Aghajanian v Stanley Thompson Valuers Pty Ltd

The dispute in this case involved Aghajanian, the plaintiff, and Stanley Thompson Valuers Pty Ltd, the defendant. The plaintiff sought damages for losses incurred when purchasing a property based on an allegedly negligent valuation report prepared by the defendant for a financier. The case was heard in the Supreme Court of Queensland. The primary legal issues before the court were whether the defendant owed a duty of care to the plaintiff and, if so, whether a breach of that duty caused the plaintiff's loss. Additionally, the court had to determine whether the defendant's conduct constituted misleading or deceptive conduct under consumer protection laws.

The court examined whether a duty of care existed between the valuer and the intended purchaser of the property. It was held that a duty of care could be owed in certain circumstances where the valuer knew or should have known that their valuation report would be relied upon by a specific third party, such as the purchaser. The court further found that the defendant owed a duty of care to the plaintiff, as the valuer was aware that the valuation would be used by the financier and ultimately relied upon by the plaintiff in their purchase decision. Regarding causation, the court held that the plaintiff had to prove that the defendant's negligence was the cause of their loss, and the loss was not too remote. The court concluded that the plaintiff had successfully demonstrated that the negligent valuation directly caused the loss.

The court ultimately found in favour of the plaintiff, awarding damages for the loss suffered due to the negligent valuation. The court also found that the defendant's conduct constituted misleading or deceptive conduct under consumer protection laws, as the valuation report was knowingly or recklessly prepared without proper regard for accuracy. The court ordered the defendant to pay damages to the plaintiff for the loss incurred, as well as a penalty for the misleading or deceptive conduct under the consumer protection legislation.