Fahd v Kenneally

In *Fahd v Kenneally*, the Court of Appeal of New South Wales considered a dispute concerning professional negligence arising from the drafting and preparation of conveyancing contracts. The case involved allegations that the defendant solicitor breached their duty of care and retainer by failing to ensure the enforceability of a side agreement related to the sale of property.

The primary legal issues before the Court were whether the defendant had breached their retainer by failing to adequately advise on or secure the enforceability of the side agreement, and whether this failure constituted a breach of the duty of care owed to the plaintiff. The Court also had to consider the scope of the solicitor's retainer and duty of care in the context of conveyancing transactions and the enforceability of collateral agreements.

The Court of Appeal affirmed the decision of the primary judge, finding that the defendant had not breached their retainer or duty of care. The reasoning focused on the scope of the retainer, which was limited to the conveyancing transaction itself. The Court held that the solicitor was not obliged to ensure the enforceability of a separate side agreement unless it was expressly included within the scope of the retainer or was intrinsically linked to the conveyancing process in a way that necessitated such action. The principles applied centred on the contractual nature of the solicitor-client retainer and the established boundaries of a solicitor's duty of care in conveyancing matters.

The appeal was dismissed, and the plaintiff was ordered to pay the costs of the appeal.