De Sales v Ingrilli

The High Court of Australia considered an appeal from the Supreme Court of Victoria in a dispute between De Sales and Ingrilli. The case concerned the interpretation and application of the *Transfer of Land Act 1958* (Vic) and the equitable doctrine of part performance in the context of a contract for the sale of land.

The central legal issues before the High Court were whether the appellant, De Sales, had established a valid claim of part performance to overcome the requirement for a contract for the sale of land to be in writing, and consequently, whether the respondent, Ingrilli, was entitled to specific performance of the oral agreement. The Court also had to consider the nature of the acts relied upon as constituting part performance and whether they were unequivocally referable to a contract of the kind alleged.

The High Court held that the acts relied upon by De Sales were not unequivocally referable to a contract for the sale of land. While the acts, such as making payments and undertaking renovations, were consistent with such a contract, they were also capable of being explained by other relationships between the parties, such as a landlord-tenant arrangement or a loan agreement. The Court reiterated the principle that for an act to constitute part performance, it must be such as would not have been done unless there was a contract for the sale of land. As this threshold was not met, the equitable doctrine of part performance could not be invoked to enforce the oral agreement.

Consequently, the High Court allowed the appeal, finding that the Supreme Court of Victoria had erred in its determination. The Court ordered that the appeal from the Supreme Court of Victoria be allowed and the judgment of the Supreme Court be set aside.