2014-04-28 Late Report RF Thompson Compensation Claim

GENERAL COMMITTEE MEETING - LATE REPORT                                            28 APRIL 2014


17.   RF THOMPSON (QLD) PTY LTD V NOOSA SHIRE COUNCIL - COMPENSATION CLAIM

Author            Chief Executive Officer, Brett de Chastel
                  Executive Office

Index             ECM/ Subject/ Governance & Administration - CEO

Attachments       Nil.



EXECUTIVE SUMMARY

Not Applicable.

RECOMMENDATION

That Council note the late report by the Chief Executive Officer to the General Committee
Meeting dated 28 April 2014 regarding the successful Planning and Environment Court outcome
of the compensation claim in relation to RF Thompson (Qld) Pty Ltd v Noosa Shire Council.



REPORT

The purpose of this report is to advise the Council of a successful judgement in relation to the
longstanding town planning compensation claim by RF Thompson (Qld) Pty Ltd bought against
the Noosa Shire Council. Judge Robin delivered his judgement on Thursday 24 April 2014. The
judge dismissed the claim for compensation and found in Council’s favour. The 222 page
judgement is quite complex but the history and significance of the case is set out below.

1.    History
•     Following the adoption of the 1997 Strategic Plan, a number of landowners took court
      action against the Council claiming “injurious affection” ie that the value of their property
      had been affected by the changes to the Planning Scheme;
•     By 2001, the total value of those multiple claims against amounted to $94M. The Council
      disclosed each year the balance of any outstanding claims in its audited financial
      statements as a contingent liability;
•     The RF Thompson (Qld) Pty Ltd v Noosa Shire Council claim was the largest of those
      claims and is last one to be finalised;
•     The claim by RF Thompson (Qld) Pty Ltd was lodged in 2000 and was originally for
      $34.629M but subsequently increased to $52.904M. The compensation claim related to
      the land currently known as Settlers Cove;
•     For many years, the former Noosa Council had fought the various town planning
      compensation claims and had significant success through the courts. By the time of the
      amalgamation, the RF Thompson (Qld) Pty Ltd claim was the last outstanding claim;
•     The RF Thompson (Qld) Pty Ltd case has effectively been running for 14 years making it
      one of the longest running and most significant (in dollar terms) cases the Noosa Council
      has ever had; and
•     During the amalgamation years, the Sunshine Coast Regional Council continued to support
      the former Noosa Council’s position and applied significant resources and support to this
      case.



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