Bales Investments Pty Ltd v Cessnock City Council (No 2)

Case [2009] NSWLEC 1187



Land and Environment Court


of New South Wales


CITATION: Bales Investments Pty Ltd v Cessnock City Council (No 2) [2009] NSWLEC 1187
PARTIES:

APPLICANT
Bales Investments Pty Ltd

RESPONDENT
Cessnock City Council
FILE NUMBER(S): 11080 of 2008
CORAM: Bly C
KEY ISSUES: :- NOTICE OF MOTION; amendment of condition of consent
LEGISLATION CITED: Uniform Civil Procedure Rules 2005
CASES CITED: Bales Investment Proprietary Limited and others v Cessnock City Council [2009] NSWLEC 1102
Dayho v Rockdale City Council [2004] NSWLEC 184
Newmont Yandall Operations Proprietary Limited v Aron Corporation Goldman Sachs Group Incorporated [2007] 17 NSWLR 411
Autodesk Incorporated and others v Dyason and others [No 2] 1992-1993 176CLR
Wentworth v Rogers [No 9] 1987 8 NSWLR 388
DATES OF HEARING: 1 May 2009
EX TEMPORE JUDGMENT DATE: 1 May 2009
LEGAL REPRESENTATIVES:

APPLICANT
C R Ireland (barrister)
SOLICITOR
O'Sullivan Saddington

RESPONDENT
T G Howard (barrister)
SOLICITOR
Mallick Rees


JUDGMENT:

      THE LAND AND
      ENVIRONMENT COURT
      OF NEW SOUTH WALES

      Bly C

      1 MAY 2009

      08/11080 BALES INVESTMENTS PTY LTD AND ANOR v CESSNOCK CITY COUNCIL
      This decision was given extemporaneously. It has been revised and edited prior to publication.

      JUDGMENT

1 COMMISSIONER: On 8 April 2009 I handed down judgment in the matter of Bales Investment Proprietary Ltd and others v Cessnock City Council [2009] NSWLEC 1102. In that judgment I ordered that the appeal be upheld and the conditions of consent for the Wentworth Hotel be variously modified.

2 The respondent council in those proceedings filed on 14 April 2009 a Notice of Motion seeking the variation of Order No 2(2), particularly in relation to Condition 3 as referred to in the orders.

3 Modified Condition 3 provides that-

          “The development shall be undertaken strictly in accordance with the details set out in the application form including the modified 2008 security management plan and accompanying documents dated 31 July 2008 as modified by these conditions and:

      (a) compliance audits shall be carried out at random at the applicant’s cost by a firm retained by the applicant (whose appointment is approved by council) but not more than quarterly unless none compliance is found by the council in which case more frequent auditing may be required. The audits must include covert surveillance of the hotel to ascertain whether there is compliance with this consent.

      (b) a copy of the audit results shall be provided by the counsel to the licensee of the hotel.”

4 The Notice of Motion seeks changes to this condition so that it more correctly responds to what I said in my judgment at para 41. Para 41 is as follows-

          “In Dayho v Rockdale City Council [2004] NSWLEC 184, Roseth SC, said that ‘where conditions of consent relate to the operation of a use and it is proposed to monitor compliance with those conditions it is preferable for the council to appoint the persons responsible for the monitoring and to choose the time at which the monitoring is to be carried out’. I agree with the council that a condition to this effect should be imposed. Whilst this applicant’s behaviour in complying with conditions of consent has not been perfect I accept that compliance is more likely to be achieved taking into account this condition.”

5 More particularly it was submitted on behalf of the applicant for the Notice of Motion that Condition 3 should be either replaced in full by a suggested alternative or modified so as to correctly achieve the following:

      • the appointment by the council of persons responsible for monitoring compliance with conditions of consent and,
      • the choosing by the council of the time at which the monitoring is to be carried out.

6 It was further submitted that these changes can be made pursuant to Rules 36.16 and 36.17 of the Uniform Civil Procedure Rules 2005. In this regard I was referred to Head Note (5) of the decision in Newmont Yandall Operations Proprietary Limited v Aron Corporation Goldman Sachs Group Incorporated [2007] 17 NSWLR 411:

          “A Court’s order which has consequences which were not intended by the judge making that order as objectively determined can constitute an ‘error’ within the meaning of the slip rule.”

7 On behalf of the respondent to the Notice of Motion it was submitted that UCPR rules 36.16 and 36.17 provide an exceptional power that is not available in this instance. The utilisation of this power would be an error of principle because the changes sought by the council would be substantial and would deviate from the reasons for judgment. In support of this position I was referred to Autodesk Incorporated and others v Dyason and others [No 2] 1992-1993 176CLR, a decision of the High Court and Wentworth v Rogers [No 9] 1987 8 NSWLR 388.

