MacGREGOR v Hunter

In *MacGREGOR v Hunter* [1994] NSWCA 189, the New South Wales Court of Appeal considered a dispute between the appellant, MacGregor, and the respondent, Hunter. The case concerned the interpretation and enforceability of a deed of settlement and release.

The primary legal issue before the Court was whether the deed of settlement and release, which purported to extinguish all claims between the parties, was effective to prevent the appellant from pursuing a claim for damages for breach of contract. The Court was required to determine the scope and effect of the release clause within the deed, particularly in light of the appellant's contention that the claim for breach of contract was not within the contemplation of the parties at the time the deed was executed.

The Court of Appeal, in its reasoning, applied principles of contractual interpretation, focusing on the plain meaning of the words used in the deed and the surrounding circumstances. It held that the language of the release clause was broad and unambiguous, encompassing all claims, whether known or unknown, arising out of the relationship between the parties. The Court found that the appellant had, by executing the deed, released all claims, including the claim for breach of contract, and that there was no basis to limit the operation of the release. The Court affirmed the general principle that clear and unambiguous release clauses are to be given their full effect.

The appeal was dismissed, with the Court upholding the primary judge's decision that the deed of settlement and release was a complete bar to the appellant's claim.