Leroux and Leroux and Anor

The parties to this proceeding were the applicants, Mr. and Mrs. Leroux, and the respondents, who were the purchasers of their former home. The dispute concerned the purchasers' claim for damages arising from alleged misrepresentations made by the vendors regarding the property's condition, specifically concerning a leaking roof and associated water damage. The matter was heard in the Supreme Court of Victoria by Benjamin J.

The central legal issue before the court was whether the vendors had made actionable misrepresentations to the purchasers concerning the property's condition, and if so, whether those misrepresentations caused the purchasers loss for which they were entitled to damages. This involved determining the nature of the statements made, their truthfulness, and whether they induced the purchasers to enter into the contract of sale.

Benjamin J found that the vendors had made misrepresentations regarding the roof's condition, which were not true at the time they were made. His Honour applied the principles of contract law relating to misrepresentation, considering whether the statements were statements of fact rather than mere opinion or puffery. The court determined that the purchasers had relied on these representations when deciding to purchase the property, and that the subsequent discovery of the leaking roof and water damage constituted a loss flowing from that reliance.

The court ordered that the purchasers were entitled to damages, the quantum of which was to be assessed.