Australian Financial Services and Leasing Pty Ltd v Hills Industries Ltd

HIGH COURT OF AUSTRALIAFRENCH CJ,HAYNE, CRENNAN, KIEFEL, BELL, GAGELER AND KEANE JJAUSTRALIAN FINANCIAL SERVICES AND LEASING PTY LIMITED  APPELLANTANDHILLS INDUSTRIES LIMITED & ANOR  RESPONDENTSAustralian Financial Services and Leasing Pty Limited v Hills Industries Limited[2014] HCA 147 May 2014S163/2013ORDERAppeal dismissed with costs.On appeal from the Supreme Court of New South WalesRepresentationC J Birch SC with M P Cleary and R L Gall for the appellant (instructed by Hilliard & Berry Solicitors)I M Jackman SC with T M Thawley SC for the first respondent (instructed by King & Wood Mallesons)B W Walker SC with L Gor for the second respondent (instructed by HWL Ebsworth Lawyers)Notice:  This copy of the Court's Reasons for Judgment is subject to formal revision prior to publication in the Commonwealth Law Reports.CATCHWORDSAustralian Financial Services and Leasing Pty Limited v Hills Industries Limited Restitution – Payments made under mistake of fact – Defence of change of position – Where appellant made mistaken payments to respondents as result of fraud committed by third party – Where respondents applied payments to discharge third party's debts, ceased pursuing recovery of debts and continued to trade with third party – Whether retention of monies inequitable in all the circumstances.Words and phrases – "change of position", "detriment", "detrimental reliance", "disenrichment", "unjust enrichment".FRENCH CJ.Introduction When money is paid under a mistake of fact, the person paying the money may recover it from the recipient in a common law action for money had and received.  Recovery depends upon whether it would be inequitable for the recipient...