Event and Time
Event Description
- In November 2014, a storm damaged a six-level building owned by the trustees of the Corbett Superannuation Fund.
- An insurance claim was made, and Chubb Insurance appointed Sedgwick Australia Pty Limited as the loss adjuster and NPS Commercial as the builder for the repairs.
- In June 2015, the Corbetts transitioned from individual trustees to a corporate entity, JLOC Super Pty Ltd, which became the legal owner of the building.
- A second storm in October 2015 caused further damage to the building, which JLOC attributed to defective repairs from the first storm.
Application and Claims
- JLOC alleged that the 2015 damage resulted from:
- Defective workmanship by NPS in the repairs for the 2014 storm damage. - A breach of duty of care by Sedgwick to JLOC as the new trustee.
- Sedgwick sought to strike out parts of JLOC’s claim, arguing:
- JLOC was not the proper plaintiff since it was not the registered owner during the alleged breaches. - The statement of claim did not sufficiently plead a cause of action against Sedgwick.
Judicial Decisions
- The application by Sedgwick to strike out JLOC's claim was dismissed. The court reserved costs for further discussion.
Dispute Points and Legal Basis
Dispute Points
- Plaintiff (JLOC) Arguments:
- As the new corporate trustee, JLOC has standing to pursue claims for damages arising from the earlier breaches, as per the Trusts Act 1973. - JLOC argues that the duty of care from the loss adjuster, Sedgwick, extended to them, particularly in the handling of repairs and assessments.
- Defendant (Sedgwick) Arguments:
- Contended that JLOC could not be the proper plaintiff for breaches that occurred before its appointment as trustee. - Argued that no duty of care existed because the necessary elements for a cause of action against them were not adequately pleaded.