COBRAM LAUNDRY SERVICES V. MURRAY GOULBURN CO-OPERATIVE CO LTD  VSC 353
Supreme Court of Victoria– 7 September 2000
In 1990 Cobram commenced a commercial arrangement for the provision and laundering of employee uniforms for Murray’s.
In 1993, the parties entered into a new contract for 3 years for the same scope of work but included a clause 7 into it. Clause 7 provided that Cobram would continue to supply and service items for Murray for three years and thereafter continue to do so indefinitely until a notice of termination was issued by either parties.
In 1996 the parties entered into a new contract for the similar scope of work and clause 7 was inserted into the contract.
In 1998 the parties agreed to amend the 1996 contract to include new price schedule for certain items and extend the contract for 6 years but stated that all other terms and conditions should remain unaltered. In December 1999 Murray’s gave a three month’s notice of termination. Cobram treated the termination as a repudiation of contract and sued for damages.