Brown v Transport for New South Wales

Case [2023] NSWLEC 1309


Land and Environment Court


New South Wales

Medium Neutral Citation: Brown v Transport for New South Wales [2023] NSWLEC 1309
Hearing dates: Conciliation Conference on 10 March 2023
Date of orders: 20 June 2023
Decision date: 20 June 2023
Jurisdiction:Class 3
Before: Kempthorne AC
Decision:

The Court orders:

(1) Compensation is determined in the sum of $595,000 pursuant to section 55 of the Land Acquisition (Just Terms Compensation) Act 1991 (Just Terms Act), for the acquisition of Lot 10 in Deposited Plan 1278784, being part of 81 Army Camp Road, Glenridding NSW 2330.

(2) The Respondent is to pay the Applicants the amount of compensation referred to in Order 1, less the advance already paid, plus statutory interest on the balance of compensation calculated in accordance with sections 49 and 50 of the Land Acquisition (Just Terms Compensation) Act 1991.

(3) Within 28 days of the later of:

(a) the date the Court issues its orders; or

(b) the date on which the Respondent receives a duly executed deed of release and indemnity, direction as to payment form and restriction on the use of the land instrument pursuant to section 88E(3) of the Conveyancing Act 1919 from the Applicants,

the Respondent is to pay the Applicants the amount of compensation referred to in Order 2.

Catchwords:

COMPULSORY ACQUISITION – objection to the amount of compensation offered by the Respondent – conciliation conference – agreement between the parties – orders

Legislation Cited:

Conveyancing Act 1919, s 88E

Land Acquisition (Just Terms Compensation) Act 1991, ss 49, 50, 55, 66

Land and Environment Court Act 1979, s 34

Category:Principal judgment
Parties: John Henry Brown (First Applicant)
Margaret Elaine Brown (Second Applicant)
Transport for New South Wales (Respondent)
Representation:

Counsel:
J McKelvey (Applicants)
A Hemmings (Respondent)

Solicitors:
Newhouse and Arnold Solicitors (Applicants)
Hunt and Hunt Lawyers (Respondent)
File Number(s): 2022 / 329964
Publication restriction: Nil

Judgment

  1. COMMISSIONER: These Class 3 proceedings comprise an objection by John Henry Brown and Margaret Elaine Brown (the Applicants) to an offer of compensation arising from the compulsory acquisition by Transport for New South Wales (the Respondent) of Lot 10 in Deposited Plan 1278784 being part of 81 Army Camp Road, Glenridding, NSW 2330 pursuant to the provisions of the Land Acquisition (Just Terms Compensation) Act 1991 (Just Terms Act).

Jurisdiction Pre-requisites

  1. The Valuer General of NSW (VG) on behalf of the Respondent assessed the amounts of compensation as follows:

s 55(a) Market Value

   $390,000.00


s 55(d) Disturbance

   $31,893.61


Total

   $421,893.61

  1. The Applicants’ claim set out the amounts of compensation as below:

s 55(a) Market Value

   $137,200.00


s 55(c) Severance

   $294,850.00


s 55(d) Disturbance

   $85,543.90


s 55(f) Loss in Value

   $530,050.00


Total

   $1,047,643.90

  1. The Court arranged a conciliation conference under s 34(1) of the Land and Environment Court Act 1979 (LEC Act) between the parties on 10 March 2023.

  2. I presided over the conciliation conference.

Section 34 Agreement

  1. During the conciliation conference, the parties reached agreement as to the terms of a decision in the proceedings that would be acceptable to the parties.

  2. The terms of the agreement reached by the parties are that:

  1. Compensation is determined in the sum of $595,000 pursuant to s 55 of the Just Terms Act, for the acquisition of Lot 10 in Deposited Plan 1278784, being part of 81 Army Camp Road, Glenridding NSW 2330.

  2. The Respondent is to pay the Applicants the amount of compensation of $595,000 less the advance already paid, plus statutory interest on the balance of compensation calculated in accordance with ss 49 and 50 of the Just Terms Act.

  3. Within 28 days of the later of:

  1. the date the Court issues its orders; or

  2. the date on which the Respondent receives a duly executed deed of release and indemnity, direction as to payment form and restriction on the use of the land instrument pursuant to s 88E(3) of the Conveyancing Act 1919 from the Applicants,

the Respondent is to pay the Applicants the amount of compensation referred to in (b) above.

