Hassard v McInnes

The matter before the Tribunal was an appeal brought by the applicant, Hassard, against the decision of the Magistrates Court at Maroochydore, exercising the original jurisdiction of the Queensland Civil and Administrative Tribunal (QCAT). The dispute arose from a periodic lease agreement between the applicant and the respondent, McInnes, for the lease of certain premises co-owned by the applicant. The applicant had refused to allow the respondent to take possession of the premises, resulting in the respondent being required to obtain alternative accommodation at a higher rent. The respondent filed proceedings in the Magistrates Court seeking compensation for losses incurred due to the unlawful termination of the lease agreement. The Magistrate awarded the respondent compensation for the full amount of rent incurred within a nine-week period following the date on which the respondent would have assumed possession of the accommodation.

The legal issues in this case centred on whether the Magistrate had erred in the calculation of compensation, whether there was a mixed error of law and fact in calculating the notice period, and whether the Magistrate had denied the applicant procedural fairness by not providing a fulsome oral hearing. Additionally, it was necessary to determine whether leave to appeal should be granted and, if so, whether the appeal should be allowed.

The Tribunal found that the Magistrate had indeed erred in the calculation of compensation. The compensation awarded was based on the full amount of rent incurred within a nine-week period, but the Tribunal held that the respondent appeared to have been placed in a better position than she would have been had the lease not been wrongfully terminated. The Tribunal further found that the Magistrate had miscalculated the number of weeks for which compensation should have been awarded. The Tribunal also determined that the Magistrate had failed to apply appropriate restitutionary principles in the calculation of compensation, constituting an error of law. Consequently, the Tribunal granted leave to appeal and allowed the appeal, setting aside the original decision and remitting the matter to be reconsidered by a differently constituted Tribunal.