Caprice Property Holdings Pty Ltd v McLeay & Anor

[2013] QCA 125

Queensland Court of Appeal

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Interrogate

Catchwords

1. Conveyancing
2. › Completion of contract
3. › Time for completion
4. › Time of the essence
5. › REIQ standard terms clause 6.1
6. › Whether time of the essence applies to agreed time of day for settlement
7. › Whether seller's delay of 20 minutes at agreed settlement time constitutes breach
8. › Property Law Act 1974 (Qld), ss 62, 69
1. Conveyancing
2. › Completion of contract
3. › Concurrent and reciprocal obligations
4. › Seller and buyer obligations at settlement
5. › Whether buyer discharged obligation by attending for five minutes only
6. › Whether buyer's refusal to settle excused seller from tendering performance
1. Conveyancing
2. › Completion of contract
3. › Termination for breach
4. › Continued long failure to complete
5. › Repudiation
6. › Whether sellers entitled to terminate after buyer's continued refusal to settle
7. › Whether sellers' premature assertion of breach constituted renunciation

Quick Take

Under clause 6.1 of the REIQ standard terms (9th edition), the agreed time of day for settlement is not an essential term. A party who is unable to settle at the precise agreed time but is ready within the 9:00 am to 5:00 pm window on the settlement date is not in breach. A buyer who refuses to remain at settlement or return before 5:00 pm cannot rely on the seller's short delay at the agreed time to justify non-completion. The earlier authorities of Lowe v Evans and Re Ronim, which held that the agreed time of day was essential, are distinguishable because they were decided under different contractual terms that made time of the essence in all respects.