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Flanders Pty Ltd is a building company specialising in the construction of sporting stadia and other facilities.
Flanders Pty Ltd is a building company specialising in the construction of sporting stadia and other
facilities. The company is lookin
g for a large portion of parklands to develop new playing ovals,
training pitches and grandstands to promote various sports at grassroots level. The Flanders team
responsible for purchasing a suitable piece of land finds an area of parklands in Adelaide's
inner
east, owned by Adelaide City Council. The team meets with the Council's sales representative,
who indicates that the land would be perfect for Flanders' purposes. The Flanders team stresses
that the land must meet its strict specifications and be abl
e to cope with frequent use (sports will
be played there almost daily). They ask about irrigation, type of grass and similar issues, and the
Council representative provides accurate responses.
The Flanders team does not, however, ask about the soil condi
tions as the grass looks very lush
and the areas they walked on when inspecting the land appeared firm enough. The Council
representative does not mention that several large sections in the central areas the land are quite
marshy and may not be appropriate
to play sport on, and are certainly too unstable to build upon.
The Flanders team commits to buying the land but are infuriated when their contracted engineer
informs them that the proposed grandstands cannot be built on the land and that the training
pit
ches will have to be rezoned to 'fit' into the firmer grassed areas.
Does Flanders Pty Ltd have any recourse against Adelaide City Council under s 18 of the
Australian
Consumer
Law
?