El Ali v Tritton [2019] NSWCA 111

El Ali v Tritton [2019] NSWCA 111

Where the innocent party to a contract for sale of land does not accept the repudiation, seeks specific performance in good faith and the contract is ultimately lost through a sale to a third party, damages are to be assessed at the date the remedy of specific performance was no longer available (here, when the property was sold). Damages for increased construction costs, rental, or interest that are unrelated to the contracted property, not proven, or too remote are not recoverable.

Parties
Appellant: Mahmoud El Ali; First Respondent: Stephen Wesley Tritton; Second Respondent: Louise Jane Tritton
Jurisdiction
Australia
Judgment Date
17 May 2019
Procedural Posture
Appeal / Appellate Judgment
Outcome
Appeal allowed
Legal Topics
Damages for Breach of Contract, Date of Assessment of Damages, Remedies — Specific Performance, Remoteness of Damages
Contracts Damages for Breach of Contract Date of Assessment of Damages Remedies — Specific Performance Remoteness of Damages

Case Brief

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Parties

Mahmoud El Ali

Appellant

Stephen Wesley Tritton

First Respondent

Louise Jane Tritton

Second Respondent

Procedural Posture

Appeal / Appellate Judgment

Legal Issues

  1. 1 Proper date for assessment of damages for breach of contract for sale of land where specific performance was sought but ultimately not available
  2. 2 Remoteness of damages for increased building costs, rental payments, and interest on a loan relating to the breach
  3. 3 Sufficiency of evidence for assessing loss associated with alternative property, rental, and finance costs

Ratio Decidendi

Where the innocent party to a contract for sale of land does not accept the repudiation, seeks specific performance in good faith and the contract is ultimately lost through a sale to a third party, damages are to be assessed at the date the remedy of specific performance was no longer available (here, when the property was sold). Damages for increased construction costs, rental, or interest that are unrelated to the contracted property, not proven, or too remote are not recoverable.

Court Disposition

Appeal allowed

Orders

  • Appeal allowed.
  • Order 1 made by the primary judge on 13 June 2018 set aside.