Crawford-Elias v R & A Developments Pty Ltd [1999] NSWSC 903

Crawford-Elias v R & A Developments Pty Ltd [1999] NSWSC 903

The defendant had unequivocally repudiated the contract on grounds that were not a proper basis for repudiation. The plaintiff elected to treat the contract as on foot. Although future events might affect completion, including possible rescission after 30 September 1999 or refusal by the Bank to provide a discharge of mortgage, it was not clear at the time that performance would be impossible. Declaratory relief was therefore appropriate, but specific performance orders requiring particular acts were not appropriate because completion had not yet arrived and there was no evidence that the defendant was failing to pursue registration of the strata subdivision plan. Indemnity costs were...

Jurisdiction
Australia
Judgment Date
31 August 1999
Procedural Posture
Equity Proceedings Concerning Conveyancing, Breach of Contract, Declaration of Right and Specific Performance / Final Hearing on the Summons in the Absence of the Defendant
Outcome
Declaration made that the contract was binding and enforceable and that the parties were bound to perform it; liberty to apply granted; defendant ordered to pay the plaintiff's costs on the indemnity basis.
Legal Topics
['vendor and Purchaser' 'repudiation of Contract for Sale of Land' 'declaratory Relief' 'specific Performance' 'indemnity Costs']
['equity' 'conveyancing' 'contract' 'costs'] ['vendor and Purchaser' 'repudiation of Contract for Sale of Land' 'declaratory Relief' 'specific Performance' 'indemnity Costs']

Case Brief

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Procedural Posture

Equity Proceedings Concerning Conveyancing, Breach of Contract, Declaration of Right and Specific Performance / Final Hearing on the Summons in the Absence of the Defendant

Legal Issues

  1. 1 ["Whether the defendant's purported repudiation of the contract for sale was justified by undervalue, lack of consent by the mortgagee or receiver, or unwillingness of the receiver to complete." 'Whether the Court should grant declaratory relief that the contract remained binding and enforceable despite possible future difficulties concerning strata subdivision registration or discharge of the mortgage.' 'Whether limited orders for specific performance should be made at that stage.' 'Whether the plaintiff should receive indemnity costs.']

Ratio Decidendi

The defendant had unequivocally repudiated the contract on grounds that were not a proper basis for repudiation. The plaintiff elected to treat the contract as on foot. Although future events might affect completion, including possible rescission after 30 September 1999 or refusal by the Bank to provide a discharge of mortgage, it was not clear at the time that performance would be impossible. Declaratory relief was therefore appropriate, but specific performance orders requiring particular acts were not appropriate because completion had not yet arrived and there was no evidence that the defendant was failing to pursue registration of the strata subdivision plan. Indemnity costs were...

Court Disposition

Declaration made that the contract was binding and enforceable and that the parties were bound to perform it; liberty to apply granted; defendant ordered to pay the plaintiff's costs on the indemnity basis.

Orders

  • ['I declare that there was and is a binding and enforceable contract between the plaintiff as purchaser and the defendant as vendor in terms of the "Contract for the sale of land - 1996 edition" between the parties dated 14 April 1999 relating to the land in the schedule hereto and that the parties are bound to...