In two recent decisions, both decided on 17 September 2012, the
actions of agents and developers in trying to lease new retail
centres under development were accused of being false and
misleading. Both agents presented optimistic views of how the
centre would look when the development was complete. Both turned
out to be incorrect, and the development was not leased as had been
represented by the agents. The cases were decided in opposite ways.
Both cases are good examples of what behaviour is acceptable when
marketing a new development, and what is false and misleading.
In the Foundry case (Miletich v Murchie [2012]
FCA 1013), the agent was found to have made false and misleading
statements. An order for damages was made against the agency, the
agent personally, the developer company and the director of the
developer personally. The orders were made against the individuals
because they were knowingly concerned in the contraventions.
