In Carter & Anor v Mackey Motels Pty Ltd [2024] QCA 68, the Court of Appeal dismissed the appeal by Gary John Carter and Wendy Maree Klein-Carter, trustees for the Carter Family Trust, against Mackey Motels Pty Ltd. The dispute centred on the appellants' refusal to pay rent and insurance premiums, leading to their eviction from the leased motel after a 17-day notice. The court found this period reasonable for rectifying the lease breach of unpaid rent. Additionally, it was determined that the appellants had not met their obligation to maintain the property in good repair, which was a condition for the landlord's responsibility to ensure the property's structural integrity. Claims regarding the insurance policy differences and alleged trespass were also dismissed, with the court ruling that the insurance cover in question was not "substantially different" from the previous policy.
The appellants argued that the respondent had failed in their obligation to pursue insurance claims for damages to the property, which included damage to specific rooms from water escape in 2011 and a cyclone in 2013. The court, however, highlighted that the appellants had not originally pleaded this duty as part of their case, thus the respondent was not sufficiently informed of this claim. Despite the appellants' contention that the respondent's inaction over insurance claims constituted a breach of the lease, the court upheld that any claims made under the insurance policy did not alter the obligation to repair or make good such damages, indicating that the responsibility for repairs persisted regardless of insurance claim outcomes.