Council of the City of Ryde v Azizi

The Court of Appeal of New South Wales considered an appeal by the Council of the City of Ryde (the Council) against a decision of the Land and Environment Court concerning the compulsory acquisition of land owned by Mr Azizi and others. The dispute centred on the Council's obligation to pay 90% of the Valuer-General's assessment of the acquired land's value pending the final resolution of the compensation claim, as stipulated by the *Land Acquisition (Just Terms Compensation) Act 1991* (NSW).

The primary legal issues before the Court of Appeal were whether the Land and Environment Court had the jurisdiction to make a freezing order to enforce the statutory obligation to pay 90% of the Valuer-General's assessment, and whether the Council's purported payment into the trust account of its own solicitor satisfied this obligation. The Court also considered the scope of the Land and Environment Court's powers in its Class 3 jurisdiction when assessing the value of compulsorily acquired land and enforcing statutory payment obligations.

The Court of Appeal affirmed the Land and Environment Court's jurisdiction to make the freezing order, finding that it was a necessary and appropriate ancillary power to ensure the effective enforcement of the statutory obligation to pay interim compensation. The Court reasoned that the payment into the Council's solicitor's trust account did not constitute a valid discharge of the statutory obligation, as the funds were not demonstrably available to the landowners and were still under the control of the acquiring authority. The Court applied principles of statutory interpretation to the *Land Acquisition (Just Terms Compensation) Act 1991*, emphasising the importance of ensuring that landowners receive timely interim compensation.

The Court of Appeal granted the Council leave to appeal but ultimately dismissed the appeal, ordering that the Council pay the respondents' costs.