GE Commercial Corporation (Aust) Pty Ltd v Mell Associates Pty Ltd & Ors [2009] NSWSC 787

GE Commercial Corporation (Aust) Pty Ltd v Mell Associates Pty Ltd & Ors [2009] NSWSC 787

Clause 3 of LMC's invoice terms (specifically ROT-4) was incorporated into the sale contracts and expressly authorised Oakhurst to on-sell caravans in the ordinary course of business, passing good title to purchasers such as GE; thus, title to the fifty-eight caravans passed validly to GE, notwithstanding any unpaid amounts owed by Oakhurst to LMC.

Jurisdiction
Australia
Judgment Date
13 August 2009
Procedural Posture
Principal Judgment / Judgment at First Instance (equity Division)
Outcome
Declaration for Plaintiff; Amended Cross Claim dismissed.
Legal Topics
['sale of Goods' 'retention of Title' 'contract Formation' 'incorporation of Terms' 'passing of Title']
['commercial Law' 'contract Law'] ['sale of Goods' 'retention of Title' 'contract Formation' 'incorporation of Terms' 'passing of Title']

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Procedural Posture

Principal Judgment / Judgment at First Instance (equity Division)

Legal Issues

  1. 1 ['Whether retention of title clauses formed part of the contract between LMC and Oakhurst' 'Whether those clauses were void for uncertainty' 'Whether the contract authorised on-sale by the dealer with passing of title' 'Whether title passed to GE under the relevant contracts/statutes']

Ratio Decidendi

Clause 3 of LMC's invoice terms (specifically ROT-4) was incorporated into the sale contracts and expressly authorised Oakhurst to on-sell caravans in the ordinary course of business, passing good title to purchasers such as GE; thus, title to the fifty-eight caravans passed validly to GE, notwithstanding any unpaid amounts owed by Oakhurst to LMC.

Court Disposition

Declaration for Plaintiff; Amended Cross Claim dismissed.

Orders

  • ['Declaration that Plaintiff has good title, as against Third Defendant, to the goods itemised in Exhibit P3.' 'Amended Cross Claim dismissed.' 'Parties to be heard as to costs.']