Allianz Australia Insurance Limited v Delor Vue Apartments CTS 39788

• Jurisdiction: Australia Federal only
• Judgment Date: 09 July 2021
• Neutral Citation: [2021] FCAFC 121
• Date: 09 July 2021
• Court: Full Federal Court (Australia)

Federal Court of Australia

Allianz Australia Insurance Limited v Delor Vue Apartments CTS 39788 [2021] FCAFC 121

Appeal from:	Delor Vue Apartments CTS 39788 v Allianz Australia Insurance Ltd (No 2) [2020] FCA 588; andDelor Vue Apartments CTS 39788 v Allianz Australia Insurance Ltd (No 3) [2020] FCA 1281
File number:	NSD 924 of 2020
Judgment of:	MCKERRACHER, DERRINGTON AND COLVIN JJ
Date of judgment:	9 July 2021
Catchwords:	INSURANCE - appeal from decision determining separate questions - where primary judge found insurer not entitled to rely upon s 28(3) of Insurance Contracts Act 1984 (Cth) to reduce liability to nil - where insured notified claim under insurance policy following cyclone damage - where insurer agreed to indemnify despite non-disclosure of prior defects - where insurer took steps consistent with providing indemnity - where insurer subsequently sought to disclaim liability on basis of non-disclosure - whether primary judge erred in finding that insurer estopped from resiling from representation made to insured to indemnify - whether detrimental reliance - whether primary judge erred in finding insurer waived entitlement to assert right under s 28(3) - whether primary judge erred in finding insurer breached duty of utmost good faith - whether decision of primary judge should be upheld on further basis that doctrine of election applies - consideration of circumstances in which doctrine of election applies - whether relief granted by primary judge proper and appropriate - appeal dismissed ; PRACTICE AND PROCEDURE - whether decision of primary judge rested on estoppel case not advanced before primary judge - consideration of nature and purpose of concise statement - consideration of distinction between concise statements and pleadings
Legislation:	Federal Court of Australia Act 1976 (Cth) ss 37M, 37N, Part VB Insurance Contracts Act 1984 (Cth) ss 13, 21, 27AA, 28, 33, 57
Cases cited:	Agricultural & Rural Finance Pty Ltd v Gardiner [2008] HCA 57; (2008) 238 CLR 570 Ajay v RT Briscoe (Nigeria) Limited [1964] 1 WLR 1326 Amalgamated Investment & Property Co Ltd v Texas Commerce International Bank Ltd [1982] QB 84 AMP Financial Planning Pty Ltd v CGU Insurance Ltd [2005] FCAFC 185; (2005) 146 FCR 447 Ashton v Pratt[2015] NSWCA 12; (2015) 88 NSWLR 281 Attorney-General (NT) v Maurice(1986) 161 CLR 475 Australian Competition and Consumer Commission v Geowash Pty Ltd (Subject to a Deed of Company Arrangement) (No 3) [2019] FCA 72 Australian Co-operative Foods Ltd v Norco Co-operative Ltd[1999] NSWSC 274; (1999) 46 NSWLR 267 Australian Securities and Investment Commission v Westpac Securities Administration Limited[2019] FCAFC 187; (2019) 272 FCR 170 Australian Securities and Investments Commission v Australia and New Zealand Banking Group Limited[2019] FCA 1284 Banque Commerciale SA, En liquidation v Akhil Holdings Ltd (1990) 169 CLR 279 Beerens v Bluescope Distribution Pty Ltd[2012] VSCA 209; (2012) 39 VR 1 Berry v CCL Secure Pty Ltd[2020] HCA 27; (2020) 94 ALJR 715 Betfair Pty Ltd v Racing New South Wales[2010] FCAFC 133; (2010) 189 FCR 356 Birmingham and District Land Company v London and North Western Railway Company (1888) 40 Ch D 268 Bond Corp Pty Ltd v Thiess Contractors Pty Ltd(1987) 14 FCR 215 Brodie v Singleton Shire Council[2001] HCA 29; (2001) 206 CLR 512 CGU Insurance Limited v AMP Financial Planning Pty Ltd [2007] HCA 36; (2007) 235 CLR 1 CGU Workers Compensation (NSW) Ltd v Garcia[2007] NSWCA 193; (2007) 69 NSWLR 