Klages (WA) Pty Ltd v Walker (No.2) - [2007] FMCA 2138

FEDERAL MAGISTRATES COURT OF AUSTRALIA

KLAGES (WA) PTY LTD & ORS v WALKER & ANOR (No.2)

[2007] FMCA 2138

TRADE PRACTICES – Misleading and deceptive conduct – damages.

COSTS – Indemnity costs.

Federal Court Rules (Cth), o.38, r.5
Federal Magistrates Act 1999 (Cth), s.76(3)(c)
Federal Magistrates Court Rules(2001) (Cth), r.26.01
Trade Practices Act 1974 (Cth), s.52

Bhagat v Global Custodians Limited [2002] FCA 223
Fountain Selective Meats Sales Pty Ltd v International Produce Merchants Pty Ltd & Ors (1988) 81 ALR 397
Genovese v BGC Construction Pty Ltd (No. 2) [2007] FMCA 601
Huck v Robson [2002] 3 All ER 263; [2002] EWCA Civ 398
Klages (WA) Pty Limited & Ors v Walker & Ors [2007] FMCA 2100
Sampson & Anor v McInness [2007] FMCA 1656
Spalla v St George Motor Finance [2006] FCA 1537
Tetijo Holdings Pty Ltd v Keeprite Australia Pty Ltd (unreported, Federal Court, 3 May 1999)

First Applicant:

KLAGES (WA) PTY LIMITED

Second Applicant:

ADAM KLAGES

Third Applicant:

SCHAFER HOLDINGS PTY LTD

Fourth Applicant:

CHRISTOPHER JOHN MOODY AS TRUSTEE FOR THE MOODY FAMILY TRUST

First Respondent:

DUNCAN ALLISTER WALKER

Second Respondent:

SHERINGHAM WA PTY LTD AS TRUSTEE FOR THE WALKER FAMILY TRUST

File number:

PEG 260 of 2005

Judgment of:

Lucev FM

Hearing date:

20 December 2007

Date of last submission:

20 December 2007

Delivered at:

Perth

Delivered on:

20 December 2007

REPRESENTATION

Counsel for the Applicants:

Mr D C Robinson

Solicitors for the Applicants:

Williams & Hughes

First Respondent:

Mr D A Walker in person

Second Respondent:

No appearance

ORDERS

The respondents pay to the first applicant, by way of damages, pursuant to section 82 of the Trade Practices Act 1974 (Cth), the sum of $53,139.51.
The respondents pay to the first applicant, by way of interest on the damages, pursuant to section 76(3) of the Federal Magistrates Act 1999 (Cth), $17,058.27, calculated to 10 December 2007.
The respondents pay to the first applicant, by way of interest on the judgment, pursuant to section 77(2) of the Federal Magistrates Act 1999 (Cth), $20.19 per day from 11 December 2007 until payment.
The respondents pay the first applicant’s costs, including any reserved costs, to be taxed, if not agreed, by a Registrar of this Court and paid on an indemnity basis up to 10 December 2007 and thereafter on a party-party basis.
The respondents pay to the second applicant, by way of damages, pursuant to section 82 of the Trade Practices Act 1974 (Cth), the sum of $75,000.
The respondents pay to the second applicant, by way of interest on the judgment, pursuant to section 77(2) of the Federal Magistrates Act 1999 (Cth), $21.58 per day from 11 December 2007 until payment.
The respondents pay the second applicant’s costs, including any reserved costs, to be taxed, if not agreed, by a Registrar of this Court.
The respondents pay to the third applicant, by way of damages, pursuant to section 82 of the Trade Practices Act 1974 (Cth), the sum of $10,100.
The respondents pay…

Grounds of appeal

[14] The appellant contends that the primary judge erred in finding that the respondent had discharged the onus of establishing the matters required under the relevant provision.

[15] It was submitted that his Honour failed to give adequate weight to the evidence of the second witness, and that the findings of fact were not reasonably open on the material before the Court.

[16] The respondent, for its part, submits that no error is disclosed, and that the conclusions reached were well within the range of outcomes available to the primary judge.

Consideration

[17] It is convenient to deal first with the question of construction, as the resolution of that issue informs the remaining grounds advanced by the appellant.

[18] For the reasons that follow, we are of the view that the appeal should be allowed in part and the matter remitted for further determination.

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Details

Case: [2007] FMCA 2138
Decision Date: 20 December 2007

CaseChat Overview and Summary

Trade Practices Act 1974 (Cth), the sum of $6,376.74. The parties involved in the case are Klages (WA) Pty Ltd, the first applicant, and Walker, the respondents. The dispute revolves around a claim for damages and interest under the Trade Practices Act 1974 (Cth). The matter was heard and determined by the Federal Court of Australia. The primary legal issues before the court were the determination of damages and interest payable to Klages (WA) Pty Ltd by Walker, under sections 82 and 76(3) of the Trade Practices Act 1974 (Cth), respectively.

In its reasoning, the court examined the provisions of the Trade Practices Act 1974 (Cth) to assess the quantum of damages and interest owed. The court considered the evidence presented by Klages (WA) Pty Ltd regarding the losses incurred and the applicable interest rate. It was established that Klages (WA) Pty Ltd had suffered losses as a result of the actions of Walker, warranting compensation. The court calculated the damages and interest based on the statutory provisions and the evidence provided, arriving at the sums of $53,139.51 for damages and $6,376.74 for interest. These amounts reflect the legislative intent to provide full compensation to the aggrieved party and the statutory interest on that compensation.

The court's decision was rendered in favour of Klages (WA) Pty Ltd, mandating that the respondents pay the specified amounts. The orders are clear and direct, ensuring that Walker is held accountable for the damages and interest owed to Klages (WA) Pty Ltd. The court's ruling provides a definitive resolution to the dispute, upholding the statutory rights of the first applicant under the Trade Practices Act 1974 (Cth).

Orders

Orders of the court

The respondents pay to the first applicant, by way of damages, pursuant to section 82 of the Trade Practices Act 1974 (Cth), the sum of $53,139.51.

The respondents pay to the first applicant, by way of interest on the damages, pursuant to section 76(3) of the

Background

Background to the litigation

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Evidence

Evidence Before The Court

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Decision

Reasons for decision

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Ratio Decidendi

Legal Principle Established

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