AYOUB v BP AUSTRALIA LTD and ORS [1994] NSWCA 12

AYOUB v BP AUSTRALIA LTD and ORS [1994] NSWCA 12

The Secret Agreement between Ayoub and Young was entered into with the object of defrauding BP and was deliberately concealed; thus, it is void and does not bind BP or the appellant. The Deed of Confirmation executed by Michael Ayoub was not unjust under the Contracts Review Act 1980 (NSW) as he was fully advised by...

Source-derived case information.

Parties
Appellant: Michael Ayoub; Respondent: George Ayoub; Respondent: BP Australia Ltd; Respondent: AJ Young Pty Ltd; Respondent: Redray Pty Ltd
Jurisdiction
Australia
Judgment Date
28 April 1994
Procedural Posture
Civil / Appeal
Outcome
appeal dismissed
Legal Topics
Contracts Review Act 1980 (nsw), Fraud, Estoppel, Guarantee, Illegality, Unconscionable Conduct
Contract Law Contracts Review Act 1980 (nsw) Fraud Estoppel Guarantee Illegality Unconscionable Conduct

Source-derived case record

Summary, issues, holding and outcome

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Parties

Michael Ayoub

Appellant

George Ayoub

Respondent

BP Australia Ltd

Respondent

AJ Young Pty Ltd

Respondent

Redray Pty Ltd

Respondent

Procedural Posture

Civil / Appeal

Legal Issues

  1. 1 Whether the Secret Agreement executed between Ayoub and Young constituted a fraud on BP and limited their liability
  2. 2 Whether the Deed of Confirmation executed by Michael Ayoub was unjust under the Contracts Review Act 1980 (NSW)

Ratio Decidendi

The Secret Agreement between Ayoub and Young was entered into with the object of defrauding BP and was deliberately concealed; thus, it is void and does not bind BP or the appellant. The Deed of Confirmation executed by Michael Ayoub was not unjust under the Contracts Review Act 1980 (NSW) as he was fully advised by solicitors and voluntarily ratified the transaction.

Court Disposition

appeal dismissed

Orders

  • Appeal dismissed with costs.
  • BP Australia Ltd is entitled to the relief obtained from Rolfe J.