Daily Insurance: Thursday, 11 June 2015 View in browser

A daily Bulletin listing our choice of Decisions of Superior Courts of Australia.
Benchmark

Daily Insurance

Listen to our daily executive summary – 120 seconds
Executive Summary (One Minute Read)
King v Philcox (HCA) - negligence - respondent’s brother killed in motor vehicle collision due to appellant driver’s negligence - respondent not present at scene of accident when it occurred within meaning of s53(1)(a) Civil Liability Act 1936 (SA) - respondent not entitled to damages for mental harm - appeal allowed
Isbester v Knox City Council (HCA) - administrative law - bias - natural justice - decision ordering appellant’s dog to be destroyed quashed - appeal allowed
Fabre v Lui (NSWCA) - negligence - appellant lessee of premises injured when rangehood fell on her - rangehood installed by handyman employed by respondent landlord - landlord not liable
• P1 v Trustees of the Daughters of Our Lady of the Sacred Heart & Ors; • P2 v Trustees of the Daughters of Our Lady of the Sacred Heart & Ors; • P3 v Trustees of the Daughters of Our Lady of the Sacred Heart & Ors; • P4 v Trustees of the Daughters of Our Lady of the Sacred Heart & Ors; • P5 v Trustees of the Daughters of Our Lady of the Sacred Heart & Ors (NSWSC) - expert reports - late service - Court declined to otherwise order that reports be adduced in evidence
Chong & Neale v CC Containers Pty Ltd (VSCA) - conspiracy to injure corporations - fraud - appeal allowed in part in relation to award of interest - appeal otherwise dismissed
C.A.R.S. Pty Ltd v Brent (TASSC) - guarantee and indemnity - claim by creditor against two guarantors - one guarantor failed to sign and signature forged - other guarantor not relieved of liability
Summaries With Link (Five Minute Read)
King v Philcox [2015] HCA 19
High Court of Australia
French CJ; Kiefel, Gageler, Keane & Nettle JJ
Negligence - mental harm - respondent’s brother was passenger in a motor vehicle driven by appellant - as result of appellant’s negligence vehicle collided with another vehicle - respondent fatally injured and died while trapped in vehicle - respondent heard about accident and realised that he had driven past accident location earlier that day while vehicle still there - respondent developed major depressive disorder - appellant found liable to pay respondent damages for mental harm - ‘present at the scene of the accident when the accident occurred’ - s53 Civil Liability Act 1936 (SA) - held: Full Court of the Supreme Court of South Australia did not err in finding that a duty of care existed, but Full Court erred in holding respondent was present at the scene of the accident when accident occurred within meaning of s53(1) - respondent not entitled to recover damages for mental harm -  appeal allowed.
King
Isbester v Knox City Council [2015] HCA 20
High Court of Australia
Kiefel, Bell, Gageler, Keane & Nettle JJ
Administrative law - bias - natural justice following hearing by Knox Domestic Animals Act Committee of Knox City Council decision made that appellant’s dog be destroyed -  Council empowered to destroy a dog where its owner has been found guilty of an offence under s29 Domestic Animals Act 1994 (Vic) - appellant had been convicted of offence under s29(4) on plea of guilty to charge that dog had attacked a person and caused "serious injury" - whether decision should be quashed because of substantial involvement of member of Committee both in prosecution of charges concerning the dog and decision as to fate of dog - s84P - held: fair-minded observer might reasonably apprehend that member might not have brought an impartial mind to decision under s 84P - natural justice required member not participate in decision - as member had participated in decision, decision must be quashed - appeal allowed.
Kiefel
Fabre v Lui [2015] NSWCA 157
Court of Appeal of New South Wales
Basten, Macfarlan & Meagher JJA
Negligence - occupier’s duty of care - appellant was lessee of rented premises - appellant injured when range-hood fell on her - appellant sued lessor/landlord who had employed tradesman/handyman to do installation - not in dispute installation negligent - not in dispute tradesman  independent contractor for whose negligence landlord not vicariously liable - appellant claimed landlord failed to make appropriate inquiries about installer sufficient to establish competence - appellant contended landlord breached duty of care toward any person who might in future occupy premises - not in dispute landlord owed duty of care to such persons - whether landlord negligent in engaging tradesman to install equipment - ss5B, 5B(1), 5B(2), 5B(2)(a), 5B(2)(b), 5B(2)(c) & 5B(2)(d) Civil Liability Act 2002 - s25 Residential Tenancies Act 1987 - held: appellant did not demonstrate reasonable person in landlord’s position would have taken any particular precautions or that such precautions if taken would reasonably have required engagement of someone with better qualifications - appeal dismissed.
Fabre
• P1 v Trustees of the Daughters of Our Lady of the Sacred Heart & Ors; • P2 v Trustees of the Daughters of Our Lady of the Sacred Heart & Ors; • P3 v Trustees of the Daughters of Our Lady of the Sacred Heart & Ors; • P4 v Trustees of the Daughters of Our Lady of the Sacred Heart & Ors; • P5 v Trustees of the Daughters of Our Lady of the Sacred Heart & Ors  [2015] NSWSC 698
Supreme Court of New South Wales
Beech-Jones J
Expert report - plaintiffs applied for directions enabling them to rely on certain experts’ reports concerning liability served just prior to commencement of final hearing - five proceedings before  Court - plaintiff in each proceeding sexually abused by teacher at school - plaintiffs sued principals of school during period 1979 to 1982 and others  - final hearing to commence 9 June 2015. - in May 2015 plaintiffs served reports and statement of doctor without first seeking directions - held: Court declined to otherwise order under r31.19(3) Uniform Civil Procedure Rules 2005 that reports be adduced in evidence - explanation for late service not satisfactory - relevant parts of reports not admissible - refusal of leave to rely on reports would not occasion real prejudice to plaintiffs - Court satisfied defendants had not had reasonable opportunity to obtain independent expert material to respond within timeframe of current hearing.
Trustees
Chong & Neale v CC Containers Pty Ltd [2015] VSCA 137
Court of Appeal of Victoria
Redlich, Santamaria & Kyrou JJA
Conspiracy to injure corporations - fraud - company (CCC) owned and controlled by appellant (Chong) and son stored and repaired shipping containers owned by respondent shipping company - appellant (Neale) was director of shipping company - appellants found to have conspired to injure respondents by fraud perpetrated in respect of repair by CCC of shipping containers of shipping company - appellants also found to have engaged in fraudulent misrepresentation and misleading and deceptive conduct - Neale found to have breached his fiduciary and statutory duties as director of shipping company and CCC and to have received secret commissions as result of his participation in repair fraud and involvement in sale of CCC’s business - held: grounds of appeal failed - Chong’s appeal allowed in part in relation to amount of interest awarded - Neale’s appeal dismissed.
Chong
C.A.R.S. Pty Ltd v Brent [2015] TASSC 23
Supreme Court of Tasmania
Blow CJ
Guarantee and indemnity - creditor sued two company directors claiming they were liable to pay sums pursuant to deed of guarantee and indemnity  - first defendant contended he was not liable because signature on deed forged - second defendant admitted signing deed but contended other defendant’s signature was forged which must result in him not being liable - held: Court not satisfied first defendant executed deed or authorised anyone else to do so in his name - plaintiff’s claim against first defendant failed - deed contained express term that liability of each guarantor was not contingent upon execution of guarantee by any other guarantor - second defendant not relieved from liability under guarantee - claim against second defendant succeeded.
C.A.R.S.