Contributory Negligence: spotlight on both parties…and elsewhere?

Naturally, the primary focus of any defendant arguing contributory negligence is on the conduct of the plaintiff. At its heart however, contributory negligence is an apportionment exercise. That is, one requiring the conduct of both plaintiff and defendant to be placed alongside each other and examined.

 

Then the alchemical process of comparing the behaviour of each litigant is undertaken, a pair of percentages produced and ultimately, if made out, an amount by which the plaintiff’s claim should be reduced.

 

Basten and Macfarlan JJA’s judgments in Gordon v Truong [2014] NSWCA 97 highlight two important aspects of this process.

 

In Gordon the defendant collided with a pedestrian and admitted liability in negligence pre-trial. However, on the question of liability there still remained the issue of the plaintiff’s alleged contributory negligence for failure to keep a proper lookout. The trial judge assessed this at zero and the defendant appealed.

 

 

The plaintiff, Mr Truong was about half way across three traffic lanes when he was hit. Upon Basten JA’s calculation, he had more than enough time to see the defendant’s car and take evasive action. This was enough for his Honour to vary the trial judge’s decision and make a finding there should be a 35% reduction to the plaintiff’s award due to his contributory negligence.

 

However, Basten JA had a problem with the dearth of evidence and submissions regarding the driver’s breach of duty at the first instance trial; a somewhat natural consequence of his liability having been admitted. This gave his Honour cause to offer the salutary reminder (at [19]):

 

…the plaintiff could fairly submit [t]hat because the proof of contributory negligence lay with the driver, who had an interest diminishing his degree of responsibility, to the extent that he did not undertake that task, he could not be heard to complain if the assessment of contributory negligence was less than it should have been.

    

Therefore the first learning Gordon offersis that where the defendant’s liability is admitted and contributory negligence is alleged, the court must still be given the opportunity to assess the extent of the defendant’s culpability through sufficient evidence and submissions; rather than putting it to one side as it was in this case.

 

The Court of Appeal in Gordon was still comfortable to infer the driver’s culpability from the surrounding facts and found him similarly responsible for failing to keep a proper lookout.

 

Then came the mysterious process of determining the percentages of blame. In NSW section 9(1)(b) of the Law Reform (Miscellaneous Provisions) Act 1965 says the apportionment is based upon what the court thinks is ‘just and equitable having regard to the claimant’s share in the responsibility for the damage’. Yet the standard of reasonableness applicable to the assessment of the claimant’s conduct is said to be the same as that defendant, ie. the ‘reasonable person’ (per s5R of the Civil Liability Act 2002). However the content of that hypothetical standard would obviously be different.

 

What’s interesting is the different way the majority of Basten and Macfarlan JJA dealt with the apportionment exercise.

 

Basten JA picked up some passages from the Review of the Law of Negligence: Final Report (September 2002) a document which provided key background and rationale for the Civil Liability Act 2002. These parts of that document seem to discourage (as by implication does perhaps section 5R) treating the obligation of motorists and pedestrians to keep a proper lookout any differently based upon for example, the greater potential of the motorist to cause serious harm.

 

Instead Basten JA simply made a less than resolute assessment of what he thought each party’s role in the accident would have been and agreed with Macfarlan JA’s apportionment of 35% contributory negligence.

 

Macfarlan JA however, did not feel so constrained and picking up the observations of the High Court in Pennington v Norris (1956) 96 CLR 10 at 16, noted at [50]:

 

Relevant to the apportionment exercise in this case is in my view the fact that the appellant was in charge of a fast moving vehicle that had the potential to do great harm to people or things in its path, whereas the consequence of carelessness on the part of the plaintiff was more likely to be, as it was, only harm to himself.  

 

The common law most certainly permits this kind of approach to contributory negligence apportionment, ie. looking at broader concepts of blameworthiness (including by implication at least, public policy matters). However, Basten JA’s restraint provides some food for thought. His Honour’s approach seems to imply that any justification for an approach by which motorist and pedestrian should be treated differently simply because of the former’s greater propensity to cause harm is not necessarily borne out in the relevant legislative provisions.

 

This is of particular interest in light of Basten JA’s observation at [14] that contributory negligence is ‘a creature of statute in this jurisdiction’.

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Evidence by Phone and AVL: talk to the interests of justice

There is an increasing trend towards witnesses giving their evidence by phone or audio-visual link these days.

