ACT Cross Country Club Inc v Cundy [2010] FCA 782

ACT Cross Country Club Inc v Cundy [2010] FCA 782

The settlement agreement gave Cundy Sports the right to organise and administer the April 2010 Canberra Marathon on the Club's behalf. Because the road authorities required written confirmation from both parties that the dispute had settled before issuing road closure approvals, the Club was under an implied positive duty to co-operate by providing that confirmation. Its failure to do so from 2 March 2010, and continued failure by 15 March 2010, deprived Cundy Sports of the substantial benefit of the contract and was a serious breach of an essential term. Cundy Sports validly terminated the agreement and was entitled to judgment on liability for damages, while the Club's claim for...

Jurisdiction
Australia
Judgment Date
23 July 2010
Procedural Posture
Contract Dispute Concerning Enforcement and Termination of a Settlement Agreement, With Cross Claim for Damages for Breach of Contract / Judgment on the Applicant's Proceedings and the Cross Claim; Damages to Be Assessed
Outcome
The Club's proceedings were dismissed; judgment was entered for Cundy Sports on the cross-claim with damages to be assessed; related motions were dismissed and costs orders made.
Legal Topics
['implied Duty of Co Operation' 'settlement Agreement' 'specific Performance' 'repudiation and Termination' 'costs' 'anti Suit Injunction']
['contract Law' 'civil Procedure'] ['implied Duty of Co Operation' 'settlement Agreement' 'specific Performance' 'repudiation and Termination' 'costs' 'anti Suit Injunction']

Case Brief

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Procedural Posture

Contract Dispute Concerning Enforcement and Termination of a Settlement Agreement, With Cross Claim for Damages for Breach of Contract / Judgment on the Applicant's Proceedings and the Cross Claim; Damages to Be Assessed

Legal Issues

  1. 1 ['Whether the Club breached the settlement agreement by failing to co-operate with Cundy Sports to communicate the fact of settlement to the road authorities.' 'Whether Cundy Sports was entitled to terminate the settlement agreement on 15 March 2010.' 'Whether the Club was entitled to specific performance requiring Cundy Sports to perform the settlement agreement and bring NSD 952 of 2009 to an end.' 'Whether judgment should be entered for Cundy Sports on its cross-claim for damages for breach of contract.']

Ratio Decidendi

The settlement agreement gave Cundy Sports the right to organise and administer the April 2010 Canberra Marathon on the Club's behalf. Because the road authorities required written confirmation from both parties that the dispute had settled before issuing road closure approvals, the Club was under an implied positive duty to co-operate by providing that confirmation. Its failure to do so from 2 March 2010, and continued failure by 15 March 2010, deprived Cundy Sports of the substantial benefit of the contract and was a serious breach of an essential term. Cundy Sports validly terminated the agreement and was entitled to judgment on liability for damages, while the Club's claim for...

Court Disposition

The Club's proceedings were dismissed; judgment was entered for Cundy Sports on the cross-claim with damages to be assessed; related motions were dismissed and costs orders made.

Orders

  • ["The applicant's proceedings be dismissed with costs which may be taxed forthwith." 'Judgment be given for the cross-claimant, damages to be assessed, on the cross-claim.' "The cross-respondent to pay the cross-claimant's costs of the cross-claim to date which may be taxed forthwith." "The applicant's application...