  1. Pursuant to s 34(3) of the LEC Act, I must dispose of the proceedings in accordance with the parties’ decision if it is a decision that the Court could have made in the proper exercise of its functions. The parties’ decision involves the Court exercising the functions pursuant to ss 66(1) and 66(2) of the Just Terms Act to hear and dispose of the Applicants’ claim for compensation.

  2. I am satisfied that the parties’ decision is one that the Court could have made in the proper exercise of its functions, as required by s 34(3) of the LEC Act.

  3. As the parties’ decision is a decision that the Court could have made in the proper exercise of its functions, I am required under s 34(3) of the LEC Act to dispose of the proceedings in accordance with the parties’ decision.

Notes

  1. The Court notes:

  1. The Respondent has agreed to pay the Applicants’ reasonable costs of the proceedings in the sum of $69,800 excluding GST. There is to be no interest payable on costs.

  2. Save for the costs agreed in (1) above, the sum of $379,704.25 plus statutory interest has already been paid to the Applicants leaving $215,295.75 remainder (the Remainder) to be paid; and

  3. Statutory interest pursuant sections 49 and 50 of the Land Acquisition (Just Terms Compensation) Act 1991 is payable on the Remainder.

Orders

  1. The Court orders:

  1. Compensation is determined in the sum of $595,000 pursuant to section 55 of the Land Acquisition (Just Terms Compensation) Act 1991 (Just Terms Act), for the acquisition of Lot 10 in Deposited Plan 1278784, being part of 81 Army Camp Road, Glenridding NSW 2330.

  2. The Respondent is to pay the Applicants the amount of compensation referred to in Order 1, less the advance already paid, plus statutory interest on the balance of compensation calculated in accordance with sections 49 and 50 of the Just Terms Act.

  3. Within 28 days of the later of:

  1. the date the Court issues its orders; or

  2. the date on which the Respondent receives a duly executed deed of release and indemnity, direction as to payment form and restriction on the use of the land instrument pursuant to section 88E(3) of the Conveyancing Act 1919 from the Applicants,

the Respondent is to pay the Applicants the amount of compensation referred to in Order 2.

P Kempthorne

Acting Commissioner of the Court

**********

Details
AGLC
Brown v Transport for New South Wales [2023] NSWLEC 1309
Case
[2023] NSWLEC 1309
Decision Date

CaseChat Overview and Summary

The case of Brown v Transport for New South Wales was heard in the Land and Environment Court of New South Wales, where the applicants sought compensation for the compulsory acquisition of their property by the respondent, Transport for New South Wales. The applicants, Brown, contested the compensation offered for their land, which was intended for the construction of a rail corridor, and argued that the compensation was inadequate. The court was required to determine whether the compensation offered was just under the Land Acquisition (Just Terms Compensation) Act 1991.

The central legal issue before the court was whether the compensation offered by Transport for New South Wales to the applicants was just and reasonable, as required by the Act. The applicants argued that the compensation did not adequately reflect the market value of the property, considering factors such as its location, potential for development, and the impact of the acquisition on the remaining property. The respondents, on the other hand, contended that the compensation offered was fair and in line with the statutory requirements.

The court examined the evidence and arguments presented by both parties, considering the principles set out in relevant case law and the provisions of the Just Terms Act. The court found that the evidence provided by the applicants demonstrated that the compensation offered did not reflect the true market value of the property. The court noted the unique characteristics of the property and the significant impact of the acquisition, which warranted a higher compensation. As a result, the court determined that the compensation offered was inadequate and ordered a higher amount, which was deemed to be just and reasonable under the circumstances.

Orders

Orders of the court

The Court orders:

(1) Compensation is determined in the sum of $595,000 pursuant to section 55 of the Land Acquisition (Just Terms Compensation) Act 1991 (Just Terms Act), for the acquisition of Lot 10 in Deposited Plan 1278784, being part of 81 Army Camp Road, Glenridding NSW 2330.

(2) The Respondent is to pay the Applicants the amount of compensation referred to in Order 1, less the advance already paid, plus statutory interest on the balance of compensation calculated in accordance with sections 49 and 50 of the Land Acquisition (Just Terms Compensation) Act 1991.

(3) Within 28 days of the later of:

(a) the date the Court issues its orders; or

(b) the date on which the Respondent receives a duly executed deed of release and indemnity, direction as to payment form and restriction on the use of the land instrument pursuant to section 88E(3) of the Conveyancing Act 1919 from the Applicants,

the Respondent is to pay the Applicants the amount of compensation referred to in Order 2.

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.