Imperial Bros P/L v Ronim P/L

[1998] QCA 444

Queensland Court of Appeal

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For Australian Law.

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Interrogate

Catchwords

1. Contract
2. › Sale of land
3. › Completion
4. › Time of the essence
5. › Whether performance tendered minutes after stipulated time constitutes substantial compliance
6. › Whether court should introduce elasticity into clear time stipulations
1. Contract
2. › Construction
3. › Implied terms
4. › Term implied to suspend obligation to complete where Land Titles Office computer inoperative
5. › Whether circumstances for implication of term established
6. › Codelfa Construction Pty Ltd v State Rail Authority of NSW (1982) 149 CLR 337
1. Property Law
2. › Vendor and purchaser
3. › Vendor's obligation to show title
4. › Whether vendor must demonstrate good title at settlement
5. › Whether purchaser obliged to settle when title cannot be verified
1. Property Law
2. › Vendor and purchaser summons
3. › Jurisdiction under s 70 Property Law Act 1974 (Qld)
4. › Whether question of termination of valid contract falls within exception for questions affecting existence or validity of contract

Quick Take

Where the Land Titles Office computer is inoperative on the date for completion, preventing verification of title, an implied term suspends the purchaser's obligation to complete and time ceases to be of the essence. However, where parties have stipulated clear time limits for completion with time of the essence, performance tendered even minutes after the deadline does not constitute substantial compliance. The exception in s 70 of the Property Law Act 1974 (Qld) for questions affecting 'the existence or validity of the contract' does not preclude determination of whether a valid contract has been subsequently terminated.