George v Greater Adelaide Land Development Company Limited [1929] HCA 40
A contract for sale of land entered into before compliance with the Town Planning and Development Act 1920 (S.A.)—even if expressly made subject to compliance—is unlawful and invalid; moneys paid under such a contract are not recoverable in the absence of fraud or inequitable circumstances, as both parties were in pari delicto.
- Parties
- Defendant / Appellant: George; Plaintiff / Respondent: Greater Adelaide Land Development Company Limited
- Jurisdiction
- Australia
- Procedural Posture
- Appeal / On Appeal From the Supreme Court of South Australia
- Outcome
- Appeal allowed in part; Supreme Court judgment set aside in part and substituted; neither side recovers on contract or counterclaim
- Legal Topics
- Statutory Illegality in Contracts, Town Planning and Development Act Compliance, Contract Recovery and Restitution, Interpretation of Sale and Subdivision Statutes
Case Brief
Summary, issues, holding and outcome
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Parties
George
Defendant / Appellant
Greater Adelaide Land Development Company Limited
Plaintiff / Respondent
Procedural Posture
Appeal / On Appeal From the Supreme Court of South Australia
Legal Issues
- 1 Whether a contract for sale of land subject to statute compliance, made before statutory requirements met, is illegal and invalid under the Town Planning and Development Act 1920 (S.A.)
- 2 Whether moneys paid under such illegal contracts can be recovered by the purchaser
- 3 Whether the land was 'subdivided land' as defined under the Land Agents Acts 1925-1927 (S.A.) at the relevant time
Ratio Decidendi
A contract for sale of land entered into before compliance with the Town Planning and Development Act 1920 (S.A.)—even if expressly made subject to compliance—is unlawful and invalid; moneys paid under such a contract are not recoverable in the absence of fraud or inequitable circumstances, as both parties were in pari delicto.
Court Disposition
Appeal allowed in part; Supreme Court judgment set aside in part and substituted; neither side recovers on contract or counterclaim
Orders
- The action and counterclaim both dismissed.
- Costs ordered: Appellant to pay costs relating to issue of statutory compliance and counterclaim; Respondent to pay costs of other issues and entire appeal costs.
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