McBride v Christie's Australia Pty Limited (No 3)

In this case, the plaintiff, McBride, sought damages from Christie's Australia Pty Limited for their failure to provide a guaranteed sale of a piece of artwork. The dispute arose from an agreement between the parties that Christie's would sell the artwork for a minimum of $42,000. The plaintiff claimed damages for the difference between the guaranteed sale price and the eventual sale price of $20,000, as well as interest on the amount. The case was heard by the Supreme Court of New South Wales.

The legal issue before the court was whether the plaintiff was entitled to interest on the amount of damages claimed, despite having offered a lower amount prior to litigation and at trial. The court needed to determine if pre-judgment interest should be awarded, considering the plaintiff's failure to pursue the higher amount at trial and the offer made eight months prior to litigation. The court also needed to consider the principles of equity in awarding interest.

The court held that pre-judgment interest should not be awarded in this case. The court found that the plaintiff's offer of $42,000, made both before and during the trial, did not reflect the full extent of the damages claimed. The court emphasised the importance of the plaintiff's conduct in pursuing the full amount of damages at trial. Additionally, the offer made eight months prior to litigation did not constitute a genuine offer to settle the dispute. The court concluded that the plaintiff's failure to pursue the higher amount at trial and the inconsistent offers made undermined the plaintiff's claim for interest. The court ordered that no interest be awarded to the plaintiff.