Ray v Davies [1909] HCA 51

Ray v Davies [1909] HCA 51

The purchaser's refusal to execute the mortgage unless certain disputed costs were paid was only a qualified refusal not going to the root of the contract. Assuming there was an implied obligation to execute the mortgage, the refusal did not entitle the vendor to rescind. The purchaser was entitled to an injunction...

Source-derived case information.

Parties
Appellant: H. S. Ray; Appellant: Robert Ray; Respondent: Marion Davies
Jurisdiction
Australia
Judgment Date
20 August 1909
Procedural Posture
Appeal / Decision on Appeal From the Supreme Court of New South Wales
Outcome
appeal dismissed with costs
Legal Topics
Vendor and Purchaser, Contract for Sale of Land, Specific Performance, Implied Obligations, Rescission
Property Law Equity Vendor and Purchaser Contract for Sale of Land Specific Performance Implied Obligations Rescission

Source-derived case record

Summary, issues, holding and outcome

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Parties

H. S. Ray

Appellant

Robert Ray

Appellant

Marion Davies

Respondent

Procedural Posture

Appeal / Decision on Appeal From the Supreme Court of New South Wales

Legal Issues

  1. 1 Whether there was an implied obligation on the purchaser to execute a mortgage if arranged by the vendor under a contract for sale of land.
  2. 2 Whether the purchaser's qualified refusal to execute the mortgage entitled the vendor to rescind the contract.
  3. 3 Whether the purchaser was entitled to an injunction restraining an ejectment and a decree for specific performance.

Ratio Decidendi

The purchaser's refusal to execute the mortgage unless certain disputed costs were paid was only a qualified refusal not going to the root of the contract. Assuming there was an implied obligation to execute the mortgage, the refusal did not entitle the vendor to rescind. The purchaser was entitled to an injunction restraining the ejectment and to a decree for specific performance, subject to compensation if appropriate.

Court Disposition

appeal dismissed with costs

Orders

  • The appeal is dismissed with costs.
  • Decree for specific performance granted to purchaser, subject to compensation if necessary.