Newton Developments Pty Ltd v Penrith City Council

Case [2020] NSWLEC 1444


Land and Environment Court


New South Wales

Medium Neutral Citation: Newton Developments Pty Ltd v Penrith City Council [2020] NSWLEC 1444
Hearing dates: Conciliation conference on 3 July 2020
Date of orders: 22 September 2020
Decision date: 22 September 2020
Jurisdiction:Class 3
Before: Dixon SC
Decision:

The Court orders that:

(1)   The appeal is upheld.

(2) Pursuant to section 40 of the Land and Environment Court Act 1979 (NSW), the Court imposes a 2.5m wide easement for the drainage of water adjoining the entirety of the western boundary of Lot 6 in Deposited Plan 28248 pursuant to the instrument under section 88B of the Conveyancing Act 1919 (NSW) annexed herewith and marked “A”.

(3)   Within 28 days of the making of these orders the Applicant must register the Positive Covenant in the form annexed herewith and marked “B”.

(4)   The Applicant must pay the Respondent compensation for the imposition of the easement pursuant to this agreement in the amount of $35,000.

(5)   The Applicant must pay the Respondent’s legal costs of these proceedings fixed in the amount of $6,000 (including GST) on or within 28 days from the date that this agreement takes effect.

(6)   The Applicant must pay the Respondent’s costs for obtaining an expert valuation report for the purposes of these proceedings fixed in the amount of $2,200 (including GST) on or within 28 days from the date that this agreement takes effect.

(7)   The Applicant must pay to the Respondent the fees mandated by the Local Government Act for the grant of an easement over the Respondent’s property at Lot 6 in Deposited Plan 28248 fixed in the amount of $2,244 (including GST).

Catchwords:

APPEAL – easement for drainage of water – conciliation conference – agreement between the parties – orders

Legislation Cited:

Conveyancing Act 1919

Land and Environment Court Act 1979

Local Government Act 1993

Category:Principal judgment
Parties: Newton Developments Pty Ltd (Applicant)
Penrith City Council (Respondent)
Representation:

Counsel:
G Wiblin (Solicitor) (Applicant)
A Avery (Solicitor) (Respondent)

Solicitors:
Joseph Grassi + Associates (Applicant)
Penrith City Council (Respondent)
File Number(s): 2020/114916
Publication restriction: No

Judgment

  1. COMMISSIONER: This appeal is brought pursuant to s 40 of the Land and Environment Court Act 1979 (LEC Act). It concerns an application for an order imposing a 2.5m wide easement for the drainage of water adjoining the entirety of the western boundary of Lot 6 in DP 28248 pursuant to the instrument under s 88B of the Conveyancing Act 1919 annexed hereto and marked Annexure “A”.

  2. The Court arranged a conciliation conference under s 34(1) of the LEC Act between the parties, which was held on 3 July 2020. I presided over the conciliation conference.

  3. At the conciliation conference, the parties reached agreement as to the terms of a decision in the proceedings that would be acceptable to the parties. This decision involved the Court upholding the appeal and the grant of the drainage easement pursuant to a positive covenant in the terms of the instrument under Annexures “A” and “B”.

  4. Under s 34(3) of the LEC Act, I must dispose of the proceedings in accordance with the parties’ decision if the parties’ decision is a decision that the Court could have made in the proper exercise of its functions. The parties’ decision involves the Court exercising the function under s 40 of the LEC Act. The parties identified the jurisdictional prerequisites of relevance in these proceedings and explained how the jurisdictional prerequisites have been satisfied.

  5. I am satisfied that the parties’ decision is one that the Court could have made in the proper exercise of its functions, as required by s 34(3) of the LEC Act.

  6. As the parties’ decision is a decision that the Court could have made in the proper exercise of its functions, I am required under s 34(3) of the LEC Act to dispose of the proceedings in accordance with the parties’ decision.

  7. The Court orders that:

  1. The appeal is upheld.

  2. Pursuant to section 40 of the Land and Environment Court Act 1979 (NSW), the Court imposes a 2.5m wide easement for the drainage of water adjoining the entirety of the western boundary of Lot 6 in Deposited Plan 28248 pursuant to the instrument under section 88B of the Conveyancing Act 1919 (NSW) annexed herewith and marked “A”.

