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On 1 April Salvatore entered intoa contract with Enzo to buy Enzo's house on theNew South Wales Central Coast. He paid a deposit and Enzo
On April Salvatore entered intoa contract with Enzo to buy Enzo's house on theNew South Wales Central Coast. He paid a deposit and Enzo allowed him to moveinto the house on that day. Clause of the written contract provided that settlementwas to take place on June but that time"is not of the essence".Clause provided:"In consideration of the vendor allowing the purchaser into possession on the date ofthe contract, the purchaser agrees to maintain the property in good condition andrepair and to pay for any work necessaryto keep the property in good condition."On May a severe storm swept through the Central Coast damaging houses includingthe subject property that suffered damage mainly to its roof, doors and windows andflooding to the wine cellar.Salvatore, who by this stage had moved into the property, claimed that he did not haveto repair the property as clause was meant to apply only to damage caused by hisoccupation, rather than "some freakish act of God".He suggested that Enzo repair theproperty right away threatening that, if this was not done prior to the settlement date,he'd no choice but to pull out of the contract.Neither party repaired the house. Neither party contacted the other until May whenEnzo rang Salvatore to arrange formal settlement in accordance with clause of thecontract.Salvatore stated that he would not settle until the house was repaired soEnzo did not attempt to settle on June.Enzo comes to you to seek your advice on whether he can now get out of thecontract and sell to another party.Advise Enzo in Hierachy methodolgy.
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