Security Retirement Pty Limited v Twibill Architects Pty Limited & Anor [2005] NSWCA 325
On the proper construction of the agreement, the special condition requiring the balance of Stage A1 fees to be paid when Development Application documents were ready for lodgement dealt with progress payments only and did not preclude a later adjustment under cl C1.01(d) when the architect's services were terminated. Any entitlement to the adjustment was a new debt and cause of action that could not accrue before termination of the services, which was not earlier than 20 June 1996 and was within the limitation period. Cordukes' pre-construction services and estimate satisfied the reference to a Construction Manager's estimate in cl C1.01(c)(i). The limitation defence was therefore...
- Jurisdiction
- Australia
- Judgment Date
- 08 December 2005
- Procedural Posture
- Civil Appeal / Appeal to the New South Wales Court of Appeal From a District Court Judgment of Ashford J
- Outcome
- Appeal dismissed with costs.
- Legal Topics
- ["architects' Fees" 'raia Client/architect Agreement' 'accrual of Cause of Action' 'progress Payments' "termination of Architect's Services" "construction Manager's Estimate"]
Case Brief
Summary, issues, holding and outcome
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Procedural Posture
Civil Appeal / Appeal to the New South Wales Court of Appeal From a District Court Judgment of Ashford J
Legal Issues
- 1 ["Whether the respondents' claim for architects' fees accrued when the Development Application documents were ready for lodgement or only when the architect's services were terminated or later, for the purposes of s 14 of the Limitation Act 1969." 'Whether Cordukes Pty Limited was a Construction Manager for the purposes of cl C1.01(c)(i) of the agreement.' "Whether the respondents were entitled to calculate fees by reference to Cordukes' estimate under cl C1.01(c)(i)."]
Ratio Decidendi
On the proper construction of the agreement, the special condition requiring the balance of Stage A1 fees to be paid when Development Application documents were ready for lodgement dealt with progress payments only and did not preclude a later adjustment under cl C1.01(d) when the architect's services were terminated. Any entitlement to the adjustment was a new debt and cause of action that could not accrue before termination of the services, which was not earlier than 20 June 1996 and was within the limitation period. Cordukes' pre-construction services and estimate satisfied the reference to a Construction Manager's estimate in cl C1.01(c)(i). The limitation defence was therefore...
Court Disposition
Appeal dismissed with costs.
Orders
- ['Appeal dismissed with costs.']
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