Amcor Ltd v Barnes [No 2]

Case [2019] VSC 849


IN THE SUPREME COURT OF VICTORIA Not Restricted

AT MELBOURNE

COMMON LAW DIVISION

S CI 2007 08181

AMCOR LIMITED (ACN 000 017 372) & ORS
(ACCORDING TO THE SCHEDULE ATTACHED)
Plaintiffs
v
TREVOR MARK BARNES & ORS
(ACCORDING TO THE SCHEDULE ATTACHED)
Defendants

(BY ORIGINAL PROCEEDING)

AUSTRALIAN CORRUGATED BOX CO PTY LTD (FORMERLY ACHILLA PTY LTD)
(ACN 104 489 581) & ANOR
(ACCORDING TO THE SCHEDULE ATTACHED)
Plaintiffs by Counterclaim
v
ACN002693843 BOX PTY LTD
(ACN 002 693 843) & ANOR
(ACCORDING TO THE SCHEDULE ATTACHED)
Defendants by Counterclaim

(BY COUNTERCLAIM)

ORORA LIMITED
(FORMERLY AMCOR PACKAGING (AUSTRALIA) PTY LTD) (ACN 004 275 165)
Cross-Claimant
v
AUSTRALIAN CORRUGATED BOX CO PTY LTD (FORMERLY ACHILLA PTY LTD)
(ACN 104 489 581) & ORS
(ACCORDING TO THE SCHEDULE ATTACHED)
Defendants to Cross-Claim

(BY CROSS-CLAIM)

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JUDGE:

SLOSS J

WHERE HELD:

Melbourne

DATE OF HEARING:

25 November 2019 (further submissions filed by the Holihan parties and by the Amcor parties on 3 and 9 December 2019 respectively; Agreed Procedural Chronology provided jointly by the parties on 9 December 2019)

DATE OF JUDGMENT:

20 December 2019

CASE MAY BE CITED AS:

Amcor Ltd & Ors v Barnes & Ors [No 2]

MEDIUM NEUTRAL CITATION:

[2019] VSC 849

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Damages – Quantification of damages payable to plaintiff by counterclaim following completion of special referee process and joint experts’ reports – Whether joint experts’ reports to be adopted – Quantification of damages including any amount by way of interest – Where defendant by counterclaim proposed new methodology based on face value of invoices – Where new methodology was not one considered at trial or by joint experts – Where defendant by counterclaim acknowledged that if new methodology was rejected the joint experts’ quantification should be adopted

Practice and Procedure – Interest – Date from which interest should be calculated on counterclaim – Whether plaintiff by counterclaim entitled to interest from date of commencement of proceeding or from date when counterclaim issued or only from a later date – Whether ‘good cause’ to the contrary had been shown – s 60(1) of the Supreme Court Act 1986.

Practice and Procedure – Interest – Rate at which interest is to be awarded on the judgment sum – Rate is within the Court’s discretion subject to s 60(1) of the Supreme Court Act 1986 – Whether the penalty interest rate or some lesser rate is to be applied

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APPEARANCES:

Counsel Solicitors
For the Plaintiffs by Counterclaim/Defendants to Cross-Claim Mr S J Maiden QC and Ms E L Murphy Mills Oakley
For the Defendants by Counterclaim/Cross-Claimant Mr C Tran Gilbert + Tobin

TABLE OF CONTENTS

Background......................................................................................................................................... 1

Reasons for decision delivered on 28 November 2016............................................................ 1

Ruling No 1.................................................................................................................................... 3

Ruling No 2.................................................................................................................................... 4

Dispute regarding the ‘Amcor Displays jobs’................................................................. 4

The Mines Report was delivered on 12 November 2008............................................... 5

Orders made on 7 December 2018.................................................................................... 5

Ruling No 3.................................................................................................................................... 6

Hearing as to final orders (save as to costs).................................................................................. 9

Summary of the Holihan parties’ position................................................................................... 9

Summary…

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Amcor Ltd v Barnes [No 2] [2019] VSC 849
Case
[2019] VSC 849
Decision Date

CaseChat Overview and Summary

Amcor Limited sought to recover damages for breach of contract against Mr Barnes. In response, Mr Barnes counterclaimed for damages for the supply of defective goods and services. The case was referred to a special referee and two joint experts, who reported on the amount of damages payable. The Supreme Court was required to determine the appropriate quantification of damages and the applicable interest rate. The court found that the new methodology proposed by Mr Barnes was not one that had been considered at trial or by the joint experts. Given this, the court decided to adopt the quantification provided by the joint experts. Regarding interest, the court held that interest should be calculated from the date the counterclaim was issued, not from the commencement of the proceeding. The court exercised its discretion under section 60(1) of the Supreme Court Act 1986 to set the interest rate at a rate lower than the penalty interest rate. The court ordered that Mr Barnes pay Amcor Limited the sum quantified by the joint experts, plus interest at a specified rate from the date the counterclaim was issued.

Orders

Orders of the court

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Background

Background to the litigation

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Evidence

Evidence Before The Court

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Decision

Reasons for decision

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Ratio Decidendi

Legal Principle Established

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