Budiyanto v KPI 6 Pty Ltd [2018] NSWSC 1313

Budiyanto v KPI 6 Pty Ltd [2018] NSWSC 1313

The vendor did not have a right to terminate the contract, as the obligation to replace the deposit bond was not expressed to be an essential term and time was not of the essence; termination was invalid without a proper notice to perform; the contract remains on foot.

Jurisdiction
Australia
Judgment Date
28 August 2018
Procedural Posture
Principal Judgment / Determination Following Hearing
Outcome
Vendor's termination of contract invalid; contract remains on foot.
Legal Topics
['contract for Sale of Land' 'deposit Bond' 'essential Term' 'right to Terminate Contract' 'notice to Perform' 'time Stipulation']

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Procedural Posture

Principal Judgment / Determination Following Hearing

  1. 1 ['Whether vendor validly terminated contract for breach regarding deposit bond replacement' 'Whether time stipulation in contract was an essential term giving rise to right to terminate' 'Whether notice to perform issued so as to make performance essential' 'Whether contract was varied or estoppel applied']

Ratio Decidendi

The vendor did not have a right to terminate the contract, as the obligation to replace the deposit bond was not expressed to be an essential term and time was not of the essence; termination was invalid without a proper notice to perform; the contract remains on foot.

Court Disposition

Vendor's termination of contract invalid; contract remains on foot.

Orders

  • ["Declaration that vendor's termination was invalid and contract remains on foot" "Defendant to pay plaintiffs' costs of the proceedings to date"]