Janos v Chama Motors Pty Ltd

The appeal in *Janos v Chama Motors Pty Ltd* concerned a dispute arising from a contract. The parties involved were the plaintiff, Janos, and the defendants, Chama Motors Pty Ltd. The core of the disagreement related to the termination of the contract and the subsequent assessment of damages. The matter was heard in the Court of Appeal of New South Wales.

The legal issues before the Court of Appeal included whether the plaintiff had made an unequivocal election to terminate the contract due to a breach by the defendants, and how damages for loss of bargain should be assessed, particularly in light of later facts. Additionally, the court considered whether the defendants' subsequent sale of the freehold property served to mitigate their losses.

The Court of Appeal found that the plaintiff had indeed made an unequivocal election to terminate the contract. In assessing damages for loss of bargain, the court held that such assessment should generally be made as at the date of the breach, but that later facts could be relevant. Crucially, the court determined that the defendants' sale of the freehold property after terminating the lease constituted a mitigation of their losses.

Consequently, the Court of Appeal allowed the appeal, setting aside the judgment of the District Court. The order for indemnity costs in the District Court was also set aside. In its place, the Court of Appeal entered judgment for the plaintiff for $69,351.50 with costs, effective from 10 May 2010. The respondent was also granted a certificate under the Suitors Fund Act, if qualified.