The Owners - Strata Plan 98726 v Elite Realty Development Pty Ltd (No 3) [2024] NSWSC 673

The Owners - Strata Plan 98726 v Elite Realty Development Pty Ltd (No 3) [2024] NSWSC 673

The plaintiff's expert evidence established that the likely total cost of remedying the identified building defects and providing alternative accommodation during remediation was $3,080,269.26. The proposed works were necessary to produce conformity with the building contract and were reasonable, with no evidence that the owners corporation sought an uncovenanted profit or that the costs were out of proportion to the benefit to be gained.

Jurisdiction
Australia
Judgment Date
31 May 2024
Procedural Posture
Equity Technology and Construction List; Building and Construction Claim for Damages for Defects and Breach of Statutory Warranties / Assessment of Damages After Judgment Earlier Entered in Favour of the Plaintiff Against the Builder; the Builder Did Not Participate in the Hearing
Outcome
Judgment entered in favour of the plaintiff against the first defendant in the sum of $3,080,269.26.
Legal Topics
['defective Building Work' 'statutory Warranties' 'rectification Costs' 'assessment of Damages' 'alternative Accommodation During Remediation']
['building and Construction' 'contract' 'damages'] ['defective Building Work' 'statutory Warranties' 'rectification Costs' 'assessment of Damages' 'alternative Accommodation During Remediation']

Case Brief

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Procedural Posture

Equity Technology and Construction List; Building and Construction Claim for Damages for Defects and Breach of Statutory Warranties / Assessment of Damages After Judgment Earlier Entered in Favour of the Plaintiff Against the Builder; the Builder Did Not Participate in the Hearing

Legal Issues

  1. 1 ['Whether the plaintiff proved the likely total cost of remedying the building defects and providing alternative accommodation during remediation works.' 'Whether the proposed rectification work was necessary to produce conformity with the building contract and was a reasonable course to adopt.']

Ratio Decidendi

The plaintiff's expert evidence established that the likely total cost of remedying the identified building defects and providing alternative accommodation during remediation was $3,080,269.26. The proposed works were necessary to produce conformity with the building contract and were reasonable, with no evidence that the owners corporation sought an uncovenanted profit or that the costs were out of proportion to the benefit to be gained.

Court Disposition

Judgment entered in favour of the plaintiff against the first defendant in the sum of $3,080,269.26.

Orders

  • ['Judgment entered in favour of the plaintiff against the first defendant in the sum of $3,080,269.26.']