Olohan v Robinson

The case of Olohan v Robinson involved a dispute between the applicant, Mr Olohan, and the respondent, Mr Robinson, concerning the execution of a deed of settlement intended to transfer an interest in land from the applicant to the respondent. The matter was heard in the Supreme Court of New South Wales. Mr Olohan sought specific performance of the deed of settlement, which was predicated on Mr Robinson's failure to settle the transfer of interest and pay the associated stamp duty. Mr Robinson contested the application by raising several defences, including the argument that Mr Olohan was unready to settle due to his failure to pay the stamp duty, and that specific performance would cause him undue financial hardship.

The court was required to determine whether Mr Olohan's failure to pay the stamp duty rendered him unready to settle, thus absolving Mr Robinson of his obligation to perform. Additionally, the court had to consider whether the imposition of specific performance would be impossible for Mr Robinson to achieve due to financial constraints and whether any such financial hardship was attributable to Mr Olohan. The court had to balance these defences against the applicant's entitlement to specific performance as per the terms of the deed of settlement.

In its reasoning, the court held that Mr Olohan's failure to pay the stamp duty did not render him unready to settle, as the deed explicitly required Mr Robinson to pay the stamp duty. The court found that Mr Robinson's defence of impossibility was unfounded as it was not the applicant's obligation to pay the stamp duty. Furthermore, the court found that the financial hardship alleged by Mr Robinson was not attributable to Mr Olohan but rather to Mr Robinson's own financial circumstances. Consequently, the court concluded that an order for specific performance would not cause undue hardship and should be granted.

Accordingly, the court ordered that Mr Olohan was to bring in minutes of order for the specific performance of the deed of settlement. The respondent was directed to complete the transfer of the land interest to the applicant as per the terms of the deed.