Derbyshire Building Co Pty Ltd v Becker

Derbyshire Building Co Pty Ltd (the appellant) appealed to the High Court of Australia from a judgment of the Supreme Court of Victoria which had awarded damages to Mr Becker (the respondent) for breach of contract. The dispute concerned the construction of a house, with Mr Becker alleging that the building company had failed to complete the work in a proper and workmanlike manner and within a reasonable time.

The High Court was required to determine whether the Supreme Court had erred in its findings regarding the breach of contract and the assessment of damages. Specifically, the court considered whether the evidence supported the conclusion that the building company had failed to exercise due care and skill in the construction, and whether the damages awarded were a proper measure of the loss suffered by Mr Becker as a result of these breaches.

The High Court, in its judgment, affirmed the findings of the Supreme Court. The court applied the principles of contract law, emphasizing the implied term that work done under a contract for services, such as building a house, must be carried out with reasonable care and skill. The judges found that the evidence presented demonstrated a clear failure by the appellant to meet this standard, leading to defects in the construction. The assessment of damages was also upheld, as it reflected the cost of rectifying the defects and compensating Mr Becker for the delay in completion.