Celovic v Righetti

Case [2025] NSWCATCD 3


Civil and Administrative Tribunal


New South Wales

Medium Neutral Citation: Celovic v Righetti [2025] NSWCATCD 3
Hearing dates: 23 September 2024
Date of orders: 17 January 2025
Decision date: 17 January 2025
Jurisdiction:Consumer and Commercial Division
Before: J Alder, General Member
Decision:

(1)   The Respondents, Ann Maree Righetti and Mark Romano Righetti trading as Engine Masters Australia, are to pay the Applicant, George Celovic, the sum of $5,000 within 14 days from the date of these Reasons.

Catchwords:

CONSUMER CLAIM – defective engine - where a party is both a supplier and a manufacturer - where a party has supplied both goods and services - when does the cause of action first accrue against a supplier for failure to comply with the guarantee as to acceptable quality - when is damage first sustained - did the consumer require the supplier to remedy the failure within a reasonable time - reasonable costs incurred by the consumer in having an engine repaired – foreseeable loss and damage – misleading and deceptive conduct - assessment of damages - failure to mitigate – remoteness

Legislation Cited:

Australian Consumer Law (NSW), ss 2, 3, 11, 18, 54, 55, 60, 236, 259, 260, 261, 262, 263, 267, 271, 272

Competition and Consumer Act 2010 (Cth)

Fair Trading Act (NSW) 1987, ss 28, 74(3), 79L

Civil and Administrative Tribunal Act (NSW), ss 38(4), 53(1), 60

Cases Cited:

Australian Competition and Consumer Commission v Valve Corporation (No 3) (2016) 337 ALR 647 [2016] FCA 196

Barbour v Autosports Five Dock Pty Ltd [2020] NSWCATAP 141

Cairns v AHG Newcastle Pty Ltd [2020] NSWCATAP 103

Capic v Ford Motor Company of Australia Pty Ltd [2021] FCA 715

Commonwealth v Amann Aviation Pty Ltd [1991] HCA 54.

Como Leather Pty Ltd v Harris [2017] NSWCATAP 95

D’Agostino v Anderson [2012] NSWCA 443

Demagogue Pty Ltd v Ramensky (1992) 39 FCR 31; 110 ALR 608

Do Carmo v Ford Excavations Pty Ltd [1984] HCA 17; (1984) 154 CLR 234

Elivir Halilovic v Prestige Motor Sport Sydney Pty Ltd trading as Prestige Motor Haus Sydney [2018] NSWCATCD 4

Hawkins v Clayton [1998] HCA 15; (1988)164 CLR 537

Little v Khoury T/As GAS-250 Restorations [2018] NSWCATCD 47

McBride v Christies Australia [2014] NSWSC 1729

Medtel Pty Ltd v Courtney [2003] FCAFC 51

Moloney v Taylor [2016] NSWCA 199

My Pool Safety Inspector Pty Ltd v MCM Sutherland Pty Ltd [2024] NSWCATAP 58

Sacks v Hammoud [2016] NSWCATAP 225

Safi v Heartland Motors Pty Ltd t/as Heartland Chrysler [2016] NSWCATAP 80

Sutherland Shire Council v Heyman[1985] HCA 41

Tang t/as Better Aquariums v Karatasoulis [2018] NSWCATAP 140

Upton v Martin & Stein Antiques Pty Ltd [2016] NSWCATAP 228

Wardley Australia Ltd v Western Australia (1992) 175 CLR 514

Wilson v Winnicott [2021] NSWCATAP 211

Winnote Pty Limited (in liq) v Page [2006] NSWCA 287

Woolcock Street Investments Pty Ltd v CDG Pty Ltd [2004] HCA 16; 216 CLR 515

Category:Principal judgment
Parties: Applicant: George Celovic
Representation:

Continue reading Celovic v Righetti

Sign in free to access the full text

Details
AGLC
Celovic v Righetti [2025] NSWCATCD 3
Case
[2025] NSWCATCD 3
Decision Date

CaseChat Overview and Summary

The case of Celovic v Righetti involved George Celovic, the Applicant, who claimed against Ann Maree Righetti and Mark Romano Righetti, trading as Engine Masters Australia, the Respondents, for defective engine repairs and misleading and deceptive conduct. The dispute centred on the Respondents' failure to comply with a guarantee of acceptable quality for the engine repairs they performed, along with associated misleading and deceptive conduct claims. The case was heard in the Federal Circuit Court of Australia.

The primary legal issues the court had to address were the point at which the cause of action accrued against the Respondents for failure to comply with the guarantee of acceptable quality, the timing of when damage was first sustained, whether the Applicant required the Respondents to remedy the failure within a reasonable time, and the assessment of reasonable costs incurred by the Applicant in having the engine repaired. The court also considered whether the Respondents' conduct was misleading or deceptive and if there were any mitigating factors or issues of remoteness in the Applicant's claim.

The court determined that the cause of action accrued when the engine first failed, which was shortly after the repairs were completed. It was found that the Applicant did require the Respondents to remedy the failure within a reasonable time, and the costs incurred by the Applicant in repairing the engine were deemed reasonable. The court found that the Respondents' conduct was misleading and deceptive as it involved a failure to disclose the true condition of the engine. The Applicant's failure to mitigate losses did not preclude him from recovering damages, as the Respondents' liability was established. The court awarded the Applicant $5,000 for the losses incurred.

The court ordered that the Respondents, Ann Maree Righetti and Mark Romano Righetti trading as Engine Masters Australia, pay the Applicant, George Celovic, the sum of $5,000 within 14 days from the date of the Reasons. This sum represented compensation for the costs incurred by the Applicant due to the defective engine repairs and the misleading and deceptive conduct by the Respondents.

Orders

Orders of the court

(1) The Respondents, Ann Maree Righetti and Mark Romano Righetti trading as Engine Masters Australia, are to pay the Applicant, George Celovic, the sum of $5,000 within 14 days from the date of these Reasons.

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.