Flecknoe v Pared Ltd (No 2)

Flecknoe was a plaintiff who had initiated proceedings against Pared Ltd, a company, regarding a dispute concerning a contract for the sale of goods. The matter was heard in the Supreme Court of New South Wales. The plaintiff sought damages for breach of contract, claiming that the defendant had failed to deliver the goods as agreed. The defendant, in turn, argued that the plaintiff had not fulfilled certain conditions precedent to the delivery, thereby absolving the defendant from its obligations under the contract.

The court was required to determine whether the plaintiff was entitled to recover the damages claimed and, if so, the extent of those damages. Additionally, the court needed to consider the application for costs by the defendant, who had partially succeeded in its defence, arguing that the plaintiff's claim was overstated and that the costs should be apportioned accordingly. The court had to decide if it was appropriate to depart from the general rule on costs when both parties had a measure of success.

In its judgment, the court found that while the plaintiff was entitled to some damages for the breach, the claim was overstated. The court reduced the amount of damages to reflect the actual loss suffered by the plaintiff. Regarding the costs, the court acknowledged that both parties had a measure of success and that the defendant's application for costs should be considered in this light. The court determined that it was appropriate to depart from the general rule and grant the defendant a portion of its costs, taking into account the partial success of both parties. The court ordered that the plaintiff pay 70% of the defendant's costs and the defendant pay 30% of the plaintiff's costs.