Damages for distress, anxiety and depression are not recoverable for breach of a building or construction contract unless there is evidence of actual physical disruption and imposition resulting from the works not being performed as agreed; the time and trouble of dealing with consequences of breach is insufficient. Part VBA of the Wrongs Act 1958 applies to contractual claims involving any component of mental distress, anxiety or stress, precluding recovery absent proof of 'significant injury'. Where a defendant knows the plaintiff has borrowed to expand a business, loss of income from the forced sale of existing business assets to meet loan repayments following breach is within the contemplation of the parties and recoverable. Where compensatory damages for breach are less than the amount admitted to be owed in restitution, the damages should be adjusted upward to the restitutionary amount.
The full text is available to signed-in members, including the 6 later cases that cite this judgment.
2 of the 6 citing cases carry a classified treatment. How each court treated it is available to signed-in members.