Allianz Australia Insurance Limited v Estate of the Late Summer Abawi

Allianz Australia Insurance Limited appealed to the Court of Appeal of New South Wales against a decision concerning the definition of a "threshold injury" under motor accident legislation. The dispute involved the Estate of the Late Summer Abawi, who had sustained injuries in a motor vehicle accident. The core of the disagreement centred on whether the claimant's injuries qualified as a "threshold injury" for the purposes of the relevant legislation, which would impact the available compensation.

The Court of Appeal was required to determine the correct interpretation of the definition of "threshold injury" within the *Motor Accident Injuries Act 2017* (NSW). Specifically, the court had to consider whether an injury to the skin, which did not also involve an injury to nerves, constituted a "soft tissue injury" for the purposes of the Act, and consequently, whether it met the criteria for a "threshold injury". The court also considered the relevance of extrinsic materials and arguments presented from the bar table in construing the statutory provisions.

The Court of Appeal allowed the appeal, finding that an injury to the skin, not involving an injury to nerves, is indeed a soft tissue injury for the purposes of the *Motor Accident Injuries Act 2017* (NSW). The judges applied principles of statutory interpretation, noting that while purposive and contextual arguments were raised, the textual considerations were determinative. The court concluded that the Assessor's Certificate of 5 October 2022, which confirmed the injury as a threshold injury, should be upheld. Consequently, the court set aside the previous order that dismissed the summons and, in its place, confirmed the Assessor's Certificate. The appellant was ordered to pay the first respondent's costs of the appeal.