Donato and Withers and Anor

In *Donato and Withers and Anor*, the Supreme Court of Victoria was asked to determine whether a caveat lodged by the plaintiff, Mr Donato, on title to land owned by the defendants, Mr Withers and Ms Smith, was valid. Mr Donato claimed an equitable interest in the land arising from an alleged agreement for sale. The defendants sought to have the caveat removed.

The central legal issue before the Court was whether Mr Donato had established a sufficient equitable interest in the land to justify the continued presence of the caveat. This required the Court to consider the nature of the alleged agreement for sale and whether it created an enforceable equitable interest, or merely a contractual right that did not bind the registered proprietors.

Watt J found that the evidence did not establish a concluded agreement for sale that would give rise to an equitable interest in the land. His Honour noted that essential terms of the proposed sale, such as the price and settlement date, had not been agreed upon. Consequently, there was no basis for an equitable interest to arise that would support the caveat. The Court ordered that the caveat be removed.