AXL Trading Pty Ltd v Prosha Pty Ltd [2010] NSWADT 301

AXL Trading Pty Ltd v Prosha Pty Ltd [2010] NSWADT 301

The lease was statutorily extended to five years under s.16 of the Retail Leases Act 1994 due to the absence of a s.16(3) certificate, meaning early termination by the Respondents was unlawful. As a result, the Respondents' actions in locking out the Applicant, removing and not properly safeguarding the Applicant’s goods, constituted a breach of the lease and breach of duty of care as bailee. The Applicant was entitled to damages based on the value of lost/damaged goods and chattels, discounted for evidentiary uncertainties, and to recover its remaining goods and certain cash from storage.

Jurisdiction
Australia
Judgment Date
17 December 2010
Procedural Posture
Retail Tenancy Dispute / Final Determination/decision After Hearing
Outcome
Applicant's claim partially upheld; Respondent's cross-application largely dismissed. Substantial damages awarded to Applicant, with set-off for rent. Applicant to recover goods. Liberty to apply.
Legal Topics
['statutory Lease Extension' 'unlawful Termination' 'damages for Lost/damaged Property' 'bailment' 'surveillance Devices Act' 'notice Requirements for Termination']

Case Brief

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Procedural Posture

Retail Tenancy Dispute / Final Determination/decision After Hearing

  1. 1 ['Whether s.16 of Retail Leases Act 1994 extended the lease term to five years' "Whether the lockout and removal of Applicant's goods was wrongful" 'Whether the Respondents properly took care of the Applicant’s goods as bailee' 'Assessment of damages for loss/destruction of goods and chattels' 'Admissibility of surveillance evidence under the Surveillance Devices Act']

Ratio Decidendi

The lease was statutorily extended to five years under s.16 of the Retail Leases Act 1994 due to the absence of a s.16(3) certificate, meaning early termination by the Respondents was unlawful. As a result, the Respondents' actions in locking out the Applicant, removing and not properly safeguarding the Applicant’s goods, constituted a breach of the lease and breach of duty of care as bailee. The Applicant was entitled to damages based on the value of lost/damaged goods and chattels, discounted for evidentiary uncertainties, and to recover its remaining goods and certain cash from storage.

Court Disposition

Applicant's claim partially upheld; Respondent's cross-application largely dismissed. Substantial damages awarded to Applicant, with set-off for rent. Applicant to recover goods. Liberty to apply.

Orders

  • ['Respondent to pay Applicant $108,707.47 in damages.' 'Applicant to collect all its goods, chattels, and $120.00 cash from RestorX warehouse at own cost within 14 days; Respondent to arrange access.' 'Liberty to apply in relation to monetary calculations or implementation of Order 2.' 'Procedure for any costs...