Rizzo v VicRoads

The matter before the court involved an application by VicRoads to dismiss a proceeding initiated by the applicants, who sought compensation for loss on sale of their property under the Planning and Environment Act 1987 (Vic). The dispute centred on the timing of the applicants' right to payment of compensation and the interpretation of the term "sale of the land" under the Act, specifically in the context of a staged sale of land. The application was heard in the Supreme Court of Victoria.

The central legal issues were whether there were sufficient grounds to conclude that the decision in Plunkett v Roads Corporation [2019] VSC 39, which was cited by the applicants, might be incorrect, and whether there were grounds to adjourn the determination of the proceeding to await the completion of the final stage of the contract for the sale of the land. The applicants argued that their right to compensation arose upon the execution of the contract for sale, while VicRoads contended that compensation should only be payable upon the final sale of the land.

The court examined the statutory provisions and relevant case law, particularly Capela v Minister for Energy, Environment and Climate Change [2018] VSC 360, to determine the appropriate interpretation of the term "sale of the land." The court found that the decision in Plunkett v Roads Corporation [2019] VSC 39 was not binding and there were sufficient grounds to question its correctness. Furthermore, the court considered the discretion under s 64 of the Civil Procedure Act 2010 (Vic) to order a proceeding to go to trial despite there being no real prospect of success, and decided that the proceeding should not be dismissed if there was a possibility that, with amendment, it might have a real prospect of success.

The court dismissed VicRoads' application to dismiss the proceeding, finding that the proceeding should not be dismissed if there was a possibility that, with amendment, it might have a real prospect of success. The court also ordered that the determination of the proceeding be adjourned to await the completion of the final stage of the contract for the sale of the land.