Dong v Song (No 2)

Case [2018] ACTSC 180


SUPREME COURT OF THE AUSTRALIAN CAPITAL TERRITORY

Case Title:

Dong v Song (No 2)

Citation:

[2018] ACTSC 180

Hearing Dates:

6-8 February, 23-24, 26-27 April 2018

DecisionDate:

21 June 2018

Before:

McWilliam AsJ

Decision:

1.    Judgment for the plaintiff in the sum of $251,503.

2.    Interest is payable on the judgment sum in the amount of $51,472.06.

3.    The defendants are to pay the plaintiff’s costs.

4.    Order 3 is stayed for 7 days.

Catchwords:

TRADE AND COMMERCE – Trade Practices and Related Matters – Misleading and deceptive conduct – dealings between friends – reasonable expectation of disclosure – failure to provide relevant information – whether causative link between misleading and deceptive conduct and damages claimed

Legislation Cited:

Acts Interpretation Act 1901 (Cth) s 2C

Australian Consumer Law ss 2, 18, 236
Competition and Consumer Act 2010 (Cth) s 137B, sch 2
Court Procedures Act 2004 (ACT) sch 1 item 20
Fair Trading Act (Australian Consumer Law) Act 1992 (ACT) ss 6, 7
Trade Practices Act 1974 (Cth) (repealed) s 82

Court Procedures Rules 2006 (ACT) r 1619

Cases Cited:

Argy v Blunts & Lane Cove Real Estate PtyLtd (1990) 26 FCR 112

Ashbury v Reid [1961] WAR 49

Australian Competition and Consumer Commission v TPG Internet Pty Ltd [2013] HCA 54; 250 CLR 640
Campbell v Backoffice Investments Pty Ltd[2009] HCA 25; 238 CLR 304
Campomar Sociedad, Limitada v Nike International Ltd [2000] HCA 12; 202 CLR 45

Compaq Computer Australia Pty Ltd v Merry (1998) 157 ALR 1

Concrete Constructions (NSW) Pty Ltd v Nelson (1990) 169 CLR 594

Fair Work Ombudsman v South Jin Pty Ltd [2015] FCA 1456

General Newspapers Pty Ltd v Telstra Corp (1993) 45 FCR 164
Google Inc v Australian Competition and Consumer Commission [2013] HCA 1; 249 CLR 435

Gurr & Gurr v Forbes (1996) 80 ATPR 41-491

HTW Valuers (Central Queensland) Pty Ltd v Astonland Pty Ltd [2004] HCA 54; 217 CLR 640
Jardine v Vaughan; Clarkson Williams Partners Pty Ltd (Third Party) (No 3) [2015] ACTSC 33
Johnson v Perez (1988) 166 CLR 351
Kizbeau Pty Ltd v WG & B Pty Ltd (1995) 184 CLR 281
Leighton Contractors Pty Ltd v Construction, Forestry, Mining and Energy Union [2006] WASC 144; 154 IR 228
Lockyer v Bermingham (No 3) [2018] WASC 61
Marks v GIO Australia Holdings Ltd [1998] HCA 69; 196 CLR 494
Miller & Assocs Insurance Broking Pty Ltd v BMW Australia Finance Ltd [2010] HCA 31; 241 CLR 357
Netaf Pty Ltd v Bikane Pty Ltd (1990) 26 FCR 305

Pereira v Director of Public Prosecutions (1988) 82 ALR 217

Poseidon Ltd v Adelaide Petroleum NL (1991) 105 ALR 25
Potts v Miller (1940) 64 CLR 282
Puxu Pty Ltd v Parkdale Custom Built Furniture Pty Ltd  (1982) 149 CLR 191
Qantas Airways Ltd v Transports Workers’ Union ofAustralia [2011] FCA 470; 280 ALR 503
Quinlivan v Australian Competition and Consumer Commission [2004]…

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AGLC
Dong v Song (No 2) [2018] ACTSC 180
Case
[2018] ACTSC 180
Decision Date

CaseChat Overview and Summary

The case of Dong v Song (No 2) involved a dispute between the plaintiff, Dong, and the defendants, Song, concerning alleged misleading and deceptive conduct in relation to a property transaction. The matter was heard in the Federal Court of Australia. Dong alleged that Song had engaged in misleading and deceptive conduct by failing to disclose material information during negotiations to purchase a property, which ultimately resulted in financial loss for Dong.

The central legal issues revolved around whether the relationship between the parties created a reasonable expectation of disclosure, and if the failure to disclose information constituted misleading and deceptive conduct. Additionally, the court had to determine whether there was a causative link between the alleged misleading and deceptive conduct and the financial damages claimed by Dong.

The court found that the relationship between the parties did indeed create a reasonable expectation of disclosure. It was held that Song was obligated to provide all relevant information that could impact Dong's decision to proceed with the purchase. The court ruled that Song's failure to disclose significant information about the property amounted to misleading and deceptive conduct under the Australian Consumer Law. Furthermore, the court found that there was a causative link between this conduct and the financial loss suffered by Dong.

The court ordered that judgment be entered in favour of Dong, awarding damages in the sum of $251,503, along with interest amounting to $51,472.06. The defendants were directed to pay Dong's costs. Execution of the order for payment of costs was stayed for 7 days to allow for any potential appeal.

Orders

Orders of the court

1. Judgment for the plaintiff in the sum of $251,503.

2. Interest is payable on the judgment sum in the amount of $51,472.06.

3. The defendants are to pay the plaintiff’s costs.

4. Order 3 is stayed for 7 days.

Background

Background to the litigation

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Evidence

Evidence Before The Court

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Decision

Reasons for decision

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Ratio Decidendi

Legal Principle Established

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