Riana Pty Limited v The Owners - Strata Plan No 22336

In this case, Riana Pty Limited, the first respondent, appealed against a decision of the Supreme Court of New South Wales. The dispute involves the valuation of strata title units within a strata plan, specifically Owners Strata Plan No 22336, and whether the Supreme Court erred in its valuation assessment. The case was heard in the New South Wales Court of Appeal, presided over by the Honourable Justices Hamill and Lee, and Justice Hulme.

The appeal centred on whether the Supreme Court made an error of law in its handling of expert evidence and its application of the Makita principles. A critical issue was whether the failure to adequately disclose the reasoning of an expert witness in the building valuation report constituted a failure to adduce evidence of the actual value of the units. Additionally, the court considered whether the respondent had standing to challenge the valuation process under the Administrative Law Act, specifically whether the respondent qualified as a "person" for the purposes of the Act.

The Court of Appeal found that the Supreme Court had indeed erred in its assessment of the expert evidence. The court held that the failure to adequately disclose the reasoning of the expert witness was a significant omission, impacting the reliability and credibility of the valuation report. Furthermore, the Court of Appeal held that the respondent did have standing to challenge the valuation under the Administrative Law Act, as it qualified as a "person" with sufficient interest in the matter. Consequently, the appeal was allowed, and the case was remitted to the Supreme Court for reconsideration in light of the Court of Appeal's findings.

The final orders of the Court of Appeal included a direction for the Supreme Court to reassess the valuation of the strata title units, taking into account the proper consideration of expert evidence and the standing of the respondent to challenge the valuation process. The Court of Appeal also instructed the parties to address the specific issues raised by the appeal in any further proceedings.