Lee v YOUth OK Pty Ltd (No. 2)

In Lee v YOUth OK Pty Ltd (No. 2), the plaintiff sought to recover damages for the breach of a lease agreement and sought indemnity costs pursuant to the lease. The defendant, YOUth OK Pty Ltd, had allegedly breached the lease by failing to maintain the property and subsequently repossessed the premises. The primary dispute centred around the calculation of damages for the balance of the lease term and whether the plaintiff had fulfilled her obligation to mitigate her losses. Additionally, the plaintiff sought recovery of legal costs under the lease terms, and the court needed to determine whether indemnity costs were applicable and if interest on those costs should be awarded.

The court was required to determine if the plaintiff had taken every reasonable step to mitigate her losses and if she was entitled to recover reasonable legal costs from the defendant under the lease agreement. Furthermore, the court had to consider whether the terms of the lease permitted the award of indemnity costs and if interest on those costs should be awarded.

The court found that the defendant had breached the lease agreement and that the plaintiff had taken reasonable steps to mitigate her losses. It was determined that the plaintiff was entitled to recover reasonable legal costs from the defendant under the lease terms. The court held that the lease did permit the award of indemnity costs and that interest on those costs should be awarded. The court concluded that the plaintiff was entitled to the full amount of the damages for the balance of the lease term, along with reasonable legal costs and interest thereon.

The court ordered the defendant to pay the plaintiff the full amount of the damages for the balance of the lease term, reasonable legal costs, and interest thereon.