Best reasonable endeavours with respect to subdivision

In brief - Purchaser validly terminated contract, awarded damages

Foster v Hall involved the subdivision of land in which the contract had a 12 month sunset period.

Ultimately the vendor was held not to have used its best reasonable endeavours (as required by the contract) to have the plan registered prior to expiry of the sunset date and therefore the purchaser validly terminated the contract and was awarded damages in excess of $1.6 million.

Purchaser argues that vendor not entitled to rescind contract

The contract for sale required the parties to use their "best reasonable endeavours" to have the plan of subdivision registered within 12 months from the date of contract.