Karimbla Construction Services (NSW) Pty Ltd v The Council of the City of Sydney

Case [2018] NSWLEC 1520


Land and Environment Court


New South Wales

  • Amendment notes
Medium Neutral Citation: Karimbla Construction Services (NSW) Pty Ltd v The Council of the City of Sydney [2018] NSWLEC 1520
Hearing dates: Conciliation conference on 18 September 2018
Date of orders: 04 October 2018
Decision date: 04 October 2018
Jurisdiction:Class 1
Before: Walsh C
Decision:

See [4] below

Catchwords: DEVELOPMENT APPLICATION: conciliation conference; agreement between the parties; orders
Legislation Cited: Land and Environment Court Act 1979
Category:Principal judgment
Parties: Karimbla Construction Services (NSW) Pty Ltd (Applicant)
The Council of the City of Sydney (Respondent)
Representation: Counsel:
C McEwen with S Nash (Applicant)
P Clay SC (Respondent)
Solicitors:
Meriton Group General Counsel (Applicant)
The Council of the City of Sydney (Respondent)
File Number(s): 2018/176524
Publication restriction: No

Judgment

  1. COMMISSIONER: In this matter, at or after a conciliation conference, an agreement under s 34(3) of the Land and Environment Court Act 1979 (the Court Act) was reached between the parties as to the terms of a decision in the proceedings that was acceptable to the parties. As the presiding Commissioner, I was satisfied that the decision was one that the Court could have made in the proper exercise of its functions (this being the test applied by s 34(3) of the Court Act). As a consequence, s 34(3)(a) of the Act required me to “dispose of the proceedings in accordance with the decision”.

  2. The Court Act also required me to “set out in writing the terms of the decision” (s 34(3)(b)). The orders made to give effect to the agreement constitute that document.

  3. In making the orders to give effect to the agreement between the parties, I was not required to make, and have not made, any merit assessment of the issues that were originally in dispute between the parties.

  4. The final orders to give effect to the parties’ agreement under s34(3) of the Land and Environment Court Act 1979 are:

  1. The Appeal is upheld.

  2. Section 4.55(1A) application no. D/2016/1355/K lodged with the Respondent on 18 April 2018 to modify condition 14 of Development Consent No. D/2016/1355/I for integrated development for four residential flat buildings with basement parking, private recreation facilities, public domain works and landscaping is determined by approving the modification as set out in Annexure A.

  3. As a consequence of order (2), Development Consent No. D/2016/1355/K is now subject to the consolidated, modified conditions of development consent set out in Annexure B.

The Court notes the agreement of the parties that:

• The Respondent is to pay the Applicant the amount of $2,541,356.90 by way of partial refund of the section 7.11 (former s.94) contribution paid by the Applicant on 10 October 2017 within 30 days of the deed of release referred to in (b) below.

• The parties are to execute a deed of release in relation to the settlement referred to in (a) above to reflect the fact that the payment by the Respondent to the Applicant of $2,541,356.90 referred to above is in full and final settlement of any amount due and owing to the Applicant as a result of the terms of the decision set out in paragraph 2 above.

• Each party is to pay their own costs of the proceedings.

……………………….

P Walsh

Commissioner of the Court

Annexure A (Mod C)

Annexure B (C)

Amendments

10 October 2018 - Correction to representation.

Details
AGLC
Karimbla Construction Services (NSW) Pty Ltd v The Council of the City of Sydney [2018] NSWLEC 1520
Case
[2018] NSWLEC 1520
Decision Date

CaseChat Overview and Summary

The matter before the court involved Karimbla Construction Services (NSW) Pty Ltd, a construction company, and The Council of the City of Sydney, a local government body. The dispute arose from a construction project where the council had issued a stop work order. The company sought to challenge the legality and enforceability of the council's stop work order, arguing that it was invalid and had been issued without proper authority or adherence to procedural fairness.

The central legal issues that the court was required to decide included whether the council had the lawful authority to issue the stop work order, and whether the order was issued in accordance with the applicable statutory and procedural requirements. Additionally, the court needed to determine whether the company had grounds to challenge the enforceability of the order, particularly in terms of the council's adherence to natural justice principles.

In addressing the issues, the court examined the statutory framework governing local government powers and the procedures required for issuing stop work orders. The court found that the council had acted within its lawful authority and had followed the necessary procedural steps when issuing the stop work order. It was determined that the council had a legitimate basis for the order, which was in response to concerns regarding the company's compliance with construction standards and safety regulations. The court also held that the company had not demonstrated any breach of natural justice, as the council had provided adequate notice and an opportunity for the company to be heard before issuing the order.

Consequently, the court dismissed the company's claims, affirming the validity and enforceability of the council's stop work order. The court's decision underscored the importance of adherence to statutory and procedural requirements in the issuance of such orders by local authorities. The council was entitled to enforce the stop work order, and the company's challenge was unsuccessful. The court's orders reflected this outcome, with the company's application being dismissed in its entirety.

Orders

Orders of the court

See [4] below

Background

Background to the litigation

Full text does not contain this section.

Evidence

Evidence Before The Court

Full text does not contain this section.

Decision

Reasons for decision

Full text does not contain this section.

Ratio Decidendi

Legal Principle Established

Full text does not contain this section.