Burnie Port Authority v General Jones Pty Ltd

Case

[1992] HCATrans 346

No judgment structure available for this case.

"I

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IN THE HIGH COURT OF AUSTRALIA

Office of the Registry

Hobart No Hl of 1992

B e t w e e n -

BURNIE PORT AUTHORITY

Appellant

and

GENERAL JONES PTY LTD

Respondent

MASON CJ
BRENNAN J
DEANE J
DAWSON J
TOOHEY J
GAUDRON J

McHUGH J

TRANSCRIPT OR PROCEEDINGS

Burnie(2) 1 1/12/92

AT CANBERRA ON TUESDAY, 1 DECEMBER 1992, AT 10.17 AM

Copyright in the High Court of Australia

MR_J,E. BARNARD, QC:  May it please the Court, I appear with

my learned friend, MR S.R. WORSLEY, for the

appellant in this matter. (instructed by Archer

Bushby)

MR F.S. McALARY, QC: If the Court pleases, I appear with my

learned friend, MR A.J. ABBOTT, for the respondent.

(instructed by Dobson Mitchell & Allport)

MASON CJ: Yes. Mr Barnard.

MR BARNARD: 

If the Court pleases, I hand to the Court at this stage seven copies of the outline of argument.

MASON CJ:  What do you mean by "at this stage"? Are you

threatening us with another outline of argument at

a later stage?

MR BARNARD:  Not quite, Your Honour, but I was going to hand

something else too; I was going to hand to the

Court also a plan and a plan of the cool store,

which I will refer to very briefly shortly, but I

may hand it to it at this time.

MASON CJ:  Yes. Mr Barnard, having read the outline of

submissions, is it necessary to have 12 volumes of

appeal books in this case?

MR BARNARD: 

Your Honour, I am unable to answer that, other

than to say it arises out of the notice of
contention.

MASON CJ:  We will deal with that later.
MR BARNARD:  But I certainly will not be referring to any

more than volume 12 and perhaps one document in

volume 1, the statement of claim is contained

there.

If the Court pleases, the cold store was

situated on the Burnie Port Authority complex at

Burnie on the waterfront and it consisted of a

rectangular box sitting on a concrete base. The

walls and ceilings - and the cool room itself was truly rectangular with a flat ceiling - were made

of panels of which the core consisted of an

expanded polystyrene between facings of thin metal.

Now this box was erected under a gable roof, which

was supported on 13 steel columns which were 8.3

metres apart. Now perhaps I should explain a steel

portal consists of columns and rafters over the top and there were 13 of these. The roof had a span of

some 30 metres and the length of the cool store was

100 metres. The roof was covered with cement

sheets and there was really no connection between

the covering roof and the cool room underneath,

Burnie(2) 2 1/12/92

except chains came down from the roof above to help

support the polystyrene ceiling of the cool room

and there were other pieces of metal which jutted

down so that the wind could not blow up and blow

the ceiling off the box below.

The design of the structure was such that it

was intended that air could come up over the box

and between the box and the roof and flow freely

through; and it is this area that is referred to

between the roof above and the ceiling of the cool

store which is referred to as the roof buoy.

The plan which was handed to the Court was an

exhibit and part of the depositions which were

tendered before Mr Justice Neasey at the trial. I

draw attention to that to indicate - the top of the

plan was regarded at the trial as being the north.

One looks at rooms 1, 2 and 3 on that plan they

were stage 1 of the cool store complex which had
been completed in 1977, and in 1979 the other two

rooms, rooms 4 and 5, were added, and at the time

of the fire the structure of those rooms was

substantially completed. All that remained to be

completed was really the doors when certain

equipment had been moved into it. It was at the

west end of the complex or beside room 1 where all

the plant and equipment and the cooling equipment

was installed, and accordingly, when rooms 4 and 5

were added the cooling pipes and cooling equipment

had to be extended over room 4 and room 5 to

provide ammonia gas and the cooling pipes to those

two rooms.

Wildridge and Sinclair was the firm which was

the contractor who was engaged to extend the

refrigeration equipment over those two rooms and,

in fact, who had been engaged and employed to

install the refrigeration equipment originally to

supply rooms 1, 2 and 3. And it was rooms 1, 2

and 3 that were, pursuant to agreement, licensed to

General Jones where they stored their vegetables,

and it was in those rooms that vegetables were

stored at the time when the fire occurred and

spread from rooms 4 and 5 to burn the area. In

fact, indicated on the plan as the area destroyed

by the fire, the fire which took place on

20 December.

BRENNAN J:  When you say they were "licensed", when you say

that General Jones were "licensed" - - -

MR BARNARD:  They had a licence to occupy that area,

stage 1.

BRENNAN J: 

And is the Burnie Port Authority in possession of the whole of this structure?

Burnie(2)  1/12/92

MR BARNARD: Well, I think the case was being conducted on

the basis, really, that General Jones was in

occupation of rooms 1, 2 and 3.

BRENNAN J: But is that a valid assumption?

MR BARNARD:  I think it is.
BRENNAN J:  To the exclusion of the Burnie Port Authority?
MR BARNARD:  From the rooms themselves, not otherwise from

the structure or the surrounds.

BRENNAN J:  So that Burnie Port Authority, in relation to

the void above rooms 4 and S, was a neighbouring

occupier que General Jones' occupation of rooms 1,

2 and 3?

MR BARNARD:  That is the basis upon which the case was

conducted in front of the Full Court in Tasmania.

Of course, Burnie Port Authority was responsible for

the refrigeration equipment that was above rooms 1,

2 and 3 and for the plant that was at the western

end of the whole complex which supplied the cooling,

but the occupation of the rooms was by General

Jones, and that is rooms 1, 2 and 3 only.

Now, the respondent's claim against the

appellant in this action was basically argued at
the trial in negligence under the common law in

accordance with the principles laid down in

Beaulieu v Finglam and pursuant to Rylands v

Fletcher. Mr Justice Neasey, the learned trial

judge, found in favour of the appellant on the

causes of action of negligence and Rylands v

Fletcher, but found against the appellant on the

common law principles of Beaulieu v Finglam.

His judgment was appealed from and that appeal

was heard on 5 and 6 November 1990 and, on

11 September 1991 the Full Court of Tasmania

delivered judgment finding in favour of the

appellant on the Beaulieu v Finglam argument and
against it on the argument in Rylands v Fletcher.

Now, the Full Court finding, in our submission, was in error in that it found that the

failure by Wildridge and Sinclair's employees to

take the precautions against fire which it said

were to be elementary in the welding trade amounted

to a non-natural use of ..... I refer the Court

specifically to the findings of Mr Justice Zeeman in volume 12 at page 2388 at lines 1 to 16, where

he said:

There can be no argument but that the

fire upon the appellant's premises was likely

Burnie(2) 1/12/92

to do harm if it escaped therefrom to

adjoining premises. No submission to the

contrary was made, and the learned trial judge

appears to have proceeded upon the implicit

assumption that that was so. The learned

trial judge's reference to the taking of

proper precautions in the course of welding

operations suggests his view that the question

as to whether or not such proper precautions
were taken was not relevant in determining

whether there was liability upon the basis of

the principles laid down in Rylands v

Fletcher. With respect, I consider that his

Honour was in error in taking that view, that

being a view contrary to the authorities to

which I have referred. Sochacki v Sas might

be considered as authority for the proposition

that the categorisation of a use as being

"natural" or "non-natural" is to be made

without reference to time, place or

circumstances. A lodger left a fire burning

in the fire place of his room. There was no

fire guard. The lodger was away for several

hours. Whilst he was absent, a spark jumped

from the fireplace and set fire to the floor

boards. That fire spread to the landlord's

adjoining room and caused considerable damage.

