Williams v Stone Homes P/L & Anor

Williams and Stone Homes P/L were parties to a building contract in which the former engaged the latter to construct a house. The dispute arose when Williams claimed that the contract was unenforceable as it was performed without the necessary licence. Stone Homes P/L argued that the lack of a licence did not render the contract unenforceable, and that Williams was seeking to recover for a breach of contract, not for remuneration. The matter was heard in the Supreme Court of Queensland.

The court was required to decide whether the contract was illegal as performed due to the absence of a licence. It was also necessary to determine if the recoverability of damages was affected by the nature of the breach, and whether the extra-territorial effect of a non-licensing offence could be considered. Additionally, the court needed to address the issue of whether the proportionate liability raised by Stone Homes P/L was valid.

The court held that the contract was not illegal as performed, as the absence of a licence did not render the contract unenforceable. The court found that the recoverability of damages was not affected by the nature of the breach. In relation to the extra-territorial effect of the non-licensing offence, the court found that it was not applicable in this case. Lastly, the court held that the proportionate liability raised by Stone Homes P/L was not valid, as it was not supported by the facts of the case.

The court ordered that Williams' claim for damages was to be determined in accordance with the terms of the contract, and that Stone Homes P/L was not liable for any additional costs arising from the non-licensing offence. The court also dismissed Stone Homes P/L's counter-claim for proportionate liability.