8 Having considered these matters and the respondent’s submissions I believe the approach contended by the applicant to be correct relying on Newmont Yandall Goldman Sachs and see no legal impediment to my dealing with the Notice of Motion. I am satisfied that I have power to amend the orders in accordance with the UCPR rules. More particularly I agree that I can, taking an objective approach and utilising rule 36.17, correct an error that arises from an accidental slip or omission in my judgment that is manifested by an inconsistency between the reasons for decision and the orders themselves.

9 On behalf of the respondent it was further submitted that the conditions in the Orders properly reflect the reasons for decision, taking into account not only para 41, but also para 44 and the reasons as a whole.

10 Paragraph 44 effectively provides a link between para 41 and the Orders themselves and is as follows:

          “I have reviewed the conditions sought to be imposed by the respondent should I uphold the appeal but I have decided that the applicants conditions essentially comprise an appropriate response to the conclusions that I have reached. I have nevertheless, taking into account the evidence, decided that a number of changes are required including a trial period”.

11 In para 44 I state that the conditions proposed on behalf of the hotel “essentially” comprise an appropriate response to the conclusions that I reached. By using the word “essentially” this does not mean that those conditions are accepted in their entirety. What it must mean is that there will be some variation to the conditions so that they will be consistent with the conclusions reached within the reasons for judgment.

12 As for the first suggested modification I do not accept that any change to condition 3(a) is necessary. By requiring that the council approve the appointment of a compliance auditor this is, in my opinion, an equivalent response to the finding in para 41 that the council appoints the persons responsible for the monitoring. Hence no change is warranted.

13 As for the second suggested modification I agree that a change to condition 3(a) is necessary because the condition makes no reference at all to the choosing of the time at which the monitoring is to be carried out.

14 The respondent submits that this is effectively achieved by the requirement in the condition that the compliance audits be carried out at random. The applicant submits to the contrary. In my opinion the requirement that the audits be carried out at random is not the same as or even similar to a requirement that the council have the responsibility for choosing the time of the monitoring. For a random choice to be made someone has to make the decision and para 41 makes it plain that this should be the task of the council.

15 I have therefore decided that utilising rule 36.17 of the UCPR rules, Order 2(2) in the judgment dated 8 April 2009 is amended by inserting in condition 3(a) immediately after the words, “carried out at random” the words “at times of the council’s choosing and”.

___________________

      T Bly
      Commissioner of the Court
      ajl
Details
AGLC
Bales Investments Pty Ltd v Cessnock City Council (No 2) [2009] NSWLEC 1187
Case
[2009] NSWLEC 1187
Decision Date

CaseChat Overview and Summary

Bales Investments Pty Ltd sought to amend the conditions of consent imposed on their development of the Wentworth Hotel by Cessnock City Council. The dispute arose from an earlier judgment delivered by Commissioner Bly on 8 April 2009, which modified the conditions of consent. The council subsequently filed a Notice of Motion seeking to further amend Condition 3 of the consent to align more closely with the Commissioner's directions in the earlier judgment. The primary legal issue before the Court was whether the Commissioner had the authority to amend the orders under the Uniform Civil Procedure Rules 2005 to correct what the Commissioner perceived as an error in the original orders.

The Commissioner considered whether the powers under Rules 36.16 and 36.17 of the UCPR allowed for the correction of an error that did not align with the reasons for judgment. The applicant argued that the rules provided the necessary authority to make such amendments, while the respondent contended that the changes sought were substantial and deviated from the original reasons. The Commissioner found that while the original conditions "essentially" aligned with the reasons for judgment, there was a clear discrepancy in Condition 3 regarding the council's role in choosing the timing of monitoring compliance. The Commissioner concluded that an objective approach under Rule 36.17 permitted the correction of such errors. Therefore, the Commissioner amended Condition 3(a) to include "at times of the council’s choosing" to ensure alignment with the reasons for judgment.

The Court's decision resulted in an amendment to Condition 3(a) of the original order, ensuring the council's role in selecting the timing of compliance audits. This amendment was deemed necessary to correct an inconsistency between the reasons for judgment and the orders themselves, aligning with the principles articulated in the cited cases and the UCPR rules.

Orders

Orders of the court

Full text does not contain this section.

Background

Background to the litigation

Full text does not contain this section.

Evidence

Evidence Before The Court

Full text does not contain this section.

Decision

Reasons for decision

Full text does not contain this section.

Ratio Decidendi

Legal Principle Established

Full text does not contain this section.