Bebonis & Anor v Angelos & Ors; Christopoulos & Anor v Angelos & Ors [2003] NSWCA 13

Bebonis & Anor v Angelos & Ors; Christopoulos & Anor v Angelos & Ors [2003] NSWCA 13

Section 127 of the Real Property Act does not bar a purchaser's remedy against a vendor (or vendor's solicitor) for negligent misrepresentation in answering requisitions on title. Vendors owe purchasers a duty of care when responding to requisitions if information is provided voluntarily, and may be held liable in negligence if that information is inaccurate and loss results. The Court of Appeal can grant leave to amend pleadings to restore a claim in negligence even after expiry of the limitation period where the claim arises from substantially the same facts and justice requires this. Damages are to be assessed at the date the defect in title was exposed, based on loss in value due to...

Parties
Appellant/respondent (vendor): Peter Bebonis; Appellant/respondent (vendor): Soula Bebonis; Respondent (solicitor): Nicholas P Angelos; Appellant (purchaser): Theodoros Christopoulos; Appellant (purchaser): Sotiria Christopoulos
Jurisdiction
Australia
Judgment Date
10 February 2003
Procedural Posture
Civil Appeal / Appeal From District Court of New South Wales to NSW Court of Appeal
Outcome
Appeal by purchasers against vendors allowed; appeal against solicitor dismissed; leave granted to amend proceedings; judgment entered for purchasers against vendors for $25,000 plus interest; orders as per para 112 of the judgment.
Legal Topics
Requisition on Title, Duty of Care by Vendor and Solicitor, Negligent Misrepresentation, Amendment to Raise Statute Barred Cause of Action
Conveyancing Negligence Pleading Requisition on Title Duty of Care by Vendor and Solicitor Negligent Misrepresentation Amendment to Raise Statute Barred Cause of Action

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Parties

Peter Bebonis

Appellant/respondent (vendor)

Soula Bebonis

Appellant/respondent (vendor)

Nicholas P Angelos

Respondent (solicitor)

Theodoros Christopoulos

Appellant (purchaser)

Sotiria Christopoulos

Appellant (purchaser)

Procedural Posture

Civil Appeal / Appeal From District Court of New South Wales to NSW Court of Appeal

Legal Issues

  1. 1 Does s 127 of the Real Property Act bar a purchaser's common law remedies against third parties (vendors, solicitor)?
  2. 2 Did the vendors and/or their solicitor owe and breach a duty of care to the purchasers when answering requisitions on title?
  3. 3 Can Court of Appeal grant leave to amend statement of claim to add a statute barred cause of action (negligent misrepresentation)?

Ratio Decidendi

Section 127 of the Real Property Act does not bar a purchaser's remedy against a vendor (or vendor's solicitor) for negligent misrepresentation in answering requisitions on title. Vendors owe purchasers a duty of care when responding to requisitions if information is provided voluntarily, and may be held liable in negligence if that information is inaccurate and loss results. The Court of Appeal can grant leave to amend pleadings to restore a claim in negligence even after expiry of the limitation period where the claim arises from substantially the same facts and justice requires this. Damages are to be assessed at the date the defect in title was exposed, based on loss in value due to...

Court Disposition

Appeal by purchasers against vendors allowed; appeal against solicitor dismissed; leave granted to amend proceedings; judgment entered for purchasers against vendors for $25,000 plus interest; orders as per para 112 of the judgment.

Orders

  • Leave granted to amend notice of appeal and statement of claim as specified.
  • Appeal against judgment in favour of Nicholas P Angelos dismissed with costs.