Junair Spraybooths ANZ Pty Ltd v Rydalmere Prestige Smash Repairs Pty Ltd [2019] NSWDC 367

District Court New South Wales

Medium Neutral Citation: Junair Spraybooths ANZ Pty Ltd v Rydalmere Prestige Smash Repairs Pty Ltd [2019] NSWDC 367 Hearing dates: 9 -12, 15, 22 July 2019 Date of orders: 30 July 2019 Decision date: 30 July 2019 Jurisdiction: Civil Before: Abadee DCJ Decision: See paragraph 316 Catchwords: CONTRACT – contract for supply of spray booths (and associated equipment) – whether compliance with implied condition of merchantable quality – whether breach of implied condition causally linked to imperfections in paintwork on defendant's customers' motor vehicles.

DAMAGES – whether exclusion clause incorporated to limit recoverability of damages – whether claim for loss of profits established – reliance damages – replacement value – operation of set-off under s 54 of Sale of Goods Act 1923 (NSW).

TRADE PRACTICES – alternative action for contravention of prohibition against misleading or deceptive conduct – whether exclusion clause (assuming it is incorporated) may limit recoverability of damages under s 236 of Australian Consumer Law – whether loss of expected profit claim available under s 236 of Australian Consumer Law. Legislation Cited: Acts Interpretation Act 1901 (Cth) Civil Liability Act 2002 (NSW) Competition and Consumer Act 2010 (Cth) Evidence Act 1995 (NSW) Sale of Goods Act 1923 (NSW) Trade Practices Act 1974 (Cth) Cases Cited: Apollo Shower Screens Pty Ltd v Building and Construction Industry Long Service Payments Corp (1985) 1 NSWLR 1 ASIC v Hellicar (2012) 247 CLR 345 Aussie Traveller Pty Ltd v Marklea Pty Ltd [1996] 1 Qd R 1 Beaton v Moore Acceptance Corp Pty Ltd (1959) 104 CLR 107 Bellgrove v Eldridge (1954) 90 CLR 613 Blatch v Archer (1774) 98 ER 969 Bonnington Castings Ltd v Wardlaw (1956) AC 613 Brighton Australia Pty Ltd v Multiplex Constructions Pty Ltd [2018] VSC 246 Byers v Dorotea Pty Ltd (1986) 69 ALR 715 Castel Electronics Pty Ltd v Toshiba Singapore Pty Ltd [2011] FCAFC 55 Commonwealth of Australia v Amann Aviation Ltd (1991) 174 CLR 64 Environmental Systems Pty Ltd v Peerless Holdings Pty Ltd (2008) 19 VR 358 Firstmac Fiduciary Services Pty Ltd v HSBC Bank of Australia [2012] NSWSC 1122 Hadley v Baxendale (1854) 156 ER 145 Havyn v Webster [2005] NSWCA 182 Henjo Investments Pty Ltd v Collins Marrickville Pty Ltd (1988) 79 ALR 83 Ho v Powell [2001] NSWCA 168 Howe v Teefy (1927) SR (NSW) 301 Hyder Consulting (Australia) Pty Ltd v Wilh Wilhelmsen Agency [2001] NSWCA 313 IOOF Australia Trustees (NSW) Ltd v Tantipech (1998) 156 ALR 470 Lane Cove Council v Michael Davies Associates Pty Ltd [2012] NSWSC 727 LMI Australasia Pty Ltd v Baulderstone Hornibrook Pty Ltd [2003] NSWCA 74 Marks v GIO Australia Holdings Ltd (1998) 196 CLR 494 Masters v Cameron (1954) 91 CLR 353 Mondel v Steel (1841) 151 ER 1288 National Australia Bank Ltd v Dionys as Trustee for the Angel Family Trust [2016] NSWCA 242 Oceanic Sun Line Special Shipping Company Inc v Fay (1988) 165 CLR 197 Omega Air Inc v CAE Australia Pty Ltd [2015] NSWSC 802 Owners Corporation SP 62930 v Kell & Rigby Pty Ltd [2009] NSWSC 1342 Purkess v Crittenden (1965) 114 CLR 164 Siegwerk Australia Pty Ltd (in liq) v Nuplex Industries (Aust) Pty Ltd [2016] FCA 158 Tabcorp Holdings Ltd v Bowen Investments Pty Ltd (2009) 236 CLR 272 TC Industrial Plant Pty Ltd v Robert's Queensland Pty Ltd (1963) 37 ALJR 289 Unity Insurance Brokers Pty Ltd v Rocco Pezzano Pty Ltd (1998) 192 CLR 603 Zanner v Zanner (2010) 79 NSWLR 702 Texts Cited: Sutton, Sales and Consumer Law (4th ed), LBC 1995 Cheshire and Fifoot Law of Contract Cross on Evidence (7th ed) Category: Principal judgment Parties: Junair Spraybooths ANZ Pty Ltd (Plaintiff) Rydalmere Prestige Smash Repairs Pty Ltd (Defendant/ Cross-Claimant) Representation: Counsel: Mr A Byrne (Plaintiff) Mr D Knackstredt (Defendant/ Cross-Claimant)