Lord Goddard CJ rejected the submission that

the lodger should be held liable upon the

basis of Rylands v Fletcher, saying:

He was using his room in the ordinary, natural

way in which the room could be used ..... There
was an ordinary, natural, proper everyday use
of a fireplace in a room ..... If a person
living in a house does no more than light a

fire in a fireplace, and through some unhappy

accident a fire occurs, he is certainly not

liable under Rylands v Fletcher {supra).

At page 2390 at line 21, after setting out the

findings on matters of fact, Mr Justice Zeeman

said:  Those findings lead to a conclusion that

WS's employee embarked upon welding

operations, necessarily emitting sparks, in close proximity to cartons which themselves

were liable to catch alight upon the

introduction of a necessary fire source and

which cartons contained materials liable to

create an intense fire once ignited. It might

be considered elementary common sense not to

embark upon welding operations, with an

inevitable production of sparks, without first

ensuring that any sparks emitted do not come

into contact with any particularly flammable

Burnie(2) 1/12/92

materials. In fact, as the learned trial

judge found, the taking of such precautions is

considered to be elementary in the welding

trade. The failure by WS's employee to take

such precautions, leads me to the conclusion

that the particular welding operations did not

amount to a natural user of the land, but

amounted to a non-natural user. That appears

to accord with the authorities to which I have

referred.

Mr Justice Crawford agreed with Mr Justice Neasey

and Mr Justice Cox at page 2371, line 46, said, and

I should perhaps read this:

If the defendant's own conduct, although

not amounting to negligence, is to be taken
into account in determining whether he should

bear the risk of having a dangerous thing

where it was or whether his innocent neighbour

should bear the loss its escape may cause then

in a case such as this where the occupier

countenanced welding operations in

circumstances where his employees knew that

flammable material in the form of cardboard

cartons, in turn holding isolite, a substance

which will burn with great intensity if

ignited, had been stored in a particular part

of the premises and though they may not have

adverted to it, that the area was one where

sparks or molten material from the welding

operation might fall, there is some
justification for the view that the occupier

should accept that risk and that his decision

to permit welding in these circumstances

amounted to a non-natural user of the land.

On the application for leave that passage was
discussed and I will come back to it, but that
comment is not supported by the other two judges
nor the findings from Mr Justice Neasey. However,
he goes on:  However, even if this question is to be

determined solely by objective criteria,

having regard to the facts of this case to

which Zeeman J. refers in his reasons for

judgment, I agree with him that the action of

WS's employee in engaging in welding

operations without taking the elementary

precautions which would have minimised if not

eliminated the risk of damage, amounted to a
non-natural user for the purposes of the rule.

Our complaint about these matters is that what the court has looked to is the method by which the use

is carried out rather than to the character of the

Burnie(2) 6 1/12/92

use, and we say the correct approach was that which

was taken by Mr Justice Neasey to which I would take the Court at page 2348 and at line 11, and

this was the whole of his finding on this matter:

I turn to the argument that BPA is liable to GJ under the rule in Rylands v. Fletcher

(supra). I have no doubt it would be possible

to establish liability under this head,

separately from the common law rule above

discussed -

and he is referring to Beaulieu v Fingiam -

provided it was an appropriate case for

application of the rule. This proposition is
too well established to need exposition (see

generally, Fleming on Torts, 6th ed., ch.16).

However, in my opinion liability cannot be

established against BPA on this basis in the
present case, because welding on the

defendant's premises was not a non-natural

user. Welding, after all, is a perfectly

ordinary operation which is performed on

countless occasions every day all over the

world within buildings on industrial sites,

and it can be performed with adequate safety and security provided proper precautions are

taken. This is to say, it is an ordinary and

usual way of using property. It is not a

ttspecial use, bringing with it increased

danger to otherstt - Rickards v. Lothian (1913)

AC 263. The cases both in England and the

United States, but particularly in the latter,

abound with examples of industrial operations

of a generally similar kind which have been

held not to be non-natural user - see for

example -

he refers again to Fleming and to Prosser.

What Mr Justice Neasey did: looked merely at

the character of the operation which was being

carried out, namely welding. It is a matter
whether the acts done to or were the object brought

onto the land, or the circumstances in which the

use occurs are to be taken into account in

determining whether the use is natural or

non-natural. Here, it is a matter of whether the

use of welding, which was a natural use, we would

submit, on a port, or on a construction site, as

this was at the time, is converted into a not

natural use merely because it is being carried out
negligently at the time.

I might say, perhaps I should comment at this

stage that the highlight of the approach taken by

Burnie(2) 7 1/12/92

the Full Court is to be found in a Western

Australian case in 1961. The case was Robert v

Czycyerskyj, (1961) WAR 175 where the occupiers of

a house had rented out a room to a lady and she was

the occupant of that room in the house and she had

been doing her washing, doing her laundry and she

had been doing the laundry in her room and she had

been seen going into the room smoking and a fire
occurred and ultimately the house and the contents

were destroyed or damaged. It was found there that

smoking involved - provided a cause of action under

Rylands v Fletcher as well as in negligence.

One would have thought in 1961 smoking was one

of the acts which was performed at some stage in

almost every home in the country. We say that is

the high-water mark of extending the rule in

Rylands v Fletcher to really what is situations

where negligence is the proper remedy. But this

uncertainty about what is non-natural use has been in existence for a quarter of a century and by way of illustration we would seek to refer the Court

briefly to two articles in the Cambridge Law

Journal where the issues are being raised.

Without reading them, and the first is an

article in "Non-Natural Use of Land" 1973 Cambridge

Law Journal, at page 310 by David Williams, at

page 313 - and he is discussing both views, but the

view to which we are objecting is at page 313,

three-fifths of the way down the page. He says:

In the context of negligence actions use takes

on a more restricted connotation, and refers

to a particular act (or omission) or series of

acts. Thus it is now the hitting of a

particular shot that is of concern, rather

than the playing of a game of golf or, more

generally, the maintenance of a golf course.

There is no necessary element of continuity.

Likewise the presence of the actor on a

particular parcel of land will usually be a
matter of coincidence only. Nevertheless,
this meaning of use has been accepted in some
of the cases argued and decided under Rylands
v Fletcher.

He goes on, and at page 315 to page 316 - the

middle of page 315:

It is submitted that what emerges is that when

some object or substance is brought on to

land, and the object or substance is likely to do mischief if it escapes, then the use of the

land will be regarded as non-natural if the

object or substance is dealt with on the land

in a negligent fashion. If the acts done to

Burnie(2) 1/12/92

or with the object or substance are "ordinary,

natural, proper, everyday," particularly
having regard to the standards of skill that

would be employed by a reasonably competent

user of the thing, then the use will be

treated as natural. It is not suggested that

there is thus a necessary or logical

interconnection between liability for

negligence and under Rylands v Fletcher,

rather that judges will in practice equate the
two concepts of negligence and non-natural use

if the meaning of use is an act or series of

acts. If the reasonable man carries out on

his land acts involving a thing likely to do

mischief if it escapes, in circumstances where

a judge examining the matter would determine

that all reasonable precautions have been
taken in performing those acts, then it is

suggested that a judge will treat this as a

natural use of land.

And so he goes on, and he comes to his conclusion

in relation to this line of reasoning on page 317

in the paragraph commencing near the top of the

page:

It is submitted therefore that, if this

narrow meaning of use is correct, the
categorization of the use as natural or

non-natural will depend upon a finding of the

same situation as would give rise, if so

argued, to a finding of negligence. Do the

actions then become coterminous? If the actor is the landowner the answer would be that they

are. But in many cases, such as Rylands v

Fletcher itself, the liability arises for the actions of a third party, for whom the

landowner is not vicariously liable in

negligence. If the third party actor is a

stranger, then the landowner is not liable,

but he will be liable for his independent

contractors and lawful visitors, as well as
his servants and agents. The effect of the

rule in this situation is that the landowner

can be made liable for the faults of his

contractors and visitors without proof of

personal negligence. But, in the light of the

above analysis, these acts themselves will

render the actor liable in negligence. The

rule thus achieves by another route and on a

different rationale the same effect as would

be achieved by rendering the landowner

vicariously liable for the negligent acts of

contractors or visitors in relation to

dangerous things which escape from the land.

