Glentham Pty Ltd v Luxer Holdings Pty Ltd

Glentham Pty Ltd (the plaintiff) sued Luxer Holdings Pty Ltd and Michael John McPhee (the defendants) for arrears of rent, damages, and interest. The claim arose from the defendants' repudiation of a lease of the 15th floor of the BGC Centre (the lease). McPhee guaranteed the lease. The plaintiff also sought summary judgment against the defendants for arrears of rent and damages. The defendants counterclaimed for a boardroom table they claimed was wrongfully detained by the plaintiff. The plaintiff succeeded against both defendants. The first defendant was ordered to pay $66,520.68, inclusive of interest, to the plaintiff. The second defendant was ordered to pay $706,557.88 to the plaintiff. The plaintiff's counterclaim for the boardroom table was dismissed. The court found that the defendants had repudiated the lease. The court found that the plaintiff was entitled to recover the amount owing under the lease and damages for the repudiation. The court found that the plaintiff had not failed to mitigate its loss. The court found that the plaintiff was entitled to recover the cost of demolishing the internal fit out of the 15th floor of the BGC Centre. The court found that the plaintiff's offer to grant a rent-free period was a reasonable step to mitigate its loss. The court found that the second defendant was liable to the plaintiff for the amount owing under the lease and damages for the repudiation. The court found that the second defendant was not liable to the plaintiff for the boardroom table.