Western Australian Court takes a new, more commercial, approach to consequential loss exclusions
The law surrounding consequential loss remains complex and unclear following a recent decision in the Western Australian Supreme Court, which emphasises the need for fulsome, clear drafting of consequential loss exclusion clauses.
In Regional Power Corporation v Pacific Hydro Group Two Pty Ltd [No 2]  WASC 356, Justice Martin rejected both the English approach to the construction of the term ‘consequential loss’ as falling under the second limb of Hadley v Baxendale and the view adopted by the Victorian Court of Appeal in Environmental Systems Pty Ltd v Peerless Holdings Pty Ltd.
In 1994, Pacific Hydro entered into a power purchase agreement (PPA) with the Regional Power Corporation for the construction of, and then the supply of electricity from, the Ord Hydro Power Station to the corporation…
If you are registered and logged in to the site, click on the link below to read the rest of the King & Wood Mallesons briefing. If not, please register or sign in with your details below.
Sign in or Register to continue reading this article
It's quick, easy and free!
It takes just 5 minutes to register. Answer a few simple questions and once completed you’ll have instant access.Register now
Why register to The Lawyer
In-depth, expert analysis into the stories behind the headlines from our leading team of journalists.
Identify the major players and business opportunities within a particular region through our series of free, special reports.
Receive your pick of The Lawyer's daily and weekly email newsletters, tailored by practice area, region and job function.
More relevant to you
To continue providing the best analysis, insight and news across the legal market we are collecting some information about who you are, what you do and where you work to improve The Lawyer and make it more relevant to you.
News from The Lawyer
Analysis from The Lawyer
Shanghai’s ground-breaking Pilot Free Trade Zone could mark the beginning of the long-awaited liberalisation of China’s legal services sector.
Hong Kong IPO activity is hotting up again, but UK legal stalwarts are looking over their shoulders as US rivals make up ground fast