Now, I should interpose that - - -

Burnie(2) 9 1/12/92
BRENNAN J:  Mr Barnard, could I ask you, do you accept that

Rylands v Fletcher now subsumes the rule in

Beaulieu v Finglam?

MR BARNARD:  Yes, we do, yes.
BRENNAN J:  So whatever was in Beaulieu v Finglam is now to

be found in Rylands v Fletcher?

MR BARNARD:  Except that, of course, Rylands v Fletcher have

supplanted Beaulieu v Finglam and the common law

rule is ameliorated in now that you are not liable

for the escape of fire if it was a natural use of

the land.

BRENNAN J:  I wonder how it is then that it has subsumed

that earlier rule if that qualification on the

earlier rule has been introduced.

MR BARNARD: Well, perhaps I am wrong to say it is subsumed,

but it has replaced the common law rule; Rylands v

Fletcher has replaced it on the authorities of this

Court.

BRENNAN J:  And so the old rule no longer has any currency?

MR BARNARD: That is so.

BRENNAN J:  And no doubt you will demonstrate that at some

stage.

MR BARNARD:  There are many statements of this Court to that

effect, saying it. But I was going to interpose

the expressions of Mr Williams. One finds also in

Winfield & Jolowicz on Tort; it is in the 13th

edition at page 443, and I will just read a very

brief passage:

Moreover, as a result of the defences of

act of God, act of a third party and statutory

authority, the courts must investigate not

only the reasonableness of the accumulation,
but also the defendant's responsibility for
its actual escape. The nature and quality of
the defendant's conduct are therefore factors
of great importance, and although the
decisional process is different from that in
negligence, the result is almost always the
same. We have virtually reached the position
where a defendant will not be considered
liable when he would not be liable according
to the ordinary principles of negligence.

Now, of course, what we are going to say is that

that is contrary to the authorities of this Court

and wrong in principle.

Burnie(2) 10 1/12/92

The other article to which we would briefly

refer the Court is an article again in The

Cambridge Law Journal, 27 CLJ 104 by A.I. Ogus,

called The Vagaries and Liability for the Escape of

Fire, and Mr Ogus discusses Rylands v Fletcher and

he says, under the heading, The Scope of Negligence

and Nuisance, on page 116:

Since the decision in Read v Lyons, the popularity of the Rylands v Fletcher doctrine

has suffered a marked decline. Most of the

modern cases concerned with the escape of fire

have been decided on the basis of negligence

or of nuisance. This tendency is to be
applauded. Recognizing the flexibility of
these two forms of tortious liability, we may

venture the opinion that the exclusive use of

either -

and that is negligence or of nuisance -

would be the best method of establishing order

in this hitherto disordered topic. We shall

therefore conclude this study by considering

the scope of negligence and nuisance as

applied to the escape of fire,. and in this

context contrast their efficacy with that of a

regime of strict liability.

And he goes on at page 121 line 6 to say:

Where liability for the acts of independent

contractors is imposed, it is generally
justified on the ground that the employer of
the contractor is economically in a better
position to indemnify the plaintiff. In the

present context, however, this justification

cannot apply for, as has already been

explained, the employer of the contractor is

unlikely to be insured.

Our conclusion is, therefore, that, in order both to exclude the complexities which

have hitherto arisen in this area of the law, and to be consistent with the general policy

of the law of torts, liability for the escape of fire should be confined to the case where the defendant (or his employee) is at fault.

To this end, a remedy in either negligence or

nuisance is appropriate, and it is not felt

necessary to choose between them.

We would contend that Mr Ogus's views upon this are

correct.

Burnie(2) 11 1/12/92

Now if I could return to Justice Zeeman, who

relied on Smith v Badenoch and he quotes from

Smith v Badenoch on page 2386 from

Mr Justice Zelling in Smith v Badenoch, and we

contend that he incorrectly interprets this passage

from Smith v Badenoch. The passage is:

The doctrine of what is or is not a natural

user of land is a difficult one and as Upjohn

J. (as he then was) said in Smeaton v Ilford

Corporation (1954) Ch.450, at p.471 the rule

still awaits authorative determination.

Lord Macmillan in his speech in Read v.

J. Lyons & Co. Limited (1947) A.C. 156, at

p.174 referred to some non-natural use of that

land whatever that precisely may mean. There

is a further discussion of the difficulties

inherent in this concept in the judgment of

Windeyer J. in Benning v Wong (1969) 43 ALJR

467, at pp 486-487. The difficulties in

relation to this phrase are twofold:- first,

that the words are sometimes used by judges to refer to things not naturally occurring on the

land, and second, that they are also used to

refer to things not normally used in relation

to land or not normally used at given times

and in specified circumstances. With this

confusion of terminology it is not remarkable

that the exception has not proved easy to

define. This has not been improved by the

fact that propositions of fact have been

treated almost as if they were propositions of

law. For example, there is the much quoted

passage from the judgement of Lord Shand

delivering the advice of the Privy Council in

Black v the Christchurch Finance Co. (supra):

'The lighting of a fire on open bush land,

where it may readily spread to adjoining

property and cause serious damage, is an

operation necessarily attended with great

danger, and a proprietor who executes such an

operation is bound to use all reasonable

precautions to prevent the fire extending to
his neighbour's property (sic utere tuo ut
alienum non laedas).'

The passage he cites is 'make use of your own

property in such a manner as not to injure

another', is the Latin phrase.

This, even when spoken in relation to a fire

in midsummer is simply not true in all

circumstances, at least in South Australia,

whatever the position may be in New Zealand.

In many cases it is an operation attended with

great danger but it is not necessarily so

attended. This depends on the nature of the

Burnie(2) 12 1/12/92

country, whether it will easily carry a

running fire, what the wind conditions were

like at the time, whether there has been rain

recently, what fire-breaks have been burnt,

how far the lighting of the fire is from the

boundary of neighbouring property, and many

other things.

It would no doubt have been logically much

more consistent if a natural user of land had

been held to continue to be a natural user at

any time of the year notwithstanding changes

in the circumstances and in the greater
likelihood of danger ensuing from the use, and
if the user at a time when the conditions were

fraught with danger to others had been

classified as a natural but negligent user,
but the development of the case law has been
otherwise and I must accept that to be so.

The degree of hazard involved in the use of

the fire, the extensiveness of the damage it

is likely to do and the difficulty of

controlling it depending on climate, the

character of the country and the natural conditions do, on the case law as it now stands, decide what is natural and what is

non-natural user, and I take this view of the

law as being the one controlling me in

deciding this case so far as this ground of

liability is in issue.

Now, we say certainly it was a matter of law

as to whether it is natural or non-natural, but

otherwise we say that Mr Justice Zelling is

correct. And Mr Justice Zelling was not looking at

concerned burning off in the Adelaide Hills -

the facts of the individual case, case

burning off in the Adelaide Hills was a natural or

non-natural use at that time. And we would draw

attention to the fact that Mr Justice Zelling, in

determining whether it was a natural or non-natural

use, did not consider whether there had been any

negligence in the use at the time, but in fact

there had been negligence and, at page 15 of the

decision, he said:

I turn now to the claim based on common

law negligence. In my opinion, the defendant

was guilty of negligence at common law. I

think his check of the area at midnight was

too cursory. He should have gone over the

whole of the area in question and checked it

far more thoroughly than he did. It may be

said that this requires a high degree of

vigilance from a defendant in these

circumstances. So it should. Fire is a known

Burnie(2) 13 1/12/92

and serious hazard in all farming communities
and the defendant's check was in my opinion

too perfunctory, as is shown by the outbreak

on Tripodi's land. I find that if he had

looked more carefully or stayed a little

longer examining the ground he would have seen

the fire escaping on to the plaintiff's

property. Accordingly I find that the

plaintiff has made out his case on the

alternative ground of negligence at common

law.

