Gill v Summit Building Design and Construction Pty Ltd [2019] NSWCATCD 5

Gill v Summit Building Design and Construction Pty Ltd [2019] NSWCATCD 5

The builder repudiated the contract by purportedly terminating under clause 17 without having fulfilled its obligations to obtain necessary approvals and without seeking genuine variations; the owners validly accepted the repudiation and are entitled to damages measured by the increased reasonable cost to complete, proven in the sum of $84,494.

Jurisdiction
Australia
Judgment Date
18 January 2019
Procedural Posture
Building Claim (breach of Contract) / Final Decision – Determination After Hearing
Outcome
Application allowed; judgment for the applicants
Legal Topics
['breach of Contract' 'repudiation' 'damages' 'assessment of Damages' 'rectification' 'home Building Agreements']
['contract Law' 'building and Construction'] ['breach of Contract' 'repudiation' 'damages' 'assessment of Damages' 'rectification' 'home Building Agreements']

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Procedural Posture

Building Claim (breach of Contract) / Final Decision – Determination After Hearing

Legal Issues

  1. 1 ['Did the builder terminate or repudiate the contract?' 'What damages flow from the repudiation?' 'Is the quote of Mr Ralph admissible and relevant proof of damages?' 'Should the Tribunal make a work order?']

Ratio Decidendi

The builder repudiated the contract by purportedly terminating under clause 17 without having fulfilled its obligations to obtain necessary approvals and without seeking genuine variations; the owners validly accepted the repudiation and are entitled to damages measured by the increased reasonable cost to complete, proven in the sum of $84,494.

Court Disposition

Application allowed; judgment for the applicants

Orders

  • ['The respondent, Summit Building Design and Construction Pty Ltd, is to pay $84,494.00 to Paramjit Singh Gill and Taswinder Kaur Brar by 1 March 2019.' "The respondent shall pay the applicants' costs of and incidental to the proceedings, on the ordinary basis, as agreed or assessed."]