Demolon Pty Ltd (T/As P and T Corfe) v Parbury Building Products Ltd

Demolon Pty Ltd (trading as P and T Corfe) appealed to the New South Wales Court of Appeal against a decision of the Supreme Court of New South Wales. The dispute concerned the supply of building products by Parbury Building Products Ltd to Demolon, which Demolon alleged were defective and caused it loss.

The Court of Appeal was required to determine whether the Supreme Court had erred in finding that the building products supplied by Parbury were not defective, and consequently, whether Demolon was entitled to damages for breach of contract and/or misleading or deceptive conduct. A key issue was the interpretation of the contractual terms relating to the quality and fitness for purpose of the supplied materials.

The Court of Appeal reviewed the evidence presented at trial, including expert testimony regarding the performance of the building products. It applied principles of contract law concerning the implied terms of merchantable quality and fitness for purpose, as well as the provisions of the Trade Practices Act 1974 (Cth) relating to misleading or deceptive conduct. The Court found that the evidence did not establish that the products were defective or that Parbury had engaged in misleading or deceptive conduct.

The appeal was dismissed, and the decision of the Supreme Court was affirmed.