Champion Homes Sales Pty Ltd v JKAM Investments Pty Ltd; Hotray Pty Ltd v JKAM Investments Pty Ltd (JKAM Investments Pty Ltd v Karl Damien- First Cross Claim; Karl Damien v JKAM Investments Pty Ltd- Second Cross Claim)

The plaintiffs, Champion Homes Sales Pty Ltd and Hotray Pty Ltd, brought proceedings against the defendant, JKAM Investments Pty Ltd. Champion Homes Sales Pty Ltd claimed damages for breach of contract and specific performance of a contract for sale of land. Hotray Pty Ltd sought damages for breach of a head lease agreement. JKAM Investments Pty Ltd cross-claimed against Karl Damien, who was involved in the dealings between the parties, for damages for breach of contract and specific performance of a contract for sale of land. Karl Damien also cross-claimed against JKAM Investments Pty Ltd for damages for breach of contract. The case was heard in the Supreme Court of New South Wales.

The legal issues before the court included the construction of a deed between Karl Damien and JKAM Investments Pty Ltd that dealt with obligations in connection with a contract for sale and a head lease. The court had to determine what amounts were due under the deed, whether the assignor of the debt was established to be the creditor, and whether the plaintiffs were entitled to the relief they sought. The court also had to decide whether JKAM Investments Pty Ltd was liable to Karl Damien for breach of contract and whether Karl Damien was liable to JKAM Investments Pty Ltd for breach of contract.

The court found that the deed between Karl Damien and JKAM Investments Pty Ltd was ambiguous and could not be interpreted without reference to the surrounding circumstances. The court held that Karl Damien was not established to be the creditor of the debt assigned to the plaintiffs. The court also found that Champion Homes Sales Pty Ltd was entitled to damages for breach of contract and specific performance of the contract for sale of land. Hotray Pty Ltd was not entitled to specific performance of the head lease agreement, but was entitled to damages for breach of contract. JKAM Investments Pty Ltd was not liable to Karl Damien for breach of contract, and Karl Damien was not liable to JKAM Investments Pty Ltd for breach of contract.

The court ordered JKAM Investments Pty Ltd to pay Champion Homes Sales Pty Ltd damages for breach of contract and to specifically perform the contract for sale of land. The court also ordered JKAM Investments Pty Ltd to pay Hotray Pty Ltd damages for breach of the head lease agreement. The court dismissed the cross-claims brought by JKAM Investments Pty Ltd and Karl Damien against each other.