Thompson Residential Pty Ltd v Hart & Anor

Thompson Residential Pty Ltd sought a declaration that it was entitled to progress payments from Hart and Anor. The defendants argued that the contract had been validly terminated due to the plaintiff’s failure to complete the works to an acceptable standard. The court had to determine whether the plaintiff was entitled to any progress payments despite the contract being terminated and whether the doctrine of substantial performance applied.

The court considered whether the plaintiff had completed the works to a satisfactory standard as required by the contract. It examined the evidence and concluded that the plaintiff had not completed the works to an acceptable standard, leading to the contract's valid termination. The court held that the substantial performance doctrine was not applicable in this case, as it did not consider the works to be substantially complete. The court found that the contract clearly stipulated the standards to be met and that the plaintiff's failure to meet these standards justified the termination.

The court further examined relevant case law and found that the plaintiff's entitlement to progress payments was contingent on the completion of the works to the specified standards. Given that the plaintiff had not achieved this, the court ruled in favour of the defendants. The court determined that the plaintiff was not entitled to any progress payments and that the contract was validly terminated.

The court ordered that judgment be entered for the defendants, with costs awarded to Hart and Anor.