 

McCallum J’s recent Supreme Court decision of Tan v Silverdale Sand and Soil Pty Ltd [2014] NSWSC 391 reviews the relevant legislation and provides a useful guide to the kinds of factors that will be taken into account by the decision-maker in such applications.

 

Tan was an appeal on a question of law as of right under s39 of the Local Court Act (NSW) 2007. It was a simple property damage claim arising out of an accident between a truck and a sedan. One of the principal grounds of appeal was that the magistrate erred by giving a direction that an eyewitness to the accident be permitted to give his evidence by phone.

 

At first instance the parties drew the magistrate’s attention to UCPR 31.3, a regulation which is pretty bare on detail, simply providing a court with the discretion to order that evidence may be received by phone, AVL or otherwise.

 

However, the magistrate was not taken to section 5B of the Evidence (Audio and Audio Visual Links) Act 1998, which deals with the question more expansively. There are 2 salient aspects.

 

Firstly, under ss5B(2)(c) a court cannot make an order if it is satisfied that the direction would be unfair to ‘the party’. McCallum J took the view that contrary to what Austin J said in ASIC v Rich, ‘the party’ refers to the applicant party (ie. the party calling the witness). On the face of the section this would seem correct. However it is somewhat counter-intuitive because it raises the obvious question as to why a party would make the application in the first place if it could cause unfairness to them.

 

Secondly, ss5B(3) says that a court must not make the direction unless it is in the interests of the administration of justice to do so. As such, perhaps the easier way of dealing with the ambiguity in ss(2)(c) is simply to roll any questions of fairness affecting all parties, into the ‘interests of justice’ question under ss(3). Her Honour did in fact acknowledge this degree of overlap at [33].

 

On the general fairness issue, the appellant plaintiff argued at first instance that he would be prejudiced by the court not having had the opportunity to observe the demeanour of the witness and not being able to show the witness photos of the accident scene in cross-examination.

 

McCallum J placed these arguments alongside the fact that this was the third time the parties had assembled for the hearing and that the defendant’s lawyers had only become aware a few days prior that the witness could not be in court.

 

A medical certificate was also produced at the first instance hearing, which appeared to assist the defendant. I’ll take this opportunity to point out the obvious – medical certificates should always set out precisely what it is that prevents a person from coming to court. Otherwise, a court is entitled to reject them.

 

In the wash up, her Honour found that whilst not having explicitly considered section 5B, the magistrate did still turn his mind to the right kinds of questions to enable him to adequately consider whether having the evidence given by phone was in the interests of the administration of justice. And she agreed with the magistrate’s tacit consideration that in the overall circumstances, it was.

 

In so finding, her Honour also made mention of the fact that allowing the witness to give evidence by phone facilitated “just, quick and cheap resolution” of the case (s56 of the Civil Procedure Act).

 

A final matter to keep in mind if you are in the Local Court, is that Civil Practice Note 1 at para. 18.1 requires a party to seek a direction that a witness be permitted to give their evidence by phone or AVL at the time the case is listed for hearing. Her Honour said that whilst this is an important procedural requirement, the defendant’s failure to comply with it should not have been fatal, given that “absolute insistence upon literal compliance with it will not always serve the interests of the administration of justice” (at [38]). Once again, we are left with questions over the force and effect of Local Court practice notes…an argument for another day!

 

PS– a bit of shameless self-promotion…the next instalment of the NSWLR’s will include my first reported decision (as junior), Miles v Motor Accident Authority of NSW [2013] NSWSC 927. Fortunately, it was also a win.

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Appeals from the Local Court: when does a feeling of not getting a “fair go” become appealable?

One hundred thousand dollars is a lot of money for most people. With its jurisdictional limit now sitting at this height, the Local Court of NSW provides an important means of civil redress in this state.

 

Yet magistrates preside in an environment of increasingly busy courts whilst still having to meet a demanding standard of flexibility. They decide an accused’s liberty one day and then have to wrestle with the subtleties of a tricky little commercial matter the next. It is no easy task.

 

Putting natural inclinations to one side, perhaps this is why on some occasions, an unsuccessful party might feel as though the Court’s justice has been meted out in rather a rough and ready fashion. However, this is not always tantamount to error.

 

Below is a framework for assessing whether there are prospects that justify taking this next step; instead of just sucking up the loss and getting on with life.

