The Owners Strata Plan No. 94784 v Mirvac Projects Pty Ltd

The Owners Strata Plan No. 94784 brought an action against Mirvac Projects Pty Ltd, seeking damages for alleged defects in the construction of their strata title property. The dispute centred on whether Mirvac was liable for the defects and, if so, the extent of the damages owed. The matter was heard in the Supreme Court of New South Wales. The court was required to determine whether leave should be granted for the Owners to rely on expert reports that were served late, in breach of a guillotine order. The issues included whether the explanation for the delay was adequate, comprehensive, and candid, and if the late service would cause injustice if not permitted.

The court considered the principles governing the granting of leave for late service of expert reports, which requires a satisfactory explanation for the delay and an assessment of whether the delay would cause injustice. The Owners argued that their delay was due to unexpected complexities in the case and that they had acted diligently. The court found that the Owners had provided a reasonably comprehensive and candid explanation for the delay, acknowledging that the complexity of the issues and the need for further investigation contributed to the delay. The court also considered the potential prejudice to Mirvac if the reports were allowed to be relied upon late, and found that there was no significant prejudice as Mirvac had already been provided with substantial information to prepare their defence.

Ultimately, the court granted the Owners leave to rely on the late served expert reports. The court concluded that the Owners had provided an adequate explanation for the delay, and that the potential injustice to the Owners if the reports were not allowed outweighed the prejudice to Mirvac. The court emphasised the importance of timely disclosure of expert evidence and the need for parties to manage their cases effectively to avoid such issues. The final orders of the court permitted the Owners to rely on the late served expert reports and directed the parties to proceed with the trial on the basis of the evidence presented.