Middleton v Teh

In *Middleton v Teh* [1995] NSWCA 292, 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, thereby entitling the purchaser to terminate. Specifically, the court had to determine if the vendor had taken all reasonable steps to fulfil a condition precedent within the timeframe stipulated by the contract.

The Court of Appeal held that the vendor had not breached the contract. It reasoned that the vendor had acted reasonably in attempting to satisfy the condition precedent, even though it was not ultimately fulfilled within the specified period. The court applied the principle that a party is not in breach of a condition precedent if they have taken all reasonable steps to bring about its fulfilment, and the failure to fulfil it was not due to their own default or lack of diligence.

The appeal was dismissed, and the purchaser's claim for termination was unsuccessful.