Radovanovic v Stekovic

The parties to this appeal were Radovanovic (appellant) and Stekovic (respondents). The dispute concerned whether a binding agreement had been reached to settle proceedings, following the appellant's acceptance of a "Calderbank" offer. The matter was heard in the Court of Appeal of New South Wales.

The primary legal issues before the court were whether the parties had reached a binding settlement agreement, the meaning and effect of the phrase "without prejudice save as to costs" in the context of the offer, whether the execution of a deed was a condition precedent to the settlement, and whether the settlement agreement was incomplete due to a missing key term. The court also considered whether the appellant's entry into the Calderbank offer indicated an intention to be immediately bound.

The Court of Appeal dismissed the appeal, finding that the parties had not reached a binding settlement agreement. The court reasoned that the Calderbank offer, while accepted, contemplated the execution of a formal deed. This execution was considered a condition precedent to the settlement becoming binding. Furthermore, the court determined that a key term was missing from the purported agreement, rendering it incomplete. Consequently, the appellant was ordered to pay the respondents' costs.