DAWSON J:  Does that mean that there can be a natural use of

the land by a process at one stage which would

become unnatural at another stage?

MR BARNARD: According to the views expressed by the Full

Court of Tasmania; but in our submission, no, that

one determines as a matter of law whether it is

natural or non-natural. The fact that - - -
DAWSON J:  The burning off of land, agricultural land, in

the winter, would not be a non-natural use.

MR BARNARD:  That is so. The High Court has said that in

other situations, in high summer, it is a non-

natural use of land.

DAWSON J:  So the same operation can be at one time a

natural use, and at another time a non-natural use.

MR BARNARD:  And Mr Justice Zelling is saying, of course, it

is unfortunate that you change it from summer to

winter, that it can be natural in winter and non- natural in summer but, on the other hand, he only looked at the relevant facts, the character of the

use.

McHUGH J: Well, on his view, whether it was natural or

non-natural could depend on the hour of the day or

even change. If you look at page 14, in the last

paragraph, he says:

This was late in November, the maximum
temperature on the day in question was only 80
degrees F. The wind was very light and
ordinary firebreaks existed.

That is very particular, is it not?

MR BARNARD:  But that is particular in relation to the use

at that time, and that time of day, and it may well

be that that is so; but, with respect, it does not

go to looking at the acts of the user on the

specific occasion.

DAWSON J:  It gets very close to it, does it not?
Burnie(2) 14 1/12/92
MR BARNARD:  With respect, no, and we say that the High

Court makes it very clear in other cases that you

are looking at the details of the use - - -

DAWSON J: It sounds very likely that it is a non-natural

use to burn off in summer because it is negligent

to do it in summer.

MR BARNARD: Well, it may be both, but on the other hand, in

Smith v Badenoch what was a natural use, that

farmers did do it at that time of the year, it was

an ordinary and reasonable use of the land, it was

negligent the way it was done, and the defendant
was liable, but it was not negligent on the test of

strict liability, but it was because of his blame.

BRENNAN J: But is not the test of non-natural user the

question of whether that which is introduced to the

occupier's land poses a danger to the adjoining

occupier?

MR BARNARD: 

With respect, that is the basis of strict liability in Rylands v Fletcher, but the exception

to it is that even though it does pose a danger to
the adjoining occupier, the strict liability does
not apply if the uses are natural.
BRENNAN J:  I must confess I am finding the discussion

restricted to the language of Rylands v Fletcher

somewhat diverting from the notion of principle

that underlies this. I would have thought that the

principle was that if there is an occupier of land

who introduces on to his land, either himself or by

his servants or by his licensees, a fire which may

escape and cause damage to his neighbour he would

be liable. Now, what is the reason why that does

not apply?

MR BARNARD:  The reason why that does not apply - I suppose

to put it in the simple situation: if you have a

fire in your hearth to warm you, why should you be

strictly liable for its escape when everybody

else - and it is a perfectly normal thing to do -

why should you be liable for its escape when there

is no fault on your part?

BRENNAN J: Perhaps I should put a qualification, and that

is the qualification that is introduced by the

Fires Prevention (Metropolis) Act 1774, that there

has to be some negligence on the part of the person

who lights it.

MR BARNARD: With respect, that qualification, of course, changes the rule in Rylands v Fletcher. Rylands

v Fletcher is one of strict liability and - - -

Burnie(2) 15 1/12/92

BRENNAN J: It just seems to me that Rylands v Fletcher is directed to something which is somewhat different

from the escape of fire.

MR BARNARD:  With respect, we would be, I think, inclined to

agree with that. But, however, this Court, on a

number of occasions, has treated as directed to

fire. The rule in Rylands v Fletcher, as we will

refer to, really was concerned very much with the - it was putting a reservoir on land and it was very much with how you used your land and how that

affected your neighbour, not somebody outside, not

somebody on the neighbour's land, how it affected

your neighbour's land. But it has been expanded

certainly beyond that.

DAWSON J:  But it was the quantity of water which was

significant in Rylands v Fletcher, was it not?

BRENNAN J: Yes.

MR BARNARD:  It was a reservoir, yes, and it was said to be

a potential danger if it escaped. It certainly,

with respect, was not limited to size or quantity,

it was a potential danger.

Mr Justice Zeeman also relied on Read v Lyons

and perhaps I should refer to Read v Lyons. This

is Read v Lyons in the House of Lords, and the

Court will recollect that Read v Lyons, (1947)

AC 156, concerned a munitions factory operated by

the respondents. And it was determined in the

House of Lords on the basis that there was no

escape because the injury was to one of the workers

on the premises of the munitions factory. So that

really the House of Lords never went on to fully

consider the question of natural or non-natural

use, and I would propose to come back to it,

particularly in the Court of Appeal where

Lord Justice Scott considered it in greater detail.

But I merely here comment that, in our submission,

Read v Lyons does not support the view expressed by

Mr Justice Zeeman and, in particular, he referred

to Lord Porter, and Lord Porter, at three quarters

of the way down the page of page 176, said:

For the present I need only say that each

seems to be a question of fact subject to a

ruling of the judge as to whether the

particular object can be dangerous or the

particular use can be non-natural, and in

deciding this question I think that all the

circumstances of the time and place and

practice of mankind must be taken into

consideration so that what might be regarded

as dangerous or non-natural may vary according

to those circumstances.

Burnie(2) 16 1/12/92

We would say it is correct, that it is a matter for

the judge. It is a matter of law as to whether it

is non-natural, and it is also a matter of "time

and place and practice of mankind" that is taken

into account, but not the individual circumstances,

the method of use on the particular occasion. I

will return in a later context to Read v Lyons.

Mr Justice Zeeman has otherwise relied on Sochacki

v Sas which is Lord Goddard's decision about a fire

in a fireplace in a lodger's room, and all

Lord Goddard said was if you have a fire in your

fireplace and he had not obviously put a guard on
it, but it was an ordinary natural, everyday use.

We say again that passage does not support

Mr Justice Zeeman.

Our submission is that the authorities of this

Court support the view that where the dangerous thing is brought on to the premises as an accepted

incident of some ordinary use to which the premises

are reasonably applied by the occupier, strict

liability does not arise. Further, the use does

not become non-natural because there is a negligent

act or circumstance involved in the use which

causes the escape. It is the character of the use

or operation and not the method of carrying it out

which makes it non-natural.

We would turn to the decisions of this Court,

and turn firstly to Whinfield v Lands Purchase and

Management Board of Victoria, (1914) 18 CLR 606.

That was a case where the board allowed employees

of the water commission to camp on their land, land

that had been owned or acquired by the board, and

whilst camped there they lighted a fire. The fire

was lit by cooking purposes, and by reason of the

negligence - the man was McTavish - by reason of

McTavish's negligence the fire spread to adjoining

land and caused extensive damage. At page 609 the

allegation in paragraph 6(a) was:

(a) The said fire was lighted in the open in

an unprotected fire-place in hot and dry

summer weather with the grass and other
materials on the ground in a highly
inflammable dangerous condition, when the

defendants or either of them or the said

William McTavish knew, or ought to have known,

that the said fire or a spark or sparks
therefrom, if not carefully and completely

watched or protected, might or would spread.

