Lever v Murray

In *Lever v Murray*, the New South Wales Court of Appeal considered a dispute between a vendor and a purchaser concerning the sale of a property. The purchaser sought to terminate the contract of sale, alleging that the vendor had failed to comply with a condition precedent.

The central legal issue before the Court of Appeal was whether the vendor's conduct constituted a breach of the contract, specifically in relation to a condition requiring the vendor to obtain vacant possession of the property by a certain date. The purchaser argued that the vendor's failure to secure vacant possession amounted to a repudiation of the contract, entitling the purchaser to terminate.

The Court of Appeal examined the terms of the contract and the vendor's actions in attempting to obtain vacant possession. It was held that the vendor had taken all reasonable steps available to them to fulfil the condition. The Court applied the principle that a party is not in breach of a condition precedent if they have acted reasonably and in good faith to satisfy it, even if the condition is ultimately not met due to circumstances beyond their control. The purchaser's claim for termination was therefore dismissed.