Thomas v Hollier [1984] HCA 35

Thomas v Hollier [1984] HCA 35

The High Court (majority: Mason, Wilson and Brennan JJ.) held there was no consideration for the appellant's personal promise and the I.O.U. was not enforceable against him personally; there was no intention or evidence to effect a novation or replace the intercompany liability with interpersonal liability. The appeal was allowed.

Jurisdiction
Australia
Procedural Posture
Civil Appeal / High Court Appeal From the Court of Appeal of the Supreme Court of New South Wales
Outcome
Appeal allowed
Legal Topics
['consideration' 'enforceability of I.o.u.' 'novation' 'company Liability' 'evidence of Debt']
['contract Law'] ['consideration' 'enforceability of I.o.u.' 'novation' 'company Liability' 'evidence of Debt']

Case Brief

Summary, issues, holding and outcome

More case intelligence is available

Unlock the full research layer for this judgment.

Full judgment text Downloadable case file Legal principles 1 Authorities cited 2 Party arguments 2 Amounts and remedies 1
Sign in to unlock

Procedural Posture

Civil Appeal / High Court Appeal From the Court of Appeal of the Supreme Court of New South Wales

Legal Issues

  1. 1 ["Whether there was consideration for the appellant's personal promise to pay the respondent the sum set out in the I.O.U." 'Whether the I.O.U. executed by the appellant created a legally enforceable debt between the parties as individuals rather than between their respective companies.']

Ratio Decidendi

The High Court (majority: Mason, Wilson and Brennan JJ.) held there was no consideration for the appellant's personal promise and the I.O.U. was not enforceable against him personally; there was no intention or evidence to effect a novation or replace the intercompany liability with interpersonal liability. The appeal was allowed.

Court Disposition

Appeal allowed

Orders

  • ['Order of Court of Appeal of Supreme Court of New South Wales set aside' 'In lieu, order that the appeal to that Court be allowed with costs' 'Judgment of Cross J. set aside and judgment for the defendant against the plaintiff with costs']