Cheng v Western Pursuits Trust (No.2)

In *Cheng v Western Pursuits Trust (No.2)*, the Supreme Court of Western Australia considered a dispute between the plaintiff, Mr. Cheng, and the defendant, Western Pursuits Trust. The core of the disagreement concerned the interpretation and enforceability of a settlement agreement reached between the parties in prior proceedings. Mr. Cheng sought to enforce certain terms of this settlement, while the Trust resisted, alleging that the agreement was not binding or had been repudiated.

The primary legal issue before the Court was whether the settlement agreement constituted a binding contract, and if so, whether its terms were sufficiently clear and certain to be enforceable. The Court also had to determine whether any actions or inactions by the parties amounted to a repudiation of the agreement, thereby discharging their obligations.

Judge Driver found that the settlement agreement, despite some initial ambiguity, was sufficiently certain in its essential terms to be a binding contract. The Court applied principles of contract law, emphasizing the importance of construing agreements in a manner that gives effect to the parties' intentions, particularly in the context of resolving litigation. The Judge concluded that the Trust's conduct did not amount to a repudiation of the agreement, and that Mr. Cheng was entitled to enforce its terms. The Court made orders for specific performance of the settlement agreement.