Western Export Services Inc v Jireh International Pty Ltd: Contract Construction and Interpretation

The application for special leave to appeal in the case of Western Export Services Inc v Jireh International Pty Ltd [2011] HCA 45 has yesterday been refused concerning the franchising in Australia of Gloria Jean's Gourmet Coffee Stores.

In the course of the judgment, their Honours referred to similar principles enunciated in Franklins Pty Ltd v Metcash Trading Ltd and Codelfa Construction Pty Ltd v State Rail Authority of NSW, and agreed with the statements of Justice Macfarlan in the Court of Appeal in stating that a court “is not justified in disregarding unambiguous language simply because the contract would have a more commercial and businesslike operation if an interpretation different to that dictated by the language were adopted.”

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