Lainson Holdings Pty Ltd v Duffy Kennedy Pty Ltd [2019] NSWSC 576

Lainson Holdings Pty Ltd v Duffy Kennedy Pty Ltd [2019] NSWSC 576

An expert determination 'according to law' under the relevant contract and rules does not require the determination to be free from legal error to be binding; as long as the expert acted within the contract's ambit and performed the task required, mistakes of law do not allow court intervention. Therefore, the determination is contractually binding and enforceable despite any alleged legal errors by the expert.

Parties
Plaintiff / Cross Defendant: Lainson Holdings Pty Ltd; First Defendant / Cross Claimant: Duffy Kennedy Pty Ltd; Second Defendant: Sam Wilson
Jurisdiction
Australia
Judgment Date
17 May 2019
Procedural Posture
Summons, Cross Claim / Final Judgment
Outcome
Summons dismissed. Judgment for cross-claimant.
Legal Topics
Expert Determination, Contract Construction, Dispute Resolution Provisions, Binding Nature of Expert Determination
Contract Law Alternative Dispute Resolution Expert Determination Contract Construction Dispute Resolution Provisions Binding Nature of Expert Determination

Case Brief

Summary, issues, holding and outcome

More case intelligence is available

Unlock the full research layer for this judgment.

Full judgment text Downloadable case file Legal principles 3 Authorities cited 15 Party arguments 2 Amounts and remedies 1
Sign in to unlock

Parties

Lainson Holdings Pty Ltd

Plaintiff / Cross Defendant

Duffy Kennedy Pty Ltd

First Defendant / Cross Claimant

Sam Wilson

Second Defendant

Procedural Posture

Summons, Cross Claim / Final Judgment

Legal Issues

  1. 1 Whether an expert determination provision requiring a determination 'according to law' renders the determination susceptible to review for legal error.
  2. 2 Whether a mistake of law by the expert in the determination allows the court to intervene or set aside the determination.
  3. 3 Whether the expert determination is binding despite alleged errors.

Ratio Decidendi

An expert determination 'according to law' under the relevant contract and rules does not require the determination to be free from legal error to be binding; as long as the expert acted within the contract's ambit and performed the task required, mistakes of law do not allow court intervention. Therefore, the determination is contractually binding and enforceable despite any alleged legal errors by the expert.

Court Disposition

Summons dismissed. Judgment for cross-claimant.

Orders

  • Judgment for Duffy Kennedy Pty Ltd (Cross Claimant) for the amount determined by the Expert, adjusted for the effluxion of time since the Determination, or as otherwise required, and $82,796.25.
  • Lainson Holdings Pty Ltd's Summons dismissed.