Darzi Group Pty Ltd v Nolde Pty Ltd [2019] NSWSC 335

Supreme Court New South Wales

Medium Neutral Citation: Darzi Group Pty Ltd v Nolde Pty Ltd [2019] NSWSC 335 Hearing dates: 22 February 2019 and 11, 13, 14 March 2019 (supplementary written submissions) Date of orders: 29 March 2019 Decision date: 29 March 2019 Jurisdiction: Equity Before: Henry J Decision: (1) Dismiss the plaintiff's summons. (2) Order the plaintiff to pay the defendant's costs of the summons. (3) Dismiss the cross-summons. (4) Order the cross-claimant/defendant to pay the cross-defendant/plaintiff's costs of the cross- summons. Catchwords: CONTRACTS – formation – agreement – intention to make concluded bargain – formal lease not executed or exchanged – where heads of agreement signed, tenant already in possession and parties negotiating the terms of a formal lease through solicitors – held no intent to be bound in the absence of a formal executed lease

LEASES AND TENANCIES – formal requirements – agreements for lease – creation of relationship by payment of rent – retail and commercial tenancies legislation – Conveyancing Act s 127 – Retail Leases Act ss 3, 8, 16, 18 Legislation Cited: Retail Leases Act 1994 (NSW) ss 3, 8, 16, 18, 20 Conveyancing Act 1919 (NSW) s 127 Uniform Civil Procedure Rules 2005 (NSW) r 42.1 Cases Cited: Alan Ramsay Sales & Marketing Ltd v Typoo Tea Ltd [2016] 4 WLR 59 Aspromonte Pty Ltd v Zagari (1999) 9 BPR 17,247 Australian Broadcasting Corporation v XIVth Commonwealth Games Ltd (1988) 18 NSWLR 540 Brambles Holdings Ltd v Bathurst City Council (2001) 53 NSWLR 153 Brogden v Metropolitan Railway Co (1877) 2 App Cas 666 Darter Pty Ltd v Malloy [1993] 2 Qd. R. 615 Electricity Generation Corporation v Woodside Energy Ltd (2014) 251 CLR 640 Empirnall Holdings v Machon Paull Partners Pty Ltd (1988) 14 NSWLR 523 Johnston v Brightstars Holding Company Pty Ltd [2014] NSWCA 150 Lighting By Design (Aust) Lty Ltd v Cannington Nominees Pty Ltd [2008] WASCA 23 Long v Piper [2001] NSWCA 342 Maddison v Alderson (1883) App Cas 467 Masters v Cameron (1954) 91 CLR 353 Pavlovic v Universal Music Australia Pty Ltd (2015) 90 NSWLR 605 Pozetu Pty Ltd v Alexander James Pty Ltd [2016] NSWCA 208 Robophone Facilities Ltd v Blank [1966] 3 All ER 128 Ryledar Pty Ltd v Euphoric Pty Ltd (2007) 69 NSWLR 603 Smith v NSW Bar Association (1992) 176 CLR 256 Summit Properties Pty Ltd v Comserv (No 784) Pty Ltd (1981) 2 BPR 97,093 Tallerman & Co Pty Ltd v Nathan's Merchandise (Victoria) Pty Ltd (1957) 98 CLR 93 Toll (FGCT) Pty Ltd v Alphapharm Pty Ltd (2004) 219 CLR 165 Viva Plastic Pty Ltd v Stoermer [2006] NSWSC 948 Waltons Stores (Interstate) Ltd v Maher (1998) 164 CLR 387 Wayne Edward John Streat v Fantastic Holdings Limited [2011] NSWSC 1097 Whiteway House No.199 Pty Ltd v Abracoona Pty Ltd (1998) 9 BPR 16,523 Texts Cited: Brendan Edgeworth, Butt's Land Law (7th ed, 2017, Lawbook Co.) JW Carter, Contract Law in Australia (7th ed, 2018, LexisNexis Butterworths) Category: Principal judgment Parties: Darzi Group Pty Ltd (Plaintiff/Cross-Defendant) Nolde Pty Ltd (Defendant/Cross-Claimant) Representation: Counsel: E Peden (Plaintiff) D Robertson (Defendant)