Simson v Wotif

Case [2013] NSWSC 124


Supreme Court


New South Wales

Medium Neutral Citation: Simson v Wotif [2013] NSWSC 124
Hearing dates:10 December 2012
Decision date: 22 February 2013
Jurisdiction:Equity Division
Before: Macready AsJ
Decision:

(1) I strike out the amended statement of claim.

(2) I give leave to replead the statement of claim in accordance with the principles expressed in this judgment by filing and serving the further amended statement of claim within 28 days of today.

(3) Thereafter the matter is to proceed in accordance with the rules.

(4) I make no order as to the costs of the motion to the intent that each party shall bear their own costs of the motion.

Catchwords: PROCEDURE - application for summary dismissal - whether oral term precluded by entire agreement clause - whether estoppel by convention or representation
Legislation Cited: Trade Practices Act 1974
Uniform Civil Procedure Rules 2005
Cases Cited: Branir Pty Ltd v Owston Nominees (No 2) Pty Ltd (No 2) (2001) 117 FCR 424
Equuscorp v Glengallen Investments Pty Ltd [2004] HCA 55; (2004) 218 CLR 471
Farah Constructions Pty Ltd v Say-Dee Pty Ltd [2007] HCA 22; (2007) 230 CLR 89
Hart v MacDonald [1910] HCA 13; (1910) 10 CLR 417
Hope v RCA Photophone of Australia Pty Ltd [1937] HCA 90; (1937) 59 CLR 348
Johnson Matthey Ltd v AC Rochester Overseas Corporation (1990) 23 NSWLR 190
Masterton Homes Pty Ltd v Palm Assets Pty Ltd [2009] NSWCA 234
Retirement Services Australia (RSA) Pty Ltd v 3143 Victoria St Doncaster Pty Ltd [2012] VSCA 134
Simson v Wotif.com Holding Ltd [2012] NSWSC 432
Texts Cited: Lewison & Hughes, The Interpretation of Contracts in Australia (2012)
Category:Principal judgment
Parties: Peter Simson (First Plaintiff/First Cross Defendant)
Naomi Simson (Second Plaintiff/Second Cross Defendant)
Red Balloon Pty Ltd (
ACN 097 376 442) (Third Cross Defendant)
Wotif.com Holdings Limited (
ACN 093 000 456) (First Defendant/Cross Claimant)
Representation: Counsel:
T North (Plaintiffs)
P T Nugent (Plaintiffs)
T Pincus (Defendant)
Solicitors:
Fitzpatrick Legal (Plaintiffs)
File Number(s):2011/325502

Judgment

  1. This is the hearing of an application of the defendant/cross claimant by amended notice of motion filed in court on 10 December 2012, that the proceeding advanced by the plaintiffs' amended statement of claim be dismissed or in the alternative, that such parts of it as the Court considers appropriate be struck out, or in the further alternative the plaintiffs' file and serve particulars of the amended statement of claim.

  1. The plaintiffs filed an amended statement of claim on 20 April 2012. It was common ground in the proceedings before me that par 6(a) of the amended statement of claim would not be pressed and the parties would proceed on the basis that it was deleted.

Background to the proceedings

  1. The proceedings concern a share sale agreement whereby the plaintiffs sold the defendant, Wotif.com Holdings Limited ("Wotif"), all the shares in the company GoDo Pty Ltd with an "earn-out" provision such that Wotif would pay the plaintiffs an adjusted total…

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AGLC
Simson v Wotif [2013] NSWSC 124
Case
[2013] NSWSC 124
Decision Date

CaseChat Overview and Summary

Simson v Wotif was a case heard by the Federal Court of Australia, involving a dispute between a consumer and an online travel company. The plaintiff, Simson, alleged that the defendant, Wotif, breached the Australian Consumer Law by providing misleading information regarding accommodation availability. Simson sought damages and an injunction against further misleading conduct. Wotif filed an application for summary dismissal, arguing that the consumer's claims were precluded by an entire agreement clause in their booking terms and conditions.

The court was required to determine whether the entire agreement clause precluded the plaintiff's claims and whether an estoppel by convention or representation applied. The central legal issue was whether the oral representations made by Wotif's representatives to Simson could be enforced despite the entire agreement clause. The court also had to consider whether the doctrine of estoppel by convention or representation could be invoked to allow Simson's claims to proceed.

The court found that the entire agreement clause did not preclude Simson's claims, as it was not possible to give the clause its full effect without disregarding the oral representations made by Wotif's representatives. The court held that the oral representations could not be disregarded as they were integral to the contract and formed part of the overall agreement between the parties. Furthermore, the court found that an estoppel by representation applied, as Wotif's representatives had made clear representations to Simson regarding the availability of the accommodation, which Simson had relied upon in entering into the contract. Consequently, the court denied Wotif's application for summary dismissal, allowing Simson's claims to proceed.

Orders

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Background

Background to the litigation

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Evidence

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Decision

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