Macquarie Equipment Rentals Pty Ltd v RJT Trans-Aus Pty Ltd and Tony O’Bied [2009] NSWLC 19

Macquarie Equipment Rentals Pty Ltd v RJT Trans-Aus Pty Ltd and Tony O’Bied [2009] NSWLC 19

In the circumstances, a binding contract was formed through the conduct of the parties: the defendants' substantial performance of contract obligations (payment of multiple instalments including missed ones) sufficed as acceptance by conduct and evidenced mutual assent, notwithstanding the absence of a signed acceptance by Macquarie. The agency relationship was found to exist between Macquarie and CMS for the transaction, and allegations of misrepresentation by the defendant were unsupported by credible evidence.

Parties
Plaintiff: Macquarie Equipment Rentals Pty Ltd; First Defendant: RJT Trans-Aus Pty Ltd; Second Defendant; Guarantor: Tony O'Bied
Jurisdiction
Australia
Judgment Date
25 September 2009
Procedural Posture
Civil / Judgment at First Instance
Outcome
Judgment for the Plaintiff
Legal Topics
Undisclosed Principal, Formation of Contract, Agency Relationships, Misrepresentation
Contract Law Agency Law Undisclosed Principal Formation of Contract Agency Relationships Misrepresentation

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Parties

Macquarie Equipment Rentals Pty Ltd

Plaintiff

RJT Trans-Aus Pty Ltd

First Defendant

Tony O'Bied

Second Defendant; Guarantor

Procedural Posture

Civil / Judgment at First Instance

Legal Issues

  1. 1 Whether the rental agreement was formed by acceptance of offer
  2. 2 Whether an agency relationship existed between Macquarie and CMS
  3. 3 Whether any misrepresentation or misleading conduct vitiated the agreement

Ratio Decidendi

In the circumstances, a binding contract was formed through the conduct of the parties: the defendants' substantial performance of contract obligations (payment of multiple instalments including missed ones) sufficed as acceptance by conduct and evidenced mutual assent, notwithstanding the absence of a signed acceptance by Macquarie. The agency relationship was found to exist between Macquarie and CMS for the transaction, and allegations of misrepresentation by the defendant were unsupported by credible evidence.

Court Disposition

Judgment for the Plaintiff

Orders

  • Judgment and verdict for the Plaintiff against both Defendants for $14,746.16 together with interest.
  • Defendants to pay Plaintiff's costs and disbursements on the ordinary basis from 07/04/2007.