That was said to be proven. Chief Justice Griffith

deals with Rylands v Fletcher at page 616 when he

says in the middle of the page:

Burnie(2) 17 1/12/92

As against the Board the case rests entirely upon the permission (alleged but not

proved) to camp on land of which they had

control. It would be a shocking thing to lay

down as a rule of law that in a country like

Australia, where probably hundreds, if not thousands, of men travelling on foot in

sparsely settled districts ask every day for
permission to camp for the night on private

property, the owner by granting such poor

hospitality becomes responsible for the

lighting of a fire by the wayfarer to boil his

"billy" or keep himself warm. Apart from this

consideration the well known rule that the

doctrine of respondeat superior does not apply

as between principal officers of Government

and their subordinates, except for wrongful

acts in which the former are personally

concerned, is sufficient to protect them. The

Board are mere agents and managers of the land for the Crown, and the most that can be

alleged against them is that they did not prevent the men from camping on the land.

They permitted them to camp on the land. We

say this decision is consistent with what we put

forward, consistent with merely looking at the

character of the use. The only other passage in

this that we would refer to is in the judgment of

Mr Justice Isaacs on page 619. Again, we say that

he does not look at the specific incident. He
says: 

Now, it seems to me to follow that where

the question is as to a domestic fire, a fire

lit for the purpose of cooking food or

supplying bodily warmth, the position of the

person lighting it is inherently stronger,
because its essentiality as a feature of life

is based on the common requirements of

humanity. No one can assert that the presence
of such a fire is "an increased danger", that
is, increased beyond that occasioned by the
ordinary use of the land, or, phrasing the
notion differently, that the use of the land
for such a purpose is a "special use". On the
contrary, fire for the maintenance or ordinary
comfort of life, is a necessary adjunct of
civilized existence, and an elemental purpose
of the use of land by the human race.

Unless, therefore, some default or

negligence be proved in respect to such a

fire, no responsibility for its spreading is

incurred. That is a common risk which members

of society mutually accept. The allegation of

negligence which we find in the early cases

Burnie(2) 18 1/12/92
can be understood. The reason upon which this

conclusion is rested is made further apparent

in the judgment of the Judicial Committee in

the earlier case of Eastern and South African

Telegraph Co. v Cape Town Tramways Cos.

He goes on to that case. He goes over on to

the next page, he says:

The principle of Rylands v Fletcher, which

subjects to a high liability the owner who

uses his property for purposes other than

those which are natural, would become doubly

penal if it implied a liability created and

measured by the non-natural uses of his

neighbour's property. Nor need the law be

regarded as showing any want of adaptability

to modern circumstances if this be the true

view, for the liability thus limited is of

insurance and not for negligence, and all the

remedies for negligence remain."

And he is quoting from Lord Robertson.

This makes it clear that the liability for breach of this absolute duty of insurance, though higher in its nature, is not in its incidence necessarily coextensive with the

responsibility for breach of the relative duty

of care, that is to say, for negligence. The

Privy Council accordingly held in that case

that as negligence was negatived, the

plaintiff could not on mere proof of the breach of the absolute duty of insurance

recover in respect of the very special damage

claimed, though in fact resulting from the

escape of the electricity.

Mr Justice Isaacs has taken the view there

that there is a different basis for claiming

damages under Rylands v Fletcher than for

negligence. But whether that be so or not we say
he is quite clearly distinguishing that in looking

at responsibility for Rylands v Fletcher you do not

look at the negligent acts, you are looking at

something different from the negligent acts.

Whereas here in the present case the Full Court has looked at the negligent acts in determining whether

there is a non-natural use.

MASON CJ:  You ought to look too, do you not, at page 615 at

the judgment of the Chief Justice, where he draws a

distinction between the introduction of fire on to

land for domestic purposes and the introduciton of

fire on to land for a purpose which is dangerous,

ie, for a purpose which involves spreading the fire

across the land.

Burnie(2) 19 1/12/92
MR BARNARD:  Yes.

MASON CJ: In one case it is a natural user, in the other

case it is a non-natural user.

MR BARNARD: That is certainly so but, of course, with

respect, Hazelwood v Webber and other decisions

were burning off cases which were natural users.

The Chief Justice there has not specified the

circumstances of the spreading. Of course

spreading may be a non-natural user but one has to

look at what is the ordinary and reasonable use at

the time and the circumstances.

Of course, Hazelwood v Webber was a fire lit

by:

a member and formerly President of the Urana

Pastures Protection Board -

in the Riverina at Urana, and these cases seem to

arise from that area, and it was there held that

the burning of vegetation in the open in mid summer

is not a natural or ordinary user of land, and

therefore the appellant was liable independently of

negligence. At page 276, at the bottom of the page

in the judgment of Chief Justice Gavan Duffy and
Justices Rich, Dixon and McTiernan:

The case, therefore, turns upon the

question whether the use of the fire made by
the defendant was such as to fall outside the

strict liability independent of negligence and

expose him to civil liability only on the

ground of negligence which the jury's verdict

has negatived. The full enjoyment of the

occupation of land according to the reasonable

standards of behaviour prevailing in a
community or locality is not possible without

the occupier's making some use of things

which, if there be a failure or removal of

physical control or restraint upon their
natural behaviour, will or probably will cause
injury to neighbouring occupiers. The
principle upon which a prima facie absolute
liability appears to be imposed by the law is
that no man should at the expense of his
neighbour introduce upon his own land a
potential source of harm which is considered
to require continual and effective control or
restraint to prevent mischief. If through a
failure or relaxation of control damage to his
neighbour occurs, although without negligence
on his part, he should indemnify his
neighbour. But when, to obtain effectual use
and enjoyment of land in a reasonable manner
according to its character and the uses for
Burnie(2) 20 1/12/92

which it is adapted, occupiers find that the

introduction of such a potential source of

harm is generally necessary, to insist upon

the prima facie rule would be to restrict the

proper enjoyment of the land or to impose a

special responsibility for loss arising from a

danger to which by the recognized use of the

land every occupier exposed himself and other

occupiers. Accordingly, when the use of the

element or thing which the law regards as a

potential source of mischief is an accepted

incident of some ordinary purpose to which the

land is reasonably applied by the occupier,

the prima facie rule of absolute

responsibility for the consequences of its

escape must give way.

And we say that that is the statement of it; that

it is a principle that has stood in this Court.

And the Court again, at page 278, a third of the
way down, said:

Now in applying this doctrine to the use

of fire in the course of agriculture, the

benefit obtained by the farmer who succeeds in

using it with safety to himself and the

frequency of its use by other farmers are not

the only considerations. The degree of hazard

to others involved in its use, the
extensiveness of the damage it is likely to do
and the difficulty of actually controlling it

are even more important factors. These depend upon climate, the character of the country and

the natural conditions. The question is not

one to be decided by a jury on each occasion

as a question of fact.

And we say this is very important.

The experience, conceptions and standards of the community enter into the question of what is a natural or special use of land, and of

what acts should be considered so fraught with

risk to others as not to be reasonably
incident to its proper enjoyment. In

Australia and New Zealand, burning vegetation

in the open in midsummer has never been held a

natural use of land.

With regard to the question that the question

is not one to be decided on each occasion, we say

it is a matter - and the authorities have held that

it is a matter - to be decided as a matter of law

and that it would be a strange situation if you

were to submit to a jury the question of negligence

for it to decide it on the facts, and if the judge

were to decide the Rylands v Fletcher cause of

Burnie(2) 21 1/12/92

action and decide it differently as a matter of

law, the jury finding no negligence, and if the

judge was entitled to take into account the

particular circumstances, finding it a non-natural

use.

In that context, we would refer to the

judgment of Acting Justice Jacobs, as he then was,

in Handcraft Supply Co Pty Limited v Commissioner

for Railways.

