Screenco Pty Ltd v R L Dew Pty Ltd

Screenco Pty Ltd (the plaintiff) appealed to the New South Wales Court of Appeal against a decision of the Supreme Court of New South Wales. The dispute concerned the plaintiff's entitlement to an award of interest on the capital value of chattels that were lost due to the negligence of R L Dew Pty Ltd (the defendant). The central issue was whether the plaintiff, having not yet paid for the lost chattels, had suffered a real loss for which interest could be awarded.

The Court of Appeal was required to determine whether the trial judge erred in awarding interest on the capital value of the chattels. Specifically, the court had to consider the relevance of the plaintiff not having paid the purchase price for the lost items to the assessment of damages and the subsequent award of interest under section 94 of the *Supreme Court Act*. The core legal question was whether the loss was sufficiently real to justify an award of interest, or if it was merely theoretical.

The Court of Appeal dismissed the appeal. The judges reasoned that the plaintiff had indeed suffered a real loss, notwithstanding that the purchase price had not yet been paid. The obligation to pay for the chattels constituted a real liability, and the loss of the chattels meant that this liability would still need to be met without the benefit of the goods. Therefore, the trial judge was correct in awarding interest on the capital value of the lost chattels. The appeal was dismissed with costs.