Westcourt Ltd (ABN 98 009 250 373) v Willshee

Westcourt Ltd (ABN 98 009 250 373) (the appellant) appealed to the Full Court of the Federal Court of Australia against a decision of a single judge. The dispute concerned the appellant's entitlement to recover certain costs incurred in relation to a property development project. The respondent, Mr Willshee, had been involved in the project and had entered into an agreement with the appellant.

The primary legal issue before the Full Court was whether the appellant was entitled to recover costs it had incurred in rectifying defects in the property development, which it argued were caused by the respondent's negligence. This involved determining whether the respondent owed a duty of care to the appellant in relation to the development and, if so, whether that duty had been breached, causing the appellant loss.

The Full Court considered the nature of the contractual and pre-contractual relationship between the parties. It applied principles of negligence, including the test for establishing a duty of care, which requires foreseeability of harm and a relationship of sufficient proximity. The Court analysed the evidence to determine whether the respondent's actions or omissions fell below the standard of care expected of a reasonable person in his position, and whether such a breach directly caused the appellant's claimed losses. The Court found that the respondent did not owe a duty of care to the appellant in the circumstances of this case, and therefore the appeal was dismissed.