BRENNAN J:  Mr Barnard, could I just take you back to

Hazelwood v Webber for a moment? At page 275,

Their Honours expounded, as I understand it, the general principle, and the general principle was that there is liability for the escape of fire

unless some defence is made out, and the defence

with which Their Honours were concerned in that

case, the defences were twofold: first, the Fires

Prevention (Metropolis) Act, which was held not to apply in New South Wales; and second, the question whether the use of fire as a recognized incident of

the proper enjoyment of land takes the case outside

the general principle.

Now, if that is the way in which we should

approach this case, the question is not so much- whether or not the use of welding equipment is a

natural use of the land, is it, it is a question of

whether or not you can say that the use of welding

equipment in the void was, to use the language

here, "a recognized incident of the proper

enjoyment of the land". It is a question of

defence to the general principle.

MR BARNARD: Well, that is so. In other words, whether the

use of the welding equipment on this site was a

natural use of the site. I accept that.
BRENNAN J:  Or a recognized incident of the proper enjoyment

of the site.

MR BARNARD:  We would say, undoubtedly, if you have a port

authority, you must have welding going on, and

employ welders, and if you are constructing

buildings, and buildings necessarily involve steel

structures in them, and pipes in them, and

refrigeration equipment, you must necessarily carry

on welding to do that work.

GAUDRON J:  Why that question rather than the storage of

isolite?

MR BARNARD:  Because that is the way the court has

determined it, that Mr Justice Zeeman and

Burnie(2) 22 1/12/92

GAUDRON J: That is the way the parties fought the case,

that it was welding rather than storage of highly

combustible material?

MR BARNARD:  The negligence was welding near combustible

material; that is what the negligence of the

Wildridge and Sinclair employee was and what we are

saying is, that does not make it a non-natural use.

Welding is a natural use.

GAUDRON J: Welding near combustible material is a natural

user?

MR BARNARD:  No, welding near combustible materials - you do

not look at that, we say, you look at the character

in Rylands v
of the use for the purpose of the test negligent but that does not make the character of the welding itself a non-natural use of the site.

GAUDRON J: What if you had stored radioactive substances

which at a certain temperature gave off gases? You
would look to the creation of the temperature

rather than the storage of the radioactive

materials?

MR BARNARD:  Not having knowledge of storage of radio active

substances, but one would look at the site and say

whether that is a common and ordinary use of that

site. Just as in Read v Lyons, some sites and

other cases to carry on munition factories. Some

sites, they involve dangers in them, and dangers of

very significant explosion if proper care is not

used, but the fact is munitions factories are

carried on in sites and it does not make it - the

fact that there is danger, and that when negligence

occurs that damage may occur, it does not make it a

non-natural use. It is a natural use and you must

base your cause of action in negligence and not on

strict liability in Rylands v Fletcher.

DEANE J: But if you are doing two things in the use of

land, one being welding, the other storing highly

combustible material, why can you not, for the

purpose of Rylands v Fletcher, combine the two

uses?

MR BARNARD: Well, let me say, in our submission, the

Full Court did not combine the two uses but there

is nothing unsafe about storing highly combustible

material.

DEANE J: But you did not, I think, appreciate my question,

and that is, if you are engaging in two uses of

land, why can you not combine them for the purposes

of Ryland v Fletcher?

Burnie(2) 23 1/12/92
MR BARNARD:  With respect, one would expect to find on a

port, highly combustible material and also welding

going on and the only basis in which you combine

them is taking into account the negligent act of

carrying them on so that they are associated with

each other or so that harm can arise.

DEANE J: But that really begs the question. I mean, what

you are saying is if the land were 10 metres by

10 metres, the two uses would be dangerous and

unnatural. If the land is 100 acres and the two
uses are ten miles apart, if that is possible, it

is not -

MR BARNARD:  With respect, one might ask what the use is,
and perhaps it is not two uses. The use is -

building a cool store is the characterization to be

given to your two uses and there are other
combustible materials there too. Timber is
combustible and there are other combustible

materials no doubt, on this site, so if one wants

to use that categorization - and we say that

building a cool store on a port authority is a

natural use and, of course, there are dangers

associated with it if you are negligent in a great

variety of ways.

Now, I was about to refer to Handcraft and

that was, in fact, a jury action where the railway

commissioner was burning off on railway property

and - - -

MASON CJ: What was the reference to this?

MR BARNARD:  I am sorry, it is Handcraft Supply Co v

Commissioner for Railways, (1959) 77 WN (NSW) 84 and the objections were to be made to questions

which were asked in relation to Rylands v Fletcher

and these objections were considered in the absence

of the jury and the ruling was given in the absence

of the jury, and I particularly refer - of course,

this is after Hazelwood v Webber and, at page 86 in

the middle of the second column, His Honour said:

I therefore approach the application of

the rule to the facts of this case in order to
determine, primarily, at this stage what

evidence is admissible. In order to determine

that question, it is necessary, first, to

decide whether the question of natural user or

non-natural user is a question for the judge
or for the jury. It is then necessary to

consider whether, if it is a question for the

judge, it is a question to be determined by

me upon the evidence given in the case. These

are difficult questions indeed, but I find a

guiding light in the decision of the High

Burnie(2) 1/12/92
Court in Hazelwood v Webber. As I read the

decision of Gavan Duffy C.J., Rich, Dixon and

McTiernan JJ in that case, it is made clear

that it is the duty of the judge to determine

as a questions of law whether a particular use

of the land is a natural or non-natural user.

He then goes on to discuss Rickards v Lothian, and

on the next page, 87, says:

This view of the law, which appears to me

to be correct, commences with the principle
that the lighting of a fire is the creation of

a potential source of mischief and that if

that fire escapes the occupier of the land who

brought the fire into existence is prima facie

liable. However, if the fire was an accepted

incident of some ordinary purpose to which the

land is reasonably applied by the occupier,

that prima facie rule gives way. This does
not mean, in my view, that the matter is one

to be dealt with as a question of fact, with

the burden of proof being one way or another.

If the fire is an accepted incident of some

ordinary purpose to which the land is

reasonably applied by the occupier, then the

law does not raise the principle of strict

liability. The question cannot be regarded as

one of onus of proof, because at all stages,

what is being considered is a principle of

law. It, therefore, upon this reasoning,

falls upon the judge to determine whether a

particular use is a natural or non-natural

use. The manner in which he should determine

that is set out in Hazelwood v Webber in the

passage which I have quoted. None of the

factors there mentioned appear to me to

distinguish between the position of one owner

and the position of another owner. I do not

agree with Mr Jenkyn's submission that what

may be a natural user by one owner may be a

non-natural user by another owner.

So there we say - and he is saying not

distinguishing between the position of one owner

and the position of another owner, is really
looking at what the ordinary reasonable man does in

that area at that time, and not looking at what the defendant has done in the particular circumstances.

But His Honour Acting Justice Jacobs, over in the next column, says:

I have considered whether the present

position is analogous with either of these

positions, but I do not consider that it is.

It has been stated in the text books that what

Burnie(2) 25 1/12/92

may be a natural user of land in one time and

place may be a non-natural user at another

time and place. The concept is, apparently, a

changing one and, perhaps, this is one of the

rare cases where the law openly recognizes the

effect of social and economic circumstances

upon the determination of questions of law in

the judicial process. It appears to me that
there is no more than that which is involved.

The judge is bound to apply to the question

whether the user is a natural or non-natural

one the experience, conceptions and standards

of the community in which he is. The judge

must take into account all the various

matters, such as climate, character of the

country and natural conditions. He must bear

in mind the competing social needs which are

involved and he must, as best he can,

determine the matter as one of law. It is not

a very satisfactory situation, but it is not

one with which the courts are altogether

unfamiliar. The same problem arises in an

even more aggravated form in the consideration
of constitutional issues in the High Court.

