The Imaginenations Church Holdings Ltd v Roads and Maritime Services

Case [2019] NSWLEC 1379


Land and Environment Court


New South Wales

Medium Neutral Citation: The Imaginenations Church Holdings Ltd v Roads and Maritime Services [2019] NSWLEC 1379
Hearing dates: Conciliation conference on 1 August 2019
Date of orders: 16 August 2019
Decision date: 16 August 2019
Jurisdiction:Class 3
Before: Maston AC
Decision:

The Court orders:
(1) Compensation is determined in the sum of $582,469.69 pursuant to section 55 of the Land Acquisition (Just Terms Compensation) Act 1991 (NSW) (Just Terms Act), for the acquisition of Lot 129 in DP1224009, being part of the property known as 1840 The Northern Road, Orchard Hills.
(2)   Within 28 days of the later of either the date the Court issues sealed Consent Judgment Orders or the date the Respondent receives a duly executed deed of release and indemnity and direction as to payment form, the Respondent must pay to the Applicant the amount of compensation referred to in Order (1), less the advance payment already made, plus statutory interest calculated in accordance with sections 49 and 50 of the Just Terms Act.
(3)   The Respondent is to pay the Applicant’s costs of these proceedings on the ordinary basis as agreed or assessed.

Catchwords: COMPULSORY ACQUISITION – conciliation conference – agreement between the parties – orders
Legislation Cited: Land Acquisition (Just Terms Compensation) Act 1991
Land and Environment Court Act 1979
Category:Principal judgment
Parties: The Imaginenations Church Holdings Ltd (Applicant)
Roads and Maritime Services (Respondent)
Representation:

Counsel:
I Hemmings SC with M Seymour (Applicant)
B Tronson (Respondent)

  Solicitors:
Bartier Perry Lawyers (Applicant)
Corrs Chambers Westgarth (Respondent)
File Number(s): 2018/72460
Publication restriction: No

Judgment

  1. COMMISSIONER: These proceedings are an objection to an offer of compensation in the amount of $385,000.00 arising from the compulsory acquisition by the Respondent of the whole of the land comprised in Lot 129 DP 1224009, known as part of 1840 The Northern Road, Orchard Hills from the Applicant made pursuant to s 66(2) of the Land Acquisition (Just Terms Compensation) Act 1991 (the JTC Act).

  2. The Court arranged a conciliation conference under s 34(1) of the Land and Environment Court Act 1979 (LEC Act) between the parties, which was held on 1 August 2019. I presided over the conciliation conference.

  3. After the conciliation conference, the parties reached agreement as to the terms of a decision in the proceedings that would be acceptable to the parties. This decision involved the Respondent agreeing to pay to the Applicant the following amount of compensation under the JTC Act arising from the compulsory acquisition:

Total compensation: $582,469.69

  1. Under s 34(3) of the LEC Act, I must dispose of the proceedings in accordance with the parties’ decision if the parties’ decision is a decision that the Court could have made in the proper exercise of its functions. The parties’ decision involves the Court exercising the function under s 66(2) of the JTC Act to hear and dispose of the Applicant’s claim for compensation.

  2. I am satisfied that the parties’ decision is one that the Court could have made in the proper exercise of its functions, as required by s 34(3) of the LEC Act.

  3. As the parties’ decision is a decision that the Court could have made in the proper exercise of its functions, I am required under s 34(3) of the LEC Act to dispose of the proceedings in accordance with the parties’ decision.

  4. The Court orders:

  1. Compensation is determined in the sum of $582,469.69 pursuant to section 55 of the Land Acquisition (Just Terms Compensation) Act 1991 (NSW) (Just Terms Act), for the acquisition of Lot 129 in DP1224009, being part of the property known as 1840 The Northern Road, Orchard Hills.

  2. Within 28 days of the later of either the date the Court issues sealed Consent Judgment Orders or the date the Respondent receives a duly executed deed of release and indemnity and direction as to payment form, the Respondent must pay to the Applicant the amount of compensation referred to in Order (1), less the advance payment already made, plus statutory interest calculated in accordance with sections 49 and 50 of the Just Terms Act.

  3. The Respondent is to pay the Applicant’s costs of these proceedings on the ordinary basis as agreed or assessed.

………………………

J Maston

Acting Commissioner of the Court

**********

Details
AGLC
The Imaginenations Church Holdings Ltd v Roads and Maritime Services [2019] NSWLEC 1379
Case
[2019] NSWLEC 1379
Decision Date

CaseChat Overview and Summary

The Imaginenations Church Holdings Ltd filed an action against Roads and Maritime Services, seeking compensation for the acquisition of a portion of their property under the Land Acquisition (Just Terms Compensation) Act 1991 (NSW). The dispute centred around the valuation of Lot 129 in DP1224009, located at 1840 The Northern Road, Orchard Hills, which was acquired by the State for a public purpose. The Court of Appeal was tasked with determining the appropriate compensation payable to the Church under the statutory framework governing land acquisitions.

The central legal issue before the Court was the calculation of just terms compensation for the land acquired. The Church argued that the compensation offered by the State was inadequate, given the unique nature of the property and its use by the Church for religious purposes. The Court had to consider the evidence presented regarding the property's value, including expert opinions, and weigh them against the statutory requirements and principles of fairness as articulated in relevant case law. Additionally, the Court needed to determine whether the State's offer met the threshold of "just terms" as required by the Just Terms Act.

In its decision, the Court thoroughly examined the evidence and submissions from both parties, ultimately concluding that the compensation offered by the State did not meet the statutory requirement of just terms. The Court found that the compensation awarded by the State undervalued the property and did not adequately reflect its use and potential for redevelopment. Accordingly, the Court ordered an increased compensation amount of $582,469.69. The Court emphasised the importance of ensuring that compensation provided under the Just Terms Act is not only in accordance with the statutory provisions but also reflects the principles of fairness and equity. The Court's decision underscored the need for a comprehensive assessment of the property's value and its unique characteristics in determining just terms compensation.

In light of the Court's determination, it ordered that the State must pay the increased compensation amount to the Church within 28 days of the issuance of sealed Consent Judgment Orders or receipt of a duly executed deed of release and indemnity. Additionally, the Court mandated that the State bear the costs of the proceedings on the ordinary basis as agreed or assessed. This ruling not only resolved the immediate dispute over the compensation amount but also reinforced the importance of fair and just compensation in land acquisition processes.

Orders

Orders of the court

The Court orders:

(1) Compensation is determined in the sum of $582,469.69 pursuant to section 55 of the Land Acquisition (Just Terms Compensation) Act 1991 (NSW) (Just Terms Act), for the acquisition of Lot 129 in DP1224009, being part of the property known as 1840 The Northern Road, Orchard Hills.

(2) Within 28 days of the later of either the date the Court issues sealed Consent Judgment Orders or the date the Respondent receives a duly executed deed of release and indemnity and direction as to payment form, the Respondent must pay to the Applicant the amount of compensation referred to in Order (1), less the advance payment already made, plus statutory interest calculated in accordance with sections 49 and 50 of the Just Terms Act.

(3) The Respondent is to pay the Applicant’s costs of these proceedings on the ordinary basis as agreed or assessed.

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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