Craftsmen Restoration & Renovations Pty Ltd v Boland

In *Craftsmen Restoration & Renovations Pty Ltd v Boland*, the builder (Craftsmen Restoration & Renovations Pty Ltd) appealed to the Court of Appeal of New South Wales against decisions of Howie J in the Common Law Division. The dispute concerned the termination of a building contract between the builder and the owners (Mr and Mrs Boland). The builder sought to challenge the finding that it had repudiated the contract.

The primary legal issue before the Court of Appeal was whether an invalid notice of termination given by the owners under the contract constituted a repudiation of the contract, and if so, whether the builder could accept such a repudiation. A further issue concerned the extent to which an appellate court could make findings of fact in an appeal limited to a question of law.

The Court of Appeal reasoned that the owners' notice purporting to terminate the contract was not a valid notice according to the proper construction of the contract, given that the owners were themselves in breach of their obligation to pay a progress payment at the time the notice was issued. The Court held that an invalid notice of termination, in the circumstances found by the Tribunal, did not constitute a repudiation of the contract by the owners. Consequently, the builder could not accept such a repudiation.

The Court of Appeal granted the builder leave to appeal, set aside the orders of Howie J, and remitted the matter to the Tribunal for further hearing. The Court answered the question of law by stating that the owners' notice was not a valid termination notice. The owners' application for an extension of time to file a cross-appeal was refused. The Court ordered the owners to pay the builder's costs of the proceedings in the Court of Appeal.