Goldsbrough, Mort and Co Ltd v Quinn [1910] HCA 20

Goldsbrough, Mort and Co Ltd v Quinn [1910] HCA 20

An option to purchase land, given for valuable consideration, is irrevocable during its period. Acceptance within the option period creates a binding contract for sale, enforceable by specific performance. The term 'calculated on a freehold basis' is not ambiguous in context; no evidence was established that the respondent entered into the contract under a sufficiently clear mistake as to its meaning to bar specific performance. There was no unfair dealing, hardship, or unconscionability. The appeal is allowed, and specific performance will be decreed.

Parties
Appellant: Goldsbrough, Mort & Co. Ltd.; Respondent: John Thomas Quinn
Jurisdiction
Australia
Judgment Date
19 May 1910
Procedural Posture
Appeal / Judgment on Appeal
Outcome
appeal allowed
Legal Topics
Specific Performance, Option Contracts, Mistake in Contract, Interpretation of Contract Terms, Irrevocability of Option, Hardship and Unconscionability, Damages in Equity

Case Brief

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Parties

Goldsbrough, Mort & Co. Ltd.

Appellant

John Thomas Quinn

Respondent

Procedural Posture

Appeal / Judgment on Appeal

  1. 1 Whether an option given for value to purchase land is irrevocable
  2. 2 Whether acceptance after repudiation constitutes a binding contract
  3. 3 Whether 'calculated on a freehold basis' is ambiguous and grounds for resisting specific performance

Ratio Decidendi

An option to purchase land, given for valuable consideration, is irrevocable during its period. Acceptance within the option period creates a binding contract for sale, enforceable by specific performance. The term 'calculated on a freehold basis' is not ambiguous in context; no evidence was established that the respondent entered into the contract under a sufficiently clear mistake as to its meaning to bar specific performance. There was no unfair dealing, hardship, or unconscionability. The appeal is allowed, and specific performance will be decreed.

Court Disposition

appeal allowed

Orders

  • Specific performance of agreement decreed.
  • Costs of trial and appeal to be set off against purchase money.