ANT Building Pty Ltd ABN 64 128 896 622 v Makavelli Interiors and Fitouts Pty Ltd ABN 39 605 337 246

In the case of ANT Building Pty Ltd v Makavelli Interiors and Fitouts Pty Ltd, the dispute revolved around the termination of a building contract and the subsequent assessment of damages and restitution. The Federal Circuit and Family Court of Australia was tasked with determining the extent of damages owed by the defendant to the plaintiff following the repudiation of the contract, as well as the applicability of any restitutionary claims.

The court was required to decide on the legal principles that govern the assessment of damages for breach of contract, particularly in the context of a repudiated contract. Additionally, the court had to determine the grounds for any restitutionary claims that might exist, focusing on whether the defendant had been unjustly enriched at the plaintiff’s expense. The court also needed to address the appropriate basis for awarding costs, specifically whether a gross sum costs order was justified.

In its decision, the court found that the defendant’s actions constituted a repudiation of the contract, entitling the plaintiff to damages. The court meticulously calculated the damages based on the loss of profit and other direct losses suffered by the plaintiff due to the contract's termination. The court further determined that the defendant had been unjustly enriched and ordered the defendant to pay $15,000 by way of restitution. The court also considered the proportionality of the costs incurred by the plaintiff and awarded a gross sum costs order to the plaintiff. The final orders mandated that the defendant pay the plaintiff $252,128.40 in damages and an additional $15,000 by way of restitution.