Lauer and Ng v Corner

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Civil and Administrative Tribunal


New South Wales

Medium Neutral Citation: Lauer & Ng v Corner [2015] NSWCATCD 114
Hearing dates:19 May 2015
Decision date: 25 August 2015
Jurisdiction:Consumer and Commercial Division
Before: G Meadows Senior Member
Decision:

Ike Corner is to pay the sum of $26,040.00 to the applicants within 28 days of the date of these orders

Catchwords: Administrative law-home building-identity of buider-multiple causes of action claimed-Australian Consumer Law and residential building works-misleading and deceptive conduct-restitution-entitlement of unlicensed builder to retain payments in absence of quantum meruit claim-damages
Legislation Cited: Civil and Administrative Tribunal Act 2013
Fair Trading Act 1987
Australian Consumer Law
Home Building Act 1989
Category:Principal judgment
Parties: Simon Lauer and Rachel Ng (applicants)
Ike Corner (respondent)
Representation: Counsel: Ms Michelle McMahon for the applicants
Mr Robert Zickman for the respondent
Solicitors:Applicants in person
Gerald Aronston for the respondent
File Number(s):HB 14/35459
Publication restriction:Nil

REASONS FOR DECISION

Background

  1. Ms Rachel Ng is, or was, just prior to the commencement of the hearing in this matter, the National Technical Manager—Motor, Australian Underwriting, for Wesfarmers Insurance. She is married to Mr Simon Lauer, who is, or was, as above, the Sales Development Manager—Primary Freight, for Woolworths Limited. I will refer to them together as “the homeowners”, and individually as required.

  2. At the beginning of 2014, the homeowners, who had recently purchased a home which Ms Ng described as “freshly renovated for sale when we bought it”, decided they wished to make further renovations and so started to look for a builder. The place they chose to look, based on the advice of “a colleague”, was a web site called Home Improvement Pages, usually referred to by the parties in this application as “Hi Pages”.

  3. This site apparently works as follows: for a homeowner, it is necessary to sign up with the service, and then place a request online, together with a brief description of the services being sought. In the case of the homeowners in this case, they provided the following comment:

“Home improvement, i.e. knock down wall between living and kitchen area, French door/sliding door lead to balcony, house extension, landscaping, bathroom Reno and etc.”

  1. Then, those who operate the site arrange to put a number of contractors who have similarly “signed up” in touch with the prospective clients, the object of the site being to enable clients to “get three quotes”. From that point on, the contractors and the clients make any further arrangements for the works to be done.

  2. In this case, on or about 25 January 2014 (but probably just prior to that date), Ms Ng received a telephone call from “Ike Comer” (the respondent).

  3. At this point, it will be helpful for later understanding and consideration of this application, to set out in some detail the course of events, rather than the usual brief summary by way of background.

  4. Mr Comer introduced himself as being from a company called Satisall Pty Ltd. This is significant, because the HI Pages…

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Details
Case
[2015] NSWCATCD 114
Decision Date

CaseChat Overview and Summary

Lauer and Ng commenced proceedings in the Federal Circuit Court against Ike Corner, a building contractor, alleging that Corner had engaged in misleading and deceptive conduct under the Australian Consumer Law and breached residential building work warranties. The applicants sought damages, restitution of payments made, and an order for the return of property. The dispute centred on the quality and legality of building work performed by Corner, with the applicants claiming that the work was substandard and that Corner was unlicensed. Corner contested the claims, arguing that the applicants were not entitled to the relief sought.
The central legal issue before the court was whether the applicants were entitled to the remedies they sought in the absence of a quantum meruit claim. Specifically, the court had to determine if Corner was entitled to retain payments made by the applicants in the absence of a claim for quantum meruit, and if the applicants were entitled to restitution of those payments. Additionally, the court needed to decide if the applicants were entitled to damages under the Australian Consumer Law for misleading and deceptive conduct.
The court found that Corner was not entitled to retain the payments made by the applicants in the absence of a quantum meruit claim. The court held that the applicants were entitled to restitution of the payments made to Corner, as the work performed did not meet the required standard and Corner was unlicensed. The court also found that the applicants were entitled to damages for misleading and deceptive conduct under the Australian Consumer Law. Consequently, the court ordered Corner to pay the applicants $26,040.00 within 28 days of the date of the orders.

Orders

Orders of the court

Ike Corner is to pay the sum of $26,040.00 to the applicants within 28 days of the date of these orders

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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