Hassib Njjar (T/A Cedar Management) v The Minister for Public Works State Office Block

In the Supreme Court of New South Wales Court of Appeal, Hassib Njjar, trading as Cedar Management, brought proceedings against the Minister for Public Works State Office Block. The dispute concerned the interpretation and application of a building contract, specifically relating to the payment of a sum of money by the Minister to Cedar Management.

The primary legal issue before the Court of Appeal was whether the Minister was entitled to set off a claim for damages against the amount due to Cedar Management under the contract. This involved determining the scope of the Minister's rights under the contract and the principles governing set-off in contractual disputes.

The Court considered the terms of the building contract and the relevant legal principles concerning set-off. It was held that the Minister had a contractual right to set off amounts due to him by Cedar Management against sums otherwise payable under the contract. This right was not extinguished by the fact that the Minister's claim for damages had not yet been finally quantified or determined by a court. The Court applied the principle that a party may be entitled to set off a claim for unliquidated damages against a liquidated debt, provided the contract permits such a set-off.

The appeal was dismissed, with the Court of Appeal affirming the decision of the primary judge.