Able Demolitions and Excavations Pty Ltd v Wilson

The case of Able Demolitions and Excavations Pty Ltd v Wilson involves a dispute over the existence of a contract between the parties, specifically regarding the marketing of plant and equipment by the respondent, AME. The case was heard in the Federal Court of Australia. The primary issue before the court was whether a binding contract existed between the parties, and if so, whether it was breached and what remedies, if any, were available to the plaintiff.

The court examined the parties' conduct and communications to determine if there was an intention to create a legally binding contract. It found that the parties had reached an agreement on essential terms, such as the objective to sell $4 million worth of plant and equipment, and that AME had commenced marketing activities in reliance on this agreement. The court also considered the principle that a party can rely on a prior breach of contract to terminate the agreement, even if they were unaware of the breach at the time of their own non-performance.

The court concluded that a binding contract existed between the parties, and that the respondent had breached it by wrongfully receiving funds from the buyer, CSI. This breach allowed the plaintiff to terminate the contract and seek damages for loss of bargain. The court awarded the plaintiff damages for the loss of the contract and the associated profits they would have made.

The final orders of the court included a declaration that a binding contract existed between the parties, that the respondent breached the contract by receiving funds from the buyer, and that the plaintiff was entitled to damages for the loss of the contract. The court also ordered the respondent to pay the plaintiff's costs of the proceeding.