Milner, B.J. & Ors v. Delita Pty Ltd & Ors [1985] FCA 670

Milner, B.J. & Ors v. Delita Pty Ltd & Ors [1985] FCA 670

The affidavits established that the applicants' funds used for the guava investments came from borrowings, from cash resources which probably would otherwise have been used in business, income-earning or investment activities, or from combinations of those sources. The loss claimed as damages by way of interest was the direct or immediate result of the respondents' contravening conduct whether the funds were borrowed or not. The speculative character of the guava investments did not prevent recovery, and no reduction for tax was justified because the asserted tax consequences were not established and could not be quantified except by guesswork. Damages by way of interest were therefore...

Jurisdiction
Australia
Judgment Date
17 December 1985
Procedural Posture
Trade Practices Proceeding for Misleading or Deceptive Conduct and Damages Under the Trade Practices Act 1974 / Further Reasons and Orders After Liability Judgment, Concerning Damages by Way of Interest and Costs
Outcome
Applicants awarded damages by way of interest; declarations, orders, judgments and costs orders made in both proceedings.
Legal Topics
['misleading or Deceptive Conduct' 'damages by Way of Interest Under S. 82' 'relief Under S. 87' 'causation and Nexus' 'costs']
['trade Practices' 'consumer Protection' 'damages' 'civil Procedure'] ['misleading or Deceptive Conduct' 'damages by Way of Interest Under S. 82' 'relief Under S. 87' 'causation and Nexus' 'costs']

Case Brief

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Procedural Posture

Trade Practices Proceeding for Misleading or Deceptive Conduct and Damages Under the Trade Practices Act 1974 / Further Reasons and Orders After Liability Judgment, Concerning Damages by Way of Interest and Costs

Legal Issues

  1. 1 ['Whether the applicants were entitled to damages by way of interest under s. 82 of the Trade Practices Act 1974 for loss directly resulting from conduct contravening s. 52.' "Whether the requisite nexus existed between the respondents' misleading or deceptive conduct and claimed losses where funds were borrowed, partly borrowed, or derived from other sources." 'Whether any damages by way of interest should be reduced for possible income tax consequences of alternative investments.' 'What costs order should be made for proceedings after 19 September 1985.']

Ratio Decidendi

The affidavits established that the applicants' funds used for the guava investments came from borrowings, from cash resources which probably would otherwise have been used in business, income-earning or investment activities, or from combinations of those sources. The loss claimed as damages by way of interest was the direct or immediate result of the respondents' contravening conduct whether the funds were borrowed or not. The speculative character of the guava investments did not prevent recovery, and no reduction for tax was justified because the asserted tax consequences were not established and could not be quantified except by guesswork. Damages by way of interest were therefore...

Court Disposition

Applicants awarded damages by way of interest; declarations, orders, judgments and costs orders made in both proceedings.

Orders

  • ['In matter G85 of 1983, declarations are made in terms of paragraphs 1, 2, 3, 4, 5, 6 and 7 of the short minutes of order initialled by Lockhart J and placed with the papers.' 'In matter G85 of 1983, orders are made in terms of paragraphs 8 and 9 of those short minutes.' 'In matter G85 of 1983, judgment is entered...