AV8 Air Charter Pty Limited v Sydney Helicopters Pty Limited

AV8 Air Charter Pty Limited (the appellant) appealed a decision of the primary judge concerning a claim for economic loss against Sydney Helicopters Pty Limited (the respondent). The dispute arose from an incident where a helicopter owned by the appellant, which had been bailed to the respondent, came into contact with an overhead powerline, causing damage. The appellant alleged negligence on the part of the respondent's pilot.

The Court of Appeal was required to determine whether the trial judge erred in finding that the pilot was negligent. Specifically, the court considered whether the evidence supported the conclusion that weather conditions had substantially deteriorated, whether the trial judge had given due weight to expert opinions, and whether the pilot's decision to continue flying in deteriorating weather was negligent, assessing this prospectively rather than with hindsight. The court also examined the application of sections 5B and 5C of the Civil Liability Act 2002 and whether the Civil Aviation Regulations were to be implied in the contract between the parties. Further issues included the extent to which the powerline owner was liable in tort, the class of pilots to whom a duty was owed, and the foreseeability of the risk of harm. Finally, the court had to reassess damages, considering the trial judge's alleged failure to have regard to an agreement between the parties.

The Court of Appeal found that the trial judge's factual findings were open to be made on the evidence before him and that the pilot's actions were negligent. The court applied the principles of negligence, considering the standard of care expected of a reasonable pilot in the circumstances and the foreseeability of the risk of harm. The court also considered the contractual terms and the application of proportionate liability. Ultimately, the appeal was dismissed, with the appellant ordered to pay the costs of the appeal.