Triple M Mechanical Services Pty Limited v Climate Technologies Pty Limited [2021] NSWSC 1554

Triple M Mechanical Services Pty Limited v Climate Technologies Pty Limited [2021] NSWSC 1554

Sonkor was properly served and did not appear. The FCUs were defective because the motors were not earthed to the chassis, creating a high risk of bearing failure due to electric discharge machining, and replacement of the motors was the only practicable method of correcting the defect. Given the strength of Triple M's evidence and the quantum of its claim, Climate's $800,000 settlement was reasonable and recoverable from Sonkor, together with Climate's reasonable legal costs incurred in defending Triple M's claim and pre-judgment interest.

Jurisdiction
Australia
Judgment Date
02 December 2021
Procedural Posture
Contract Sale of Goods Damages for Defective Goods / Principal Judgment on Cross Claim
Outcome
Judgment for the cross-claimant in the sum of $934,660.19, with costs of the cross-claim payable by the cross-defendant.
Legal Topics
['defective Goods' 'implied Terms of Merchantable Quality and Fitness for Purpose' 'reasonableness of Settlement' 'recovery of Legal Costs as Damages' 'pre Judgment Interest' 'service Out of Jurisdiction']
['contract' 'sale of Goods' 'civil Procedure'] ['defective Goods' 'implied Terms of Merchantable Quality and Fitness for Purpose' 'reasonableness of Settlement' 'recovery of Legal Costs as Damages' 'pre Judgment Interest' 'service Out of Jurisdiction']

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Procedural Posture

Contract Sale of Goods Damages for Defective Goods / Principal Judgment on Cross Claim

Legal Issues

  1. 1 ['Whether the cross-claim had been properly served on Sonkor under Div 2 of Pt 11A of the Uniform Civil Procedure Rules 2005 (NSW).' 'Whether the FCUs supplied by Sonkor were defective and breached implied terms of merchantable quality and fitness for purpose.' "Whether Climate's $800,000 settlement of Triple M's claim was reasonable and recoverable from Sonkor." "Whether Climate could recover legal costs incurred in defending Triple M's claim as damages." 'What amount of pre-judgment interest should be awarded.']

Ratio Decidendi

Sonkor was properly served and did not appear. The FCUs were defective because the motors were not earthed to the chassis, creating a high risk of bearing failure due to electric discharge machining, and replacement of the motors was the only practicable method of correcting the defect. Given the strength of Triple M's evidence and the quantum of its claim, Climate's $800,000 settlement was reasonable and recoverable from Sonkor, together with Climate's reasonable legal costs incurred in defending Triple M's claim and pre-judgment interest.

Court Disposition

Judgment for the cross-claimant in the sum of $934,660.19, with costs of the cross-claim payable by the cross-defendant.

Orders

  • ['Judgment for the cross-claimant in the sum of $934,660.19;' "The cross-defendant pay the cross-claimant's costs of the cross-claim."]