Case Summary

Case Summary
Name
Course
April 13, 2018
Case summary
1. Summary of facts
Mr. Dohty contracted the applicant in February year 2015 for the establishment of a concrete
slab for the construction of a Werribee Church. The applicant who is concreting contractor
sought payment of $8, 482.96. He claimed the money was owed to him for concreting work he
carried out for the builder according to a written quotation that was accepted orally.
The builder denied that it owed money to the applicant and sought $1,200.00 by way of
counterclaim from the applicant.
The matter came up for hearing before the tribunal on 14
th
December 2017.
1. Issues
i. Whether the applicant was entitled to be paid the additional amount for the excess
materials and works.
ii. Whether the applicant was required to pay the builder for the cost of purchasing bars to
connect the screw piles
iii. Whether there were any damages payable
2. Decision (holding)
A party is bound by what he sighs as espoused in the case of Toll (FGCT) Pty Ltd [2004] HCA
52.
i
Economic duress led to the contact being null.
ii
This is in Cheshire and Fifoot.
iii
The
applicant was awarded interest calculated at $2,179.30, refund back charge of $303.38 and
unpaid invoice for variation $8,149.24
3. Reasoning
Justice would be met by allowing the application. The counterclaim was also held to be
unmeritorious and vexatious and therefore struck out.
4. Conclusion
This case is very instructive on the position of law regarding the effect of duress in sighing
contracts.
iv
i
Toll(FGCT) Pty Limited v Alphapharm Pty Limited [2004] ‘'a person will be bound by a contract he sighs to the
extent that he sighs on his own free will.''
ii
Economic duress. The Modern Law of contract. ‘’A major test for the illegitimacy of the threat of economic
pressure, which turns into duress, thus seems to be that the action threatened leaves the person threatened with
no realistic alternative to compliance.''
iii
Cheshire and Fifoot. ‘'Since agreement depends on consent, it should follow that agreement obtained by threats
or undue persuasion is void.''
iv
Cheshire and Fifoot. The principle of economic duress is extensively provided.

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