When negotiating the price for work or services, parties will
often say they are providing a 'quote'. The decision of the
Supreme Court of New South Wales in Megalift v Terminals
[2009] NSWSC 324 confirms that care is required in using the term
'quote' because it a could be a contractually binding
offer.
Background
Megalift Pty Limited (Megalift) was engaged by Terminals Pty
Limited (Terminals) to discharge a 270 tonne storage sphere from a
barge onto Terminal's land. When the barge arrived it was not
possible to discharge the sphere without first excavating some of
Terminal's land. This led to a great deal of inconvenience,
delay and cost. Megalift made a claim for the extra amount that it
was owed for its services including for hire of its barge.
Terminals cross-claimed for the excavation costs that it incurred
to discharge the sphere from the barge.
