Big Country Developments & Anor v Chadlace

Big Country Developments Pty Ltd and another sought to appeal a decision of the Supreme Court of Western Australia concerning a dispute over a contract for the sale of land. The primary issue before the High Court of Australia was whether the purchasers, Chadlace Pty Ltd and another, were entitled to terminate the contract due to a failure by the vendors to provide vacant possession by the settlement date.

The High Court was required to determine whether the purchasers' notice of termination was valid. This involved considering whether the vendors' failure to give vacant possession constituted a breach of a condition of the contract, and if so, whether that breach entitled the purchasers to terminate. The court also had to consider the effect of the purchasers' conduct after the settlement date.

The High Court held that the contract required the vendors to give vacant possession on the settlement date. As the property was still occupied by a tenant at settlement, the vendors had breached a condition of the contract. The court found that the purchasers' actions after the settlement date, such as continuing to negotiate with the vendors, did not amount to an affirmation of the contract. Consequently, the purchasers were entitled to terminate the contract.

The High Court dismissed the appeal and affirmed the decision of the Supreme Court of Western Australia.