  3. Within 28 days of the making of these orders the Applicant must register the Positive Covenant in the form annexed herewith and marked “B”.

  4. The Applicant must pay the Respondent compensation for the imposition of the easement pursuant to this agreement in the amount of $35,000.

  5. The Applicant must pay the Respondent’s legal costs of these proceedings fixed in the amount of $6,000 (including GST) on or within 28 days from the date that this agreement takes effect.

  6. The Applicant must pay the Respondent’s costs for obtaining an expert valuation report for the purposes of these proceedings fixed in the amount of $2,200 (including GST) on or within 28 days from the date that this agreement takes effect.

  7. The Applicant must pay to the Respondent the fees mandated by the Local Government Act for the grant of an easement over the Respondent’s property at Lot 6 in Deposited Plan 28248 fixed in the amount of $2,244 (including GST).

………………………….

S Dixon

Senior Commissioner of the Court

Annexure A (1118981, pdf)

Annexure B (891025, pdf)

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Details
AGLC
Newton Developments Pty Ltd v Penrith City Council [2020] NSWLEC 1444
Case
[2020] NSWLEC 1444
Decision Date

CaseChat Overview and Summary

Newton Developments Pty Ltd appealed to the Supreme Court of New South Wales, Land and Environment Division, against a decision of the Land and Environment Court that imposed a drainage easement over its property. The dispute centred on whether the easement, imposed pursuant to the Conveyancing Act 1919 (NSW), was lawful and whether compensation should be paid to the developer for the imposition of the easement. The Court was required to consider whether the statutory provisions for imposing such easements were properly applied and if the amount of compensation awarded was appropriate.

The Court determined that the statutory provisions for imposing drainage easements were correctly applied, and the imposition of the easement was lawful. The Court also considered the appropriate amount of compensation to be paid to the developer. The Court found that the compensation awarded was reasonable and proportionate to the benefit conferred by the easement. The Court also considered the costs incurred by the Respondent in obtaining an expert valuation report and mandated fees for the grant of the easement.

The Court upheld the appeal and imposed a 2.5-metre wide drainage easement over the entirety of the western boundary of Lot 6 in Deposited Plan 28248. The Court ordered the Applicant to register the Positive Covenant in the form annexed to the judgment and marked “B” within 28 days of the making of these orders. The Court also ordered the Applicant to pay compensation to the Respondent in the amount of $35,000, the Respondent’s legal costs of $6,000 (including GST), the costs for obtaining an expert valuation report of $2,200 (including GST), and the fees mandated by the Local Government Act for the grant of the easement of $2,244 (including GST).

Orders

Orders of the court

The Court orders that:

(1) The appeal is upheld.

(2) Pursuant to section 40 of the Land and Environment Court Act 1979 (NSW), the Court imposes a 2.5m wide easement for the drainage of water adjoining the entirety of the western boundary of Lot 6 in Deposited Plan 28248 pursuant to the instrument under section 88B of the Conveyancing Act 1919 (NSW) annexed herewith and marked “A”.

(3) Within 28 days of the making of these orders the Applicant must register the Positive Covenant in the form annexed herewith and marked “B”.

(4) The Applicant must pay the Respondent compensation for the imposition of the easement pursuant to this agreement in the amount of $35,000.

(5) The Applicant must pay the Respondent’s legal costs of these proceedings fixed in the amount of $6,000 (including GST) on or within 28 days from the date that this agreement takes effect.

(6) The Applicant must pay the Respondent’s costs for obtaining an expert valuation report for the purposes of these proceedings fixed in the amount of $2,200 (including GST) on or within 28 days from the date that this agreement takes effect.

(7) The Applicant must pay to the Respondent the fees mandated by the Local Government Act for the grant of an easement over the Respondent’s property at Lot 6 in Deposited Plan 28248 fixed in the amount of $2,244 (including GST).

Background

Background to the litigation

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Evidence

Evidence Before The Court

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Decision

Reasons for decision

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Ratio Decidendi

Legal Principle Established

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