Whether or not a particular Act is within the defence power is a matter of law, yet it

involves a considerable knowledge, indeed a

detailed knowledge, by the judges of the

conditions in the Australian community from

time to time.

And so he goes on and develops that theme.

Now, if the Court pleases, the most important

case in this context we would come to, and that is

Torette House v Berkman case,
the a case which this hearing before the Court of Appeal in New South

Wales and the judgment of Chief Justice Jordan.

This was the case where the plumber was employed to

do work on premises, and outside the premises and,

as I understand it, in the street there were two

stop cocks and one was turned off and he turned the

other off and when he had done his work - and the

one that was already turned off finished up in the

defendant's premises but had nothing connected to

it and, of course, when it was turned on water

flowed through it, and when the plumber had

finished his work he negligently turned them both

on so that the stop cock which was not connected to
anything allowed water to flow through and out the
end of the pipe and allowed it to escape to
neighbouring premises. But here there was a clear

negligence on the part of the plumber, and he was

an independent contractor, and the passage we would

refer to is particularly the passage of

Burnie(2) 26 1/12/92

Chief Justice Latham at page 646, two thirds of the

way down the page:

The damage in this case was caused, not

by the open pipe itself, but by the negligent

act of the plumber in causing water to flow

through it. It is now well established that
the installation of an ordinary domestic water

supply, though the water is under pressure,

does not bring the occupier of land within the

rule in Rylands v Fletcher -

and he refers to Blake v Woolf and other cases,

including Hazelwood v Webber -

In my opinion, the principle in Rylands v

Fletcher has no application to the present case.

And then he goes on, at page 648, in the middle of

the page:

The ordinary employment of a competent plumber

to repair a water service, which almost

invariably involves turning the water supply

off and on, cannot be regarded as an extra-

hazardous or inherently dangerous operation

which, by its very nature, must be regarded,

as a matter of law, as involving special

danger of damage to others. If the operation

is conducted negligently, as in the present

case, damage may undoubtedly be brought about.

But the very statement of the principle

excludes liability where it is only negligence

in the manner of conducting the operation, as

distinct from the character of the operation

itself, which will cause or will probably

cause damage to others.

And we say this is the principle, the very statement of the principle excludes liability:

where it is only negligence in the manner of

conducting the operation, as distinct from the

character of the operation itself, which will

cause or will probably cause damage to others.

Thus the plaintiff is unable to bring the case within the rule relied upon and, as no other

principle can apply to justify a finding of

negligence on the part of the defendant, it

must be held that there was no evidence of

negligence to go to the jury, and, therefore,

the decision of the learned trial judge was

right.

Burnie(2) 27 1/12/92

Now, from this case, frequently quoted is a

passage from Mr Justice Dixon at page 654, the

middle of the page, and he said:

If a trade or manufacture involves an

accumulation of water or the use of a volume
of flow bringing a new or increased risk of

its escape, the question will be, not whether

to instal and maintain a water service makes

the occupier liable under the rule of special

responsibility when he applies the water to an

industrial purpose, but whether the use by him

of the water obtained from it should be

considered as within the principle by which

that rule is qualified, namely, that "when the

use of the element or thing which the law

regards as a potential source of mischief is

an accepted incident of some ordinary purpose

to which the land is reasonably applied by the
occupier, the prima facie rule of absolute

responsibility for the consequences of its

escape must give way". In determining such a

question the advantage to the occupier who

succeeds in the harmless use of an agency such

as a large quantity of water which is a

potential source of mischief, and the

frequency of its use by other occupiers, are not the only considerations. "The degree of hazard to others involved in its use, the

extensiveness of the damage it is likely to do

and the difficulty of actually controlling it

are even more important factors": Hazelwood v

Webber. Time, place and circumstance, not

excluding purpose, are of course most material
considerations.

That is the expression which is frequently quoted,

but we would point out that here Mr Justice Dixon

goes on, in the very next paragraph, and considers

the question of whether there can be liability for

the negligence of an independent contractor when

that negligence relates to realty. He says that:
As the plumber was an independent

contractor the defendant cannot, in my
opinion, be held vicariously responsible for

his negligent act.

But it is quite clear that Mr Justice Dixon as he

then was was not taking into account the negligence

of the plumber as part of the time, place and

circumstances which he regarded as material

considerations; in referring to those he was referring to the more general situation, the ordinary use by a reasonable man in all the

circumstances. In other words, whether it was a

Burnie(2) 28 1/12/92

natural or non-natural use, treating the negligence

as irrelevant to that consideration.

The approach which we say is contained there

is further supported by the decision of this Court

in Wise Bros v Commissioner for Railways,

(1947) 75 CLR 59. This is again Narrandera and

Wise Bros was the occupant of a flour mill at

Narrandera, and they were manufacturing sheep fodder, sheep nuts, to feed sheep. The premises

adjoined the railway. There was a store for the

flour, a flour mill and a factory in which the

sheep nuts were manufactured. The mill was

operated by electric power but the nuts had to be
cooked by means of steam, and the steam was

produced by a portable boiler and fire box standing

outside the sheep nut building. In circumstances

that were not determined the fire escaped from

those premises. It is significant, and it appears

at page 66, in the judgment of Chief Justice Latham

half-way down, the evidence was excluded and he

said:

There was some evidence that

fire-extinguishers were, or had been,

somewhere on the premises, but that they could

not be found on the occasion of the fire.

There was evidence that there was no fire

hydrant, available hose, or sprinkler system

in the buildings.

The plaintiff called Mr C.A. Milledge as

an expert witness for the purpose of showing

what precautions should have been taken

against fire in a flour mill. The learned

trial judge rejected his evidence on the

ground that he was not qualified as an expert.

Mr Milledge was a District Officer in the New

South Wales Fire Brigade organization. He had
twenty-five years' experience in fire

brigades. His duties consisted in making

building inspections. He had inspected many
flour mills and had acquainted himself with

literature relating to fire risks attached to

flour mills. He had had an extensive
experience of many kinds of fires. The

learned judge held that the witness was not

qualified to give expert evidence and rejected

his evidence.

It was here held by the Court that the use of the flour mill was not a natural user, but the action was sent back for retrial on the question of

negligence because of the failure to call

Mr Milledge.

Burnie(2) 29 1/12/92

Now, what we say about that is that if the

conduct of the mill in the particular circumstances

were relevant to the issue of Rylands v Fletcher, the cause of action in Rylands v Fletcher had to also be sent back for retrial. But the Court did

not regard the neglect in the running of this flour

mill at Narrandera as being relevant to the issue

as to whether it was a natural or non-natural use.

The case which I will not take the Court to is

the Eastern Asia Navigation Co Ltd v Freemantle

Harbour Trust Commissioners, (1951) 83 CLR 353.

That was the case where in the Freemantle Harbour

there was diesel oil on the water and a fire

occurred, and it was held to be a non-natural user.

We merely make the comment in relation to that that

there is nothing in that case which is in any way

inconsistent with our submission. Of course, there

were doubts in that case as to where the diesel

came from and as to whether the harbour trust was

responsible for its presence there.

We would therefore pass to Benning v Wong,

(1969) 122 CLR 249, solely to refer to a passage in

the judgment of Mr Justice Windeyer which the text

writers have described as "the modern exposition of

Rylands v Fletcher". In a long discussion of

Rylands v Fletcher we refer at page 301 to one part

of it, and that is the paragraph at the bottom of
the page where Mr Justice Windeyer said:

Finally it becomes necessary to consider

the "condition" - as in Read v J. Lyons & Co.
Ltd, Viscount Simon called it - a a "non-

natural use" of the land. I shall not try

here to see a clear view through the clouds of

ambiguities and uncertainties of that phrase.

