Skaines v Kovac Enterprises Pty Ltd

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SUPREME COURT OF QUEENSLAND

CITATION:

Skaines v Kovac Enterprises Pty Ltd [2006] QSC 120

PARTIES:

ANTHONY WARREN SKAINES
(applicant)
v
KOVAC ENTERPRISES PTY LTD
ACN 100 107 560
(respondent)

FILE NO:

BS 1623/06

DIVISION:

Applications Division

PROCEEDING:

Application

COURT:

Supreme Court

DELIVERED ON:

Delivered ex tempore on 19 May 2006

DELIVERED AT:

Brisbane

HEARING DATE:

19 May 2006

JUDGE:

Fryberg J

ORDER:

Application dimissed

CATCHWORDS:

PROCEDURE – DECISIONS OF PARTICULAR COURTS – INDUSTRIAL COURTS AND TRIBUNALS - where respondent seeks relief in the Commercial and Consumer Tribunal – where a typographical error meant the applicant made an offer to settle for ten percent of its actual intended settlement price – where applicant purported to rescind that offer by post – where respondent purported to accept the original offer – where applicant seeks a declaration that no valid and binding contract exists between the parties, or for recision of that contract or for a declaration that that contract has been terminated, avoided or rescinded – whether a higher court should consider settlement agreements arising out of proceedings in a Tribunal - whether the Commercial and Consumer Tribunal has jurisdiction to consider settlement agreements

Queensland Building Services Authority Act 1991 (Qld), s 77
Commercial and Consumer Tribunal Act 2003 (Qld), s 8, s 40(2)

Buchanan, T. v Cooke, S. [2005] QCCTB 96 (4 March 2005), cited

Fraser Property Developments Pty Ltd v Somerfeld [2005] QCA 134; CA No 10072 of 2004, 29 April 2005, cited

Suncool Pools & Spa’s Pty Ltd v Freedom Pools & Spas [2005] QCCTB 4 (8 February 2005), cited

COUNSEL:

G I Thompson for the applicant

No appearance for the respondent

SOLICITORS:

SJP Law for the Applicant

SUPREME COURT OF QUEENSLAND

CIVIL JURISDICTION

FRYBERG J    [2006] QSC 120

No BS1623 of 2006

ANTHONY WARREN SKAINES  Applicant

and

KOVAC ENTERPRISES PTY LTD
(ACN 100 107 560)  Respondent

BRISBANE

..DATE 19/05/2006

ORDER

HIS HONOUR:  The applicant is a builder.  He is the respondent in proceedings pending before the Commercial and Consumer Tribunal.  Those proceedings were initiated by the respondent in this Court, Kovac Enterprises Proprietary Limited.

Kovac alleges in the Tribunal that it made a contract for the performance of domestic building work with Mr Skaines for a fixed price.  It alleges that an amount of money which
Mr Skaines is claiming from it, some $127,000, is more than the amount of the fixed price contract which it has paid and that it does not owe such money.

It seeks relief from the Tribunal of the sort described in section 77(2)(b) of the Queensland Building Services Authority Act 1991.

Mr Skaines, in those proceedings, denies that the contract was for a fixed price and instead, counter-claims for the amount of money which he alleges is owing.

The proceedings continued through a series of directions hearings until by a letter from the Tribunal to the parties, sent in December 2005 or January 2006, the dates 27 and 28 of February 2006, were appointed for trial.

On the 12th of January…

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Details
Case
[2006] QSC 120
Decision Date

CaseChat Overview and Summary

In the case of Skaines v Kovac Enterprises Pty Ltd, the applicant, Skaines, sought a declaration from the court that no valid and binding contract existed between the parties, or for rescission of that contract or for a declaration that that contract had been terminated, avoided or rescinded. This arose from a typographical error that resulted in an offer to settle for ten percent of the intended settlement price. Skaines purported to rescind that offer by post, while the respondent, Kovac Enterprises, purported to accept the original offer. The case was brought before the Commercial and Consumer Tribunal, which Skaines argued did not have jurisdiction to consider settlement agreements.

The legal issues before the court were whether a higher court should consider settlement agreements arising out of proceedings in the Tribunal and whether the Tribunal had jurisdiction to consider settlement agreements. The court considered the nature of the relief sought by Skaines, which was to set aside the settlement agreement. The court noted that the Tribunal had jurisdiction to consider the merits of the underlying claim and that the agreement was an integral part of that claim. The court also considered whether the agreement was a collateral contract, which would mean that the Tribunal did not have jurisdiction. However, the court found that the agreement was not a collateral contract and therefore fell within the jurisdiction of the Tribunal.

The court dismissed the application, finding that the Tribunal had jurisdiction to consider the settlement agreement. The court held that the Tribunal had the power to set aside the agreement if it was found to be unjust or unconscionable. The court also held that the agreement was not a collateral contract and therefore fell within the jurisdiction of the Tribunal. The court found that the agreement was valid and binding, and that Skaines was bound by it. The court found that the typographical error did not affect the validity of the agreement, as the parties had intended to enter into a binding agreement.

The court made no orders, as the application was dismissed. The court held that the Tribunal had jurisdiction to consider the settlement agreement and that the agreement was valid and binding. The court found that the typographical error did not affect the validity of the agreement, as the parties had intended to enter into a binding agreement. The court held that Skaines was bound by the agreement and that the Tribunal had the power to set it aside if it was found to be unjust or unconscionable.

Orders

Orders of the court

Application dimissed

Background

Background to the litigation

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Evidence

Evidence Before The Court

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Decision

Reasons for decision

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Ratio Decidendi

Legal Principle Established

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