Perri v Flavell

In *Perri v Flavell*, the New South Wales Court of Appeal considered a dispute between a vendor and purchasers concerning the sale of a property. The purchasers 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 failure to obtain a certificate of occupancy for the property by the settlement date constituted a breach of the contract, thereby entitling the purchasers to terminate. The contract stipulated that the vendor was to provide this certificate, and its absence was the basis of the purchasers' claim.

The Court analysed the nature of the condition precedent and the vendor's obligations. It was held that the vendor's obligation to procure the certificate was a condition precedent to the purchasers' obligation to complete the purchase. The Court found that the vendor had not taken all reasonable steps to obtain the certificate, and therefore, the condition had not been satisfied. Consequently, the purchasers were entitled to terminate the contract. The appeal was dismissed.