where applicant had purchased an aircraft that, unbeknownst to it, was unairworthy and had not been maintained in accordance with legislative specifications
where third respondent had inspected aircraft and provided a report to the applicant prior to the purchase
identification of terms of agreement to conduct the pre-purchase inspection
Quick Take
1The express terms of a pre-purchase inspection contract are determined by the scope of work communicated and accepted by the parties; prior exploratory communications requesting a proposed scope do not form part of the agreed terms where the provider subsequently specifies the tasks to be performed and the client accepts without addition.
2A contractual obligation to conduct a 'full review of aircraft log books' does not, without more, require cross-referencing log book entries against the aircraft's maintenance schedule or program; an aircraft maintenance organisation is entitled to take log book entries and current maintenance releases at face value absent specific 'red flags' that compel further inquiry into the maintenance program itself.
3An expression of opinion in a pre-purchase inspection report (such as that an aircraft is 'in reasonable condition for its age and hours') is not misleading or deceptive where the opinion was genuinely held and reasonably based on the work actually undertaken within the agreed scope, even if the opinion is objectively wrong due to matters outside that scope.