Disputes

Marlborough District Council v Altimarloch Joint Venture Ltd [2012] NZSC11

3 February 2014
  Elias CJ Blanchard J Tipping J McGrath J Anderson J
Contract Measure of damages

Loss of bargain: difference in the value of land with and without water rights ($400,000).

Loss of bargain is the ‘normal measure of damages in sale transactions.

Cost of cure ($1.055m)

Cost of cure ($1.055m).

The ‘normal’ measure of damages is the performance cost of the contract.

Cost of cure ($1.055m).

The ‘normal’ measure of damages in sale contracts is the loss of bargain/difference in value.

The ‘normal’ measure in service contracts is the performance cost.

Loss of bargain ($400,000) (per Elias J)

 

Council owes duty of care Yes (per Tipping J) Yes (per Tipping j) Yes Yes (per Tipping J) Yes (per Tipping J)
Council caused loss No Yes (until plaintiffs paid by vendors then no) No Yes Yes (per McGrath J)
Tort measure of damages (not directly appealed) Difference between the purchase price and the true value ($125,000). Difference between the purchase price and the true value ($125,000). Difference between the purchase price and the true value ($125,000). Difference between the purchase price and the true value ($125,000). Difference between the purchase price and the true value ($125,000) (per McGrath J)
Contribution allowed No No No Yes (50%) Yes (per McGrath J)