), s 88E Environmental Planning and Assessment Act 1979 (NSW), s 75J State Environmental Planning Policy No 55 – Remediation of Land (NSW), cl 22 Uniform Civil Procedure Rules 2005 (NSW), r 36.16 Cases Cited: Agricultural and Rural Finance Pty Ltd v Gardiner (2008) 238 CLR 570; [2008] HCA 57 Chapmans Ltd v Australian Stock Exchange Ltd (1996) 67 FCR 402 Cherry v Steele-Park (2017) 96 NSWLR 548; [2017] NSWCA 295 Codelfa Construction Pty Ltd v State Rail Authority of New South Wales (1982) 149 CLR 337; [1982] HCA 24 Davis Contractors Ltd v Fareham UDC [1956] AC 696 Greencapital Aust Pty Ltd v Pasminco Cockle Creek Smelter Pty Ltd (subject to Deed of Company Arrangement) (No 3) [2018] NSWSC 1956 James Miller & Partners Ltd v Whitworth Street Estates (Manchester) Ltd [1970] AC 583 Munro (JH) Ltd v Vancouver Properties Ltd [1940] 3 WWR 26 oOh! Media Roadside Pty Ltd v Diamond Wheels Pty Ltd (2011) 32 VR 255; [2011] VSCA 116 Park v Murray Irrigation Ltd [2018] NSWCA 166 Re Media, Entertainment and Arts Alliance; Ex parte Hoyts Corporation Pty Ltd (1993) 178 CLR 379; [1993] HCA 40 Reid v Moreland Timber Company Pty Ltd (1946) 73 CLR 1; [1946] HCA 48 Tempe Recreation (D.500215 and D.1000502) Reserve Trust v Sydney Water Corporation (2014) 88 NSWLR 449; [2014] NSWCA 437 Tio v Minister for Immigration and Multicultural and Indigenous Affairs (2003) 126 FCR 185; [2003] FCAFC 53 Texts Cited: P Herzfeld, T Prince and S Tully, Interpretation and Use of Legal Sources – The Laws of Australia, Thomson Reuters 2013 Category: Principal judgment Parties: Greencapital Aust Pty Ltd (Appellant) Pasminco Cockle Creek Smelter Pty Ltd (Subject to Deed of Company Arrangement) (Respondent) Representation: Counsel: N Hutley SC, D McLure SC, D Habashy (Appellant) N O'Bryan SC, D Tynan (Respondent)