McBride v Christie's Australia Pty Limited [2014] NSWSC 1729

McBride v Christie's Australia Pty Limited [2014] NSWSC 1729

Christie's, HFA, and Ms Sharpe engaged in misleading or deceptive conduct in contravention of s 52 TPA, s 42 FTA, and/or s 12 FTA (Vic), by making false representations concerning the provenance and authenticity of the painting. The plaintiff is entitled to damages as her loss was caused by these contraventions. Liability is apportioned: Christie's 85%, HFA 10%, Ms Sharpe 5%. Christie's additionally liable in deceit and unconscionable conduct. Ms Sharpe liable for breach of fiduciary duty regarding secret commission, and must account to plaintiff for profit. Claims against Mr Holland, plaintiff's claims against Ms Sharpe in negligence, breach of contract and fiduciary duty regarding the...

Parties
1st Plaintiff: Louise McBride; 2nd Plaintiff: Louise McBride Investments t/as Louise McBride Investments Pty Limited as trustee for the LMB Family Superannuation Fund; 1st Defendant: Christie's Australia Pty Ltd; 2nd Defendant: Holland Fine Art & Cars Pty Ltd; 3rd Defendant: Alex Holland; 4th Defendant: Vivienne Sharpe
Jurisdiction
Australia
Judgment Date
04 December 2014
Procedural Posture
Civil Proceedings / Principal Judgment at Trial
Outcome
Plaintiff's claims against Christie's, HFA, and Ms Sharpe succeeded in part; judgment for plaintiff with apportioned liability; claims against Mr Holland and against Ms Sharpe regarding painting (negligence/contract/fiduciary duty) dismissed; Ms Sharpe ordered to account for secret commission; cross-claims dismissed.
Legal Topics
Misleading or Deceptive Conduct, Unconscionable Conduct, Deceit, Money Had and Received, Breach of Fiduciary Duty, Negligence, Proportionate Liability, Auction Law
Equity Commercial Law Torts Consumer Protection Misleading or Deceptive Conduct Unconscionable Conduct Deceit Money Had and Received +4 more

Case Brief

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Parties

Louise McBride

1st Plaintiff

Louise McBride Investments t/as Louise McBride Investments Pty Limited as trustee for the LMB Family Superannuation Fund

2nd Plaintiff

Christie's Australia Pty Ltd

1st Defendant

Holland Fine Art & Cars Pty Ltd

2nd Defendant

Alex Holland

3rd Defendant

Vivienne Sharpe

4th Defendant

Procedural Posture

Civil Proceedings / Principal Judgment at Trial

Legal Issues

  1. 1 Contractual obligations at the auction
  2. 2 Ownership of the painting
  3. 3 Statute barring of claims

Ratio Decidendi

Christie's, HFA, and Ms Sharpe engaged in misleading or deceptive conduct in contravention of s 52 TPA, s 42 FTA, and/or s 12 FTA (Vic), by making false representations concerning the provenance and authenticity of the painting. The plaintiff is entitled to damages as her loss was caused by these contraventions. Liability is apportioned: Christie's 85%, HFA 10%, Ms Sharpe 5%. Christie's additionally liable in deceit and unconscionable conduct. Ms Sharpe liable for breach of fiduciary duty regarding secret commission, and must account to plaintiff for profit. Claims against Mr Holland, plaintiff's claims against Ms Sharpe in negligence, breach of contract and fiduciary duty regarding the...

Court Disposition

Plaintiff's claims against Christie's, HFA, and Ms Sharpe succeeded in part; judgment for plaintiff with apportioned liability; claims against Mr Holland and against Ms Sharpe regarding painting (negligence/contract/fiduciary duty) dismissed; Ms Sharpe ordered to account for secret commission; cross-claims dismissed.

Orders

  • Christie's liable to plaintiff for 85% of $118,788.71 loss.
  • HFA liable to plaintiff for 10% of $118,788.71 loss.