Dogrow Pty Ltd v Teakdale Pty Ltd [2013] NSWSC 1380

Dogrow Pty Ltd v Teakdale Pty Ltd [2013] NSWSC 1380

The lessor was obliged not to unreasonably withhold consent to the lessee's application for extended trading hours where such consent was necessary for the lessee to discharge its obligations under the lease; withholding consent for reasons unrelated to the lease constituted a breach of that obligation and was a...

Source-derived case information.

Jurisdiction
Australia
Judgment Date
22 August 2013
Procedural Posture
Principal Judgment / Final Decision on Cross Claim
Outcome
Amended cross-claim dismissed; defendant to pay plaintiff's costs, including the cross-claim.
Legal Topics
['leases and Tenancy Agreements' 'construction and Interpretation' 'implied Terms']
['landlord and Tenant' 'equity'] ['leases and Tenancy Agreements' 'construction and Interpretation' 'implied Terms']

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Procedural Posture

Principal Judgment / Final Decision on Cross Claim

Legal Issues

  1. 1 ["Whether the lessor was obliged to consent to the lessee's application to Council for extended trading hours" "Construction of lease clauses regarding 'proper business hours' and 'consent'" 'Applicability of implied terms of co-operation and non-derogation from grant' 'Effect of lease clause excluding implication of terms from pre-contractual promises']

Ratio Decidendi

The lessor was obliged not to unreasonably withhold consent to the lessee's application for extended trading hours where such consent was necessary for the lessee to discharge its obligations under the lease; withholding consent for reasons unrelated to the lease constituted a breach of that obligation and was a derogation from the grant. The attempted use of consent as leverage for rent increase or resolution of other disputes was unreasonable. Clauses 6.01 and 6.13 imposed obligations on the lessee which required such applications; clause 13.05 obliged the lessor not to unreasonably withhold consent; implied terms were not excluded by clause 13.06.

Court Disposition

Amended cross-claim dismissed; defendant to pay plaintiff's costs, including the cross-claim.

Orders

  • ['Amended cross-claim dismissed' "Defendant to pay the plaintiff's costs of the proceedings, including the cross-claim"]