Capitalink Pty Ltd v Withnall

Case [2024] NSWCA 172


Court of Appeal


Supreme Court


New South Wales

  • Amendment notes
Medium Neutral Citation: Capitalink Pty Ltd v Withnall [2024] NSWCA 172
Hearing dates: 27 June 2024
Date of orders: 19 July 2024
Decision date: 19 July 2024
Before: Bell CJ at [1];
Leeming JA at [84];
Stern JA at [89].
Decision:

1.     Allow the appeal in part.

2.     Set aside the orders of Abadee DCJ made on 7 December 2023 and, in lieu thereof, enter judgment for Capitalink Pty Ltd in the sum of $133,160.51, plus interest.

3.     Order that the Respondent pay the Appellant’s costs of the appeal and of the proceedings at first instance.

Catchwords:

APPEAL – whether argument sought to be run on appeal was outside the pleadings – whether the trial had been in part run outside of the pleadings such that the argument was available to be run on appeal

CONTRACTS – breach of contract – damages – whether Appellant proved that it had or would suffer losses as a result of the breach – where some past costs of rectifying the breach were paid by family companies on the Appellant’s behalf – restitution – whether Appellant was legally obliged to reimburse the family companies for the costs paid such that it could be said to have incurred losses – where other past costs of rectifying the breach were paid by a real estate agent from a trust account in the Appellant’s name

EVIDENCE – proof of loss – where no evidence led from principals of family companies – where documentary evidence of alleged understanding between family companies as to reimbursement for various payments lacking – whether a promise to repay could be implied – evidentiary inferences available

RESTITUTION – third party payment of another party’s debts – whether implied request to pay – whether implied promise to reimburse – evidence and drawing of inferences

Legislation Cited:

Evidence Act 1995 (NSW) s 136

Cases Cited:

Australian Securities and Investments Commission v Rich [2009] NSWSC 1229; (2009) 236 FLR 1

Bellgrove v Eldridge (1954) 90 CLR 613; [1954] HCA 36

Birmingham and District Land Co Ltd v London and North Western Railway Co (1886) 34 Ch D 261

Blatch v Archer (1774) 1 Cowp 63

CBRE (V) Pty Ltd v City Pacific Ltd (in liq) [2022] NSWCA 54; (2022) 365 FLR 45

Clark v Macourt (2013) 253 CLR 1; [2013] HCA 56

Commercial Union Assurance Co of Australia Ltd v Ferrcom Pty Ltd (1991) 22 NSWLR 389

Commonwealth v Amann Aviation Pty Ltd (1991) 174 CLR 64; [1991] HCA 54

Cook's Construction Pty Ltd v Brown [2004] NSWCA 105; (2004) 49 ACSR 62

Coulton v Holcombe (1986) 162 CLR 1; [1986] HCA 33

Dare v Pulham (1982) 148 CLR 658; [1982] HCA 70

Falcke v Scottish Imperial Insurance Co (1886) 34 Ch D 234

G v H (1994) 181 CLR 387; [1994] HCA 48

GLJ v The Trustees of the Roman Catholic Church for the Diocese of…

Continue reading Capitalink Pty Ltd v Withnall

Sign in free to access the full text

Details
AGLC
Capitalink Pty Ltd v Withnall [2024] NSWCA 172
Case
[2024] NSWCA 172
Decision Date

CaseChat Overview and Summary

Capitalink Pty Ltd appealed to the Court of Appeal of New South Wales against a decision of Abadee DCJ concerning a breach of contract. The dispute centred on whether Capitalink had suffered or would suffer losses as a result of the breach, particularly in relation to costs incurred in rectifying the breach, some of which were paid by associated family companies and a real estate agent.

The Court of Appeal was required to determine whether Capitalink had adequately proven its losses, given that certain rectification costs were initially borne by family companies. This involved considering whether Capitalink had a legal obligation to reimburse these companies, thereby establishing that it had incurred losses. The court also had to assess the evidentiary basis for such an obligation, including whether a promise to repay could be implied from the circumstances and the available documentary evidence, and whether the principals of the family companies needed to give evidence. Furthermore, the court considered whether an argument raised on appeal was permissible, given that the trial may have proceeded, in part, outside the strict confines of the pleadings.

The Court of Appeal reasoned that while some costs were paid by third parties, the evidence, including documentary evidence and inferences drawn from the conduct of the parties, supported the conclusion that Capitalink was legally obliged to reimburse the family companies. The court found that the payments made by the real estate agent from a trust account in Capitalink's name also constituted losses incurred by Capitalink. The court allowed the appeal in part, finding that Capitalink had proven a portion of its claimed losses.

Consequently, the Court of Appeal set aside the original orders and entered judgment for Capitalink Pty Ltd in the sum of $133,160.51, plus interest, and ordered that the respondent pay Capitalink's costs of the appeal and the proceedings at first instance.

Orders

Orders of the court

1. Allow the appeal in part.

2. Set aside the orders of Abadee DCJ made on 7 December 2023 and, in lieu thereof, enter judgment for Capitalink Pty Ltd in the sum of $133,160.51, plus interest.

3. Order that the Respondent pay the Appellant’s costs of the appeal and of the proceedings at first instance.

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.