 

They got the law wrong

 

This is the most basic of them all. If the magistrate has clearly misdirected themselves as to the correct legal principle/s you’re in good shape. Though you will need to demonstrate how this has affected the result.

 

Inadequacy of reasons

 

This is one that comes up a lot particularly when a magistrate has made their mind up but doesn’t feel inclined to consider and then say how they really got there. This is not an uncommon way for any of us to think and behave in everyday life and of course magistrates are no exception. Sometimes we just prefer the steak instead of the fish.

 

The guiding principle is that justice must not only be done but also be seen to be done. Reasons are the central means by which this end is achieved. It also enables the losing party to understand why they were unsuccessful and whether they have any grounds for an appeal. As the NSW Court of Appeal pointed out in Wiki v Atlantis Relocations (2004) 60 NSWLR 127 at 135-136:

 

It is not for nothing that in some bilingual countries the judgment of the court is given in the language of the unsuccessful party.   

 

One of the most succinct encapsulations of how the duty to give reasons operates in practice was given by Meagher JA in Beale v Government Insurance office of NSW (1997) 48 NSWLR 430 at 443 (and not surprisingly reads somewhat like a student manual on how to answer questions in a law exam). His Honour said a decision-maker should:

 

1. Refer to relevant evidence, but there is no need to refer to it in detail;

 

2. Set out any material findings of fact and any conclusions or ultimate findings of fact reached; and

 

3. Provide reasons for making the relevant findings of fact (and conclusions) and reasons in applying the law to the facts found.

 

Failure to take into account a material consideration

 

This normally arises where there is some test or set of elements to the cause of action one or a number of which the Magistrate has, on the face of the record (ie. the judgment), simply failed to factor into their reasoning process.

 

Unreasonableness

 

When the failure to account for a relevant matter becomes more a question of degree than failure to deal with it altogether, the focus turns more towards a question of reasonableness.

 

But it has to be something important enough to have had an effect on the result. The significance of the matter will therefore determine whether such a failure is truly an error (see Mason J’s well-known judgment in Minister v Peko-Wallsend (1986-87) 162 CLR 24 at 32). As Mason J said in Peko (at 41):

 

…in some circumstances a court may set aside an administrative decision which has failed to give adequate weight to a relevant factor of great importance, or has given excessive weight to a relevant factor of no importance. The preferred ground on which this is done, however, is…that the decision is “manifestly unreasonable”.

 

This position was further developed in the recent High Court case of Minister for Immigration and Citizenship v Li [2013] HCA 18 where Hayne, Kiefel and Bell JJ described unreasonableness in terms of a decision lacking “an evident and intelligible justification”, ie. illogical.

 

Denial of Procedural Fairness

 

At its heart, a denial of procedural fairness involves some inability on the part of the aggrieved party (not self-inflicted) to put an essential part of one’s case before the magistrate and have it determined.

 

A common means by which this seems to take place in the Local Court is when the magistrate, perhaps in striving to deliver what they perceive to be the “right” result, goes outside the pleaded case.

 

It has been said on a number of occasions that the Local Court is not a ‘court of strict pleading’, but what does this really mean? What happens if a party runs and argues its case more loosely and then the court, sufficiently persuaded, follows that party so that eventually the case is decided in a manner which is somewhat different to how things look on the pleadings.

 

If you are on the wrong side of this situation, the first port of call is to see how your legal representative reacted to it at first instance.

 

Did they raise an objection (eg. relevance) to questions directed to the elements of the case not pleaded during cross-examination or when the evidence in chief was being led?

 

How was it dealt with in submissions (ie. was a submission made that this was not pleaded so the court should not decide the case on that basis)?

 

And thirdly, was the argument that the other party raised in submissions (but did not plead) met with as good an argument as could possibly be mustered under the circumstances? Otherwise, there is a risk that by not meeting the argument the party is taken to have acquiesced to it being ruled upon and potentially deciding the case.

 

For an HCA discussion of these matters see Dare v Pulham (1982) 148 CLR 658.

 

Beware of appealing factual findings

It is trite to say that in most instances findings of fact are not appealable. However, beware of a situation in which the appeal ground has as one of its foundations a challenge to the magistrate’s factual findings. Unfortunately, a party is normally stuck with those, however perverse they might seem. This is unless of course it forms part of that rather protean concept of a “mixed question of fact and law”, in which case it may be appealable with leave.

 

This is the moment at which you might consider giving me a call.

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