Health Administration Corporation v George D Angus Pty Ltd

The Health Administration Corporation (the appellant) appealed to the Court of Appeal of New South Wales against a decision of the Supreme Court of New South Wales. The dispute concerned the compensation payable to George D Angus Pty Ltd (the respondent) following the compulsory acquisition of the respondent's statutory tenancy at will. The primary judge had awarded compensation for financial losses incurred by the respondent, which the appellant argued was an error.

The central legal issues before the Court of Appeal were whether the primary judge had erred in awarding compensation under section 59(f) of the *Land Acquisition (Just Terms Compensation) Act 1991* (NSW) for financial losses, and whether the term "financial costs" as used in that section encompassed "financial losses". Additionally, the Court considered whether the nature of the interest compulsorily acquired, specifically a statutory tenancy at will, was relevant to the assessment of loss attributable to disturbance.

The Court of Appeal held that the primary judge had correctly interpreted section 59(f) of the Act. It reasoned that "financial costs" in section 59(f) was intended to be a broad category, encompassing not only direct expenses but also financial losses that were a natural and probable consequence of the compulsory acquisition. The Court found that the compulsory acquisition of a statutory tenancy at will did not preclude the recovery of such losses, as the Act aimed to compensate for all losses attributable to disturbance, regardless of the precise nature of the acquired interest.

The appeal was dismissed with costs.