McMEEKIN v Programmed Maintenance Services Pty Ltd

McMeekin (the applicant) brought proceedings against Programmed Maintenance Services Pty Ltd (the respondent) in the New South Wales Court of Appeal concerning the respondent's alleged breach of contract. The dispute arose from the respondent's termination of the applicant's employment.

The central legal issue before the Court of Appeal was whether the respondent had validly terminated the applicant's employment contract. Specifically, the court had to determine if the respondent's actions constituted a repudiation of the contract, thereby entitling the applicant to treat the contract as terminated and claim damages for wrongful dismissal.

The Court of Appeal found that the respondent's conduct, particularly its failure to provide the applicant with a safe working environment and its subsequent actions in response to the applicant's complaints, amounted to a repudiation of the employment contract. The court applied the principle that a party's conduct can amount to a repudiation if it demonstrates an intention no longer to be bound by the contract or if it makes performance impossible. The court held that the respondent's conduct evinced a clear intention to abandon its contractual obligations, thereby giving the applicant the right to accept the repudiation and claim damages.

The Court of Appeal allowed the appeal, setting aside the decision of the lower court and remitting the matter for assessment of damages.