Construction Changes: Sopov v Kane Ends

As many will be aware, Deacons has represented the contractor, Kane Constructions Pty Ltd, in the above proceedings. The long running litigation concluded last Friday 11 December when the High Court, for the second time, refused an application by the principal for special leave to appeal from the Court of Appeal of the Supreme Court of Victoria.

The refusal of the application by the High Court leaves the decision of the Court of Appeal of Victoria, delivered 15 June 2009, as the most recent authoritative confirmation of the law. It accordingly remains the position in Australia that upon a repudiation of a contract by a principal, a contractor is entitled to elect to be paid on a quantum meruit as an alternative to contract damages.