680 Commonwealth Bank of Australia v Barker [2014] HCA 32; (2014) 253 CLR 169 Commonwealth v Clark [1994] 2 VR 333 Commonwealth v Verwayen(1990) 170 CLR 394 Compass Marinas Australia Pty Ltd v The State of Queensland [2020] QSC 375 Craine v Colonial Mutual Fire Insurance Co Ltd (1920) 28 CLR 305 Crown Melbourne Ltd v Cosmopolitan Hotel (Vic) Pty Ltd[2016] HCA 26; (2016) 260 CLR 1 Delaforce v Simpson-Cook [2010] NSWCA 84; (2010) 78 NSWLR 483 DHJPM Pty Ltd v Blackthorn Resources Ltd (formerly called AIM Resources Ltd)[2011] NSWCA 348; (2011) 83 NSWLR 728 Donis v Donis[2007] VSCA 89; (2007) 19 VR 577 Dyczynski v Gibson [2020] FCAFC 120 Expense Reduction Analysts Group Pty Ltd v Armstrong Strategic Management and Marketing Pty Ltd[2013] HCA 46; (2013) 250 CLR 303 Farah Constructions Pty Ltd v Say-DeePty Ltd[2007] HCA 22; (2007) 230 CLR 89 Federal Commissioner of Taxation v Tasman Group Services Pty Ltd[2009] FCAFC 148; (2009) 180 FCR 128 Freshmark Ltd v Mercantile Mutual Insurance (Australia) Ltd [1994] 2 Qd R 390 Giumelli v Giumelli[1999] HCA 10; (1999) 196 CLR 101 Gollin & Co Ltd v Karenlee Nominees Pty Ltd (1983) 153 CLR 455 Graham v Ingleby(1848) 1 Ex 651; 154 ER 277 Grundt v Great Boulder Pty Gold Mines Ltd[1937] HCA 58; (1937) 59 CLR 641 Immer (No 145) Pty Ltd v Uniting Church in Australia Property Trust (NSW)(1993) 182 CLR 26 Kammins Ballrooms Co Ltd v Zenith Investments (Torquay) Ltd [1971] AC 850 Khoury v Government Insurance Office (NSW) (1984) 165 CLR 622 Lomsargis v National Mutual Life Association of Australasia Limited [2005] QSC 199; [2005] 2 Qd R 295 Lopeman v WIN Corporation Pty Ltd [2020] NSWSC 1305 Maksimovic v Royal and Sun Alliance Life Assurance Australia Ltd [2003] WASC 46; (2003) 12 ANZ Ins Cas 90-115 Mann v Carnell(1999) 201 CLR 1 Matthews v Smallwood [1910] 1 Ch 777 Miller Heinman Pty Ltd v Sales Principles Pty Ltd [2017] NSWCA 106; (2017) 94 NSWLR 500 MLC Limited v Crickitt (No 2) [2017] FCA 937 Moore v Aubusson [2020] NSWSC 1466 Motor Oil Hellas (Corinth) Refineries SA v Shipping Corporation of India (The Kanchenjunga)[1990] 1 Lloyds Rep 391 Nigel Watts Fashion Agencies Pty Ltd v GIO General Ltd [1994] NSWCA 365 Nona on behalf of the Badulgal, Mualgal and Kaurareg Peoples (Warral & Ului) v State of Queensland[2020] FCA 1353 Oztech Pty Ltd v Public Trustee of Queensland[2019] FCAFC 102; (2019) 269 FCR 349 Prysmian Cavi E Sistemi SRL v Australian Competition and Consumer Commission [2018] FCAFC 30 Q (A Pseudonym) v E Co (A Pseudonym) [2020] NSWCA 220 Royal Botanic Gardens and Domain Trust v South Sydney City Council [2002] HCA 5; (2002) 240 CLR 45 Saleh v Romanous[2010] NSWCA 274; (2010) 79 NSWLR 453 Sargent v ASL Developments Limited (1974) 131 CLR 634 Sidhu v Van Dyke [2014] HCA 19; (2014) 251 CLR 505 State of Victoria v Sutton(1998) 195 CLR 291 Thompson v Palmer[1933] HCA 61; (1933) 49 CLR 507 Thomson v STX Pan Ocean Co Ltd[2012] FCAFC 15 Thorner v Major[2009] 1 WLR 776 Tool Metal Manufacturing Co Ltd v Tungsten Electric Co Ltd [1955] 1 WLR 761 Tropical Traders Ltd v Goonan(1964) 111 CLR 41 Van Dyke v Sidhu[2013] NSWCA 198; (2013) 301 ALR 769 Waltons Stores (Interstate) Ltd v Maher [1988] HCA 7; (1988) 164 CLR 387 Water Board v Moustakas [1988] HCA 12; (1988) 180 CLR 491 Wilson v McIntosh[1894] AC 129 Wyzenbeek v Australasian Marine Imports Pty Ltd [2017] FCA 1460 Zibara v Ultra Management (Sports) Pty Ltd[2021] FCAFC 4; (2021) 387 ALR 48 Zugic v Vesuvius Australia Pty Ltd [2020] NSWSC 106 ; McFarlane and Sales 'Promises, Detriment and Liability: Lessons from Propriety Estoppel' (2015) 131 LQR 610 Lord Neuberger of Abbotsbury MR 'Thoughts on the law of equitable estoppel' (2010) 84 ALJ 225 Barnes M, The Law of Estoppel (Hart, 2020) Feltham et...