Futurepower Developments Pty Ltd v TJ & RF Fordham Pty Ltd t/as TRN Group [2019] NSWSC 1554

Supreme Court New South Wales

Medium Neutral Citation: Futurepower Developments Pty Ltd v TJ & RF Fordham Pty Ltd t/as TRN Group [2019] NSWSC 1554 Hearing dates: 9, 10, 11, 12, 13 September 2019 Date of orders: 18 October 2019 Decision date: 18 October 2019 Jurisdiction: Equity - Technology and Construction List Before: Rein J Decision: See [88]. Catchwords: BUILDING AND CONSTRUCTION – Contract – Builder reported asbestos contaminated material found on site; variations for removal of the contaminated fill, as well as other variations; owner claims that the person acting as superintendent on the job was not the person contractually agreed to be the superintendent and denies the efficacy of certification and approvals given by that person – Whether owner in breach of contract for failing to ensure the named superintendent acted in that role – Whether variations had to be in writing – Effect of instructions from the owner's representative to the builder in the presence of the superintendent.

BUILDING AND CONSTRUCTION ­­­– Quantum meruit – Where owner instructed builder to remove contaminated fill from the site and builder did so.

ESTOPPEL – Estoppel by convention – Mutual assumption – Whether owner estopped from denying that the person acting as superintendent was the superintendent for the purposes of the contract.

CONTRACT – Misleading conduct under statute — Misleading or deceptive conduct – claim under s 18 of the Australian Consumer Law – Where owner claims that the builder engaged in misleading or deceptive conduct in relation to the need to excavate and remove contaminated fill from site; the builder was instructed to remove the fill and to do so in accordance with the advice of an authorised subcontractor approved by the owner. Legislation Cited: Building and Construction Industry Security of Payment Act 1999 (NSW) Competition and Consumer Act 2010 (Cth) Managing Land Contamination: Planning Guidelines SEPP 55 - Remediation of Land (NSW) National Environment Protection (Assessment of Site Contamination) Measure 1999 (Cth) State Environmental Planning Policy No 55 – Remediation of Land (NSW) Cases Cited: ACCC v TPG Internet Pty Ltd (2013) 250 CLR 640 Acohs Pty Ltd v Ucorp Pty Ltd [2012] FCAFC 16; (2012) 201 FCR 173 Alghussein Establishment v Eton College [1988] 1 WLR 587 Amalgamated Investment & Property Co Ltd (in Liq) v Texas Commerce International Bank [1982] QB 84 Bragg v Alam [1981] 1 NSWLR 668 Butcher v Lachlan Elder Realty Pty Ltd (2004) 218 CLR 592 Commonwealth v Verwayen (1990) 170 CLR 394 Con-Stan Industries of Australia Pty Ltd v Norwich Winterthur Insurance (Australia) Ltd (1986) 160 CLR 226 Express Newspapers plc v News (UK) Ltd [1990] 3 All ER 376; (1990) 18 IPR 201 Fitzgerald v Deloitte Services Pty Ltd [2017] NSWCA 139 Grundt v Great Boulder Pty Gold Mines Ltd (1937) 59 CLR 641 Hanave Pty Ltd v LFOT Pty Ltd [1999] FCA 357; (1999) 43 IPR 545 Haros v Linfox [2012] FCAFC 42; (2012) 219 IR 177 Hotham v East India Co (1787) 1 TR 638 ; 99 ER 1295 Jones v Dunkel (1959) 101 CLR 298 Liebe v Molloy (1906) 4 CLR 347 Mackay v Dick (1881) 6 App Cas 251 Mandurah Enterprises Pty Ltd v Western Australian Planning Commission [2008] WASCA 211; (2008) 38 WAR 276 Melbourne Harbour Trust Commissioners v Hancock (1927) 39 CLR 570 Moratic Pty Ltd v Gordon [2007] NSWSC 5; (2007) 13 BPR 24,713 Pavey & Matthews Pty Ltd v Paul (1987) 162 CLR 221 Peter Turnbull & Co Pty Ltd v Mundus Trading Co (A/asia) Pty Ltd (1954) 90 CLR 235 Plaza Pty Ltd v Simon's Earthworks (NSW) Pty Ltd [2010] NSWSC 1426 Renard Constructions (ME) Pty Ltd v Minister for Public Works (1992) 26 NSWLR 234 Ruthol Pty Ltd v Tricon (Australia) [2005] NSWCA 443 Ryledar Pty Ltd t/as Volume Plus v Euphoric Pty Ltd [2007] NSWCA 65; (2007) 69 NSWLR 603 Sprague v Booth [1909] AC 576 The "Indian Grace" (No 2) [1998] AC 878 Wegan Constructions Pty Ltd v Wadonga Sewerage Authority [1978] VR 67; (1977) 36 LGRA 147 Texts Cited: H. G. Beale (ed), Chitty on Contract (Thomson Reuters, 33rd ed, 2018) J. W. Carter, Contract Law in Australia (LexisNexis Butterworths, 6th ed, 2013) Category: Principal judgment Parties: Futurepower Developments Pty Ltd (Plaintiff) TJ & RF Fordham Pty Ltd t/as TRN Group (Defendant) Representation: Counsel: Mr T. Hale SC with Mr D. Robertson (Plaintiff) Mr F. Hicks SC with Ms A. Carr (Defendant)