Australian Foods Co Pty Ltd v Co-operative Bulk Handling Ltd

Case [2002] WASC 182


AUSTRALIAN FOODS CO PTY LTD -v- CO-OPERATIVE BULK HANDLING LTD & ORS [2002] WASC 182



SUPREME COURT OF WESTERN AUSTRALIACitation No:[2002] WASC 182
Case No:CIV:1787/20022 JULY 2002
Coram:MATHEWS AJ3/07/02
9Judgment Part:1 of 1
Result: Interim injunction not extended
B
PDF Version
Parties:AUSTRALIAN FOODS CO PTY LTD
CO-OPERATIVE BULK HANDLING LTD
T J SAMPSON PTY LTD
BABOO PTY LTD

Catchwords:

Application for extension of interlocutory injunction
Plaintiff seeking to restrain first defendant from releasing wheat to second and third defendants
Written agreement transferring wheat to second and third defendants inconsistent with alleged oral condition precedent
Finding that written agreement prevailed

Legislation:

Bulk Handling Act 1967

Case References:

Hoyts Pty Ltd v Spencer (1919) 27 CLR 133
Maybury v Atlantic Union Oil Co Ltd (1953) 89 CLR 507
Pym v Campbell (1854) 119 ER 903

ABC v Lenah Game Meats Pty Ltd (2001) 185 ALR 1
Bank of Australasia v Palmer [1897] AC 540
Castlemaine Tooheys Ltd v South Australia (1986) 161 CLR 148
Chapman Bros v Verco Bros & Co Ltd (1933) 49 CLR 306
Christmas Island Resort Pty Ltd v Geraldton Building Co Pty Ltd (No 5) (1997) 18 WAR 334
Dey v Victorian Railways Commissioners (1949) 78 CLR 62
Fancourt v Mercantile Mutual Credits Ltd (1983) 154 CLR 87
Gates v City Mutual Life Assurance Society Ltd (1986) 160 CLR 1
General Steel Industries Inc v Commissioner of Railways (NSW) (1964) 112 CLR 125
H Jones & Co Pty Ltd v Talbot (1948) 180 CLR 63
L G Thorne & Co Pty Ltd v Thomas Borthwick & Sons (A/Asia) Ltd (1955) 56 SR (NSW) 81
Packer v Meagher [1984] 3 NSWLR 486
Re Bond Corporation Holdings Ltd (1990) 1 WAR 465
Webster v Lampard (1993) 177 CLR 598
Williams v Spautz (1992) 174 CLR 509

JURISDICTION : SUPREME COURT OF WESTERN AUSTRALIA
    IN CHAMBERS
CITATION : AUSTRALIAN FOODS CO PTY LTD -v- CO-OPERATIVE BULK HANDLING LTD & ORS [2002] WASC 182 CORAM : MATHEWS AJ HEARD : 2 JULY 2002 DELIVERED : 3 JULY 2002 FILE NO/S : CIV 1787 of 2002 BETWEEN : AUSTRALIAN FOODS CO PTY LTD
    Plaintiff

    AND

    CO-OPERATIVE BULK HANDLING LTD
    First Defendant

    T J SAMPSON PTY LTD
    Second Defendant

    BABOO PTY LTD
    Third Defendant



Catchwords:

Application for extension of interlocutory injunction - Plaintiff seeking to restrain first defendant from releasing wheat to second and third defendants - Written agreement transferring wheat to second and third defendants inconsistent with alleged oral condition precedent - Finding that written agreement prevailed



(Page 2)

Legislation:

Bulk Handling Act 1967




Result:

Interim injunction not extended




Category: B


Representation:


Counsel:


    Plaintiff : Mr C A Grasso
    First Defendant : Mr J A Thomson
    Second Defendant : Mr J A Thomson
    Third Defendant : Mr J A Thomson


Solicitors:

    Plaintiff : Millsteed Grasso
    First Defendant : Michael Whyte & Co
    Second Defendant : Michael Whyte & Co
    Third Defendant : Michael Whyte & Co



Case(s)…
Details
AGLC
Australian Foods Co Pty Ltd v Co-operative Bulk Handling Ltd [2002] WASC 182
Case
[2002] WASC 182
Decision Date

CaseChat Overview and Summary

The case of Australian Foods Co Pty Ltd v Co-operative Bulk Handling Ltd, and others, involves a dispute between the plaintiff, Australian Foods Co Pty Ltd, and the defendants, Co-operative Bulk Handling Ltd, T J Sampson Pty Ltd, and Baboo Pty Ltd. The plaintiff, a grain trader, had entered into contracts with Sampson and Baboo to purchase grain, which was stored in the defendant Co-operative Bulk Handling Ltd's warehouse. The plaintiff subsequently sought to restrain the defendant Co-operative Bulk Handling Ltd from releasing the grain to Sampson and Baboo. The primary legal issue before the court was whether the written agreements signed by the plaintiff and the defendants on 31 May 2002, which purported to transfer ownership of the grain to Sampson and Baboo, were subject to a condition precedent relating to the payment of freight and handling charges.

The court examined the terms of the written agreements and the applicable law, including the parol evidence rule, to determine the legal effect of the agreements. The court found that the terms of the written agreements were clear and unambiguous, and that they provided for the immediate transfer of ownership of the grain to Sampson and Baboo. The court held that the plaintiff's argument that the transfer of ownership was subject to a condition precedent relating to the payment of freight and handling charges was inconsistent with the terms of the written agreements and was therefore not admissible. The court concluded that the written agreements were the full and final expression of the parties' agreement, and that the plaintiff had no legal basis to seek injunctive relief against the defendant Co-operative Bulk Handling Ltd.

The court declined to extend the interim injunction, dismissed the proceedings against Co-operative Bulk Handling Ltd, and directed the plaintiff to file an amended statement of claim within 21 days. The court also proposed to order that the costs of the second and third defendants be paid by the plaintiff, subject to a further application by the defendants for indemnity costs. This decision highlights the importance of clear and unambiguous written agreements, and the limitations on the admissibility of evidence to vary the terms of such agreements.

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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