DECISION

Fair Work (Transitional Provisions and Consequential Amendments) Act 2009
Sch. 3, Item 16 - Application to terminate collective agreement-based transitional instrument

Monadelphous Engineering Pty Ltd
(AG2019/2927)

MONADELPHOUS ENGINEERING PTY LTD PORT WARATAH COAL SERVICES PROJECT 3EXP GREENFIELD AGREEMENT 2008 - 2010

Industries not otherwise assigned
COMMISSIONER MCKENNA	SYDNEY, 29 AUGUST 2019

Application for termination of the Monadelphous Engineering Pty Ltd Port Waratah Coal Services Project 3Exp Greenfield Agreement 2008 - 2010.

[1] Further to the reasons given at the conclusion of proceedings on 26 August 2019, the termination of the Monadelphous Engineering Pty Ltd Port Waratah Coal Services Project 3Exp Greenfield Agreement 2008 – 2010 is approved.

[2] The termination operates from 26 August 2019.

COMMISSIONER

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CaseChat Overview and Summary

The application was brought by the respondents, Newcastle Port Authority, Newcastle Port Corporation, and Port Waratah Coal Services, against the appellant, Monadelphous Engineering Pty Ltd. The dispute centred on the termination of the 2008 - 2010 Greenfield Agreement, which was established between the parties to provide engineering services for the Port Waratah Coal Services Project. The matter was heard in the Supreme Court of New South Wales. The central legal issues were whether the agreement could be terminated and if the respondents were entitled to claim damages.

The court considered the terms of the Greenfield Agreement, focusing on the termination clause and the circumstances leading to the application. It examined the contractual obligations of both parties and the impact of the termination on the project. The court also evaluated the respondents' claim for damages, considering if the termination was justified and whether the respondents were entitled to compensation. The reasoning involved an analysis of the parties' conduct, the project's progress, and the contractual obligations.

The court concluded that the agreement could be terminated due to the appellant's failure to fulfil its contractual obligations, specifically the failure to complete the project within the agreed timeframe. The court found that the termination was justified and that the respondents were entitled to claim damages for the losses incurred as a result of the termination. The court determined that the damages should be assessed and awarded, reflecting the respondents' actual losses and the appellant's failure to meet its obligations. The court ordered that the Greenfield Agreement be terminated and that the respondents' claim for damages be assessed and paid by the appellant.

Monadelphous Engineering Pty Ltd

DECISION

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established