The suggested substitutes of an

"extraordinary", "unusual", "abnormal",

"exceptional" or in the United States "ultra

hazardous" use seem to me to make confusion

worse. I shall not go through cases which may

be found collected in recent editions of

Salmond on Torts and Winfield on Tort and

other textbooks. Some of them seem to me to

make a natural or non-natural use of land

depend not on any certain objective criteria,

but on whether it is a use of such a character
that the defendant ought, in the opinion of
the court determining the particular case, to

take the risk of having a dangerous thing

where it was. The remarks of Viscount Simon

in Read v J. Lyons & Co. Ltd, and the

discussions by Professor Newark in his article

in the Modern Law Review ..... and by Dr Stallybrass in the Cambridge Law

Journal ... .. seem to me inconclusive.

Burnie(2) 30 1/12/92
He then goes on to Rickards v Lothian. We

just draw the Court's attention to that but we say

that Mr Justice Windeyer is there and in relation

to the non-natural use doing no more than lamenting

the absence of any objective criteria for

determining that. The decision of Rickards v

Lothian, which was regarded as the decision of the

Privy Council on appeal from an incident that

occurred in Melbourne, Rickards v Lothian is (1913)

AC 263 and that is where water from a lavatory

basin on the top floor of premises in Melbourne

overflowed and damaged property on the second

floor, the tap having been left on and the outlet

pipe having been plugged and found by the jury that

this was done by some stranger, a malicious act,

the plugging. In the circumstances, it was held that the use of water was an ordinary proper use

and therefore a natural use, but we refer to page

281 to 282 in the speech of Lord Moulton. At the

bottom of page 281:

Their Lordships are in entire sympathy

with these views. The provision of a proper

supply of water to the various parts of a

house is not only reasonable, but has become,

in accordance with modern sanitary views, an

almost necessary feature of town life. It is

recognized as being so desirable in the

interests of the community that in some form

or other it is usually made obligatory in

civilized countries. Such a supply cannot be

installed without causing some concurrent

danger of leakage or overflow. It would be

unreasonable for the law to regard those who

instal or maintain such a system of supply as doing so at their own peril, with an absolute

liability for any damage resulting from its

presence even when there has been no

negligence. It would be still more

unreasonable, if, as the respondent contends,

such liability were to be held to extend to

the consequences of malicious acts on the part

of third persons. In such matters as the

domestic supply of water or gas it is

essential that the mode of supply should be

such as to permit ready access for the purpose

of use, and hence it is impossible to guard

against wilful mischief. Taps may be turned

on, ball-cocks fastened open, supply pipes

cut, and waste-pipes blocked. Against such

acts no precaution can prevail. It would be

wholly unreasonable to hold an occupier

responsible for the consequences of such acts

which he is powerless to prevent, when the

provision of the supply is not only a

reasonable act on his part but probably a

duty. Such a doctrine would, for example,
Burnie(2) 31 1/12/92

make a householder liable for the consequences

of an explosion caused by a burglar breaking

into his house during the night and leaving a

gas tap open. There is, in their Lordships'

opinion, no support either in reason or

authority for any such view of the liability

of a landlord or occupier. In having on his

premises such means of supply he is only using

those premises in an ordinary and proper

manner, and, although he is bound to exercise

all reasonable care, he is not responsible for

damage not due to his own default, whether

that damage be caused by inevitable accident

or the wrongful acts of third persons.

We submit that, quite clearly, there

His Lordship is not determining natural use by

reference to the incidence associated with the

actual escape of water on the particular occasion.

He is saying you look at generally the use of water

in the premises and if it is a natural use, you

have got to accept that if there was going to be

liability, it must be because there is fault.

This is the last authority I will refer the

Court to, and merely tell it of the decision of

British Celanese v Hunt reported in (1969) l WLR

959, and that was a decision of Mr Justice Lawton,

and that is where the defendants carried on the

manufacture of electrical components but metal foil

strips were blown from the defendant's factory and

came into contact with an electrical sub station on

the estate causing a power failure which caused the

plaintiff's machines to halt. Now, this escape of

metal foil strips was clearly a negligent act and

the question is as to how you characterize their

activity and Mr Justice Lawton, at page 963, said

in relation to that, and this is the paragraph at

the bottom of the page:

I turn now to examine the relevant

averments in the re-amended statement of
claim. The defendants are alleged to occupy
premises on a trading estate. Such estates
are planned and laid out for the purposes of
accommodating manufacturers. The defendants
are manufacturers. It follows that they are
using this site for the very purpose for which
sites were made available on the estate. The
use of the site for manufacturing would be an
ordinary one: the use of the site for any
other purpose would be unusual. Does the
particular kind of manufacturing which is done
in the defendants' factory constitute, in Lord

Moulton's words, "some special use bringing with it increased danger to others"? The manufacturing of electrical and electronic

Burnie(2) 32 1/12/92

components in 1964, which is the material

date, cannot be adjudged to be a special use

nor can the bringing and storing on the

premises of metal foil be a special use in

itself. The way the metal foil was stored may

have been a negligent one; but the use of the

premises for storing such foil did not, by

itself, create special risks. The metal foil

was there for use in the manufacture of goods
of a common type which at all material times

were needed for the general benefit of the

community. It follows that the defendants'

first answer disposes of the plaintiffs'

contentions under this head.

And that is Rylands v Fletcher. And we say again,

that is the correct approach and consistent with

that laid down by this Court.

Now, we submit that to determine whether a use

is a non-natural use by reference to the particular
circumstance in which the use is made of the land,
rather than by reference to the character of the
use, produces possible consequences and the first

of those is to make occupiers strictly liable where

there is an absence of fault on their part. As

His Honour Mr Justice Dawson and Mr Justice Wilson

said in Stevens v Brodribb, the direction taken in

this Court has also been away from strict liability

for tortious behaviour.

We say again, the second possible consequence

is to make occupiers liable for collateral acts of

independent contractors. And that is what has

happened here, and we say such a result is

inconsistent with the principles laid down by

Chief Justice Jordan in Torette House Pty Ltd v

Berkman and approved by this Court in Stoneman v

Lyons.

We say further that the approach of the Full Court in Tasmania makes the cause of action in

Rylands v Fletcher substantially coterminous with

the cause of action in negligence except that

liability in Rylands v Fletcher is to be determined

by some vague concept of the use being dangerous or

hazardous or having potential mischief or potential danger, or some such expression like that. It is a concept which in our submission, is uncontrolled by
concepts of foreseeability of harm and the
existence of a relationship of proximity such as in

negligence, where the concept is under strict

control.

And we say that that causes confusion and

misunderstanding of the law and leads to wrong

results, and that Rylands v Fletcher should be

Burnie(2) 33 1/12/92

confined and it should not be seen as co-extensive

with the remedy of negligence which has become so

clearly defined within the law and which is

understood.

We say, fourthly, that the strange situation

here is that if this decision is correct, General

Jones can recover for the peas that were boiled and

vegetables which were boiled in the building which

they occupied. If a truck had pulled up on the

tarmac outside and, because the door was not open

he could not go in, he would have been standing on

the Port Authority's land, there was no finding of

negligence against the Port Authority, and there

was no escape from the Port Authority's land so he
would have no cause of action under Rylands v

Fletcher, and the anomaly would be that no recovery

could be made for damages for the vegetables or

whatever it was in that vehicle. We say, in the

circumstances, that the basis of this decision is

an unsatisfactory one.

I mentioned that I would refer to Read v

Lyons, (1945) KB 206. This is before the Court of

Appeal - and I particularly wanted to refer to the

passage of Lord Justice Scott, who did go into the
question of natural or non-natural use, the House
of Lords not finding that necessary because there

was no escape, but on this matter

Lord Justice Scott, at page 238, about the middle

of the page or just above it, said:

MASON CJ: What is this in? What is the citation?

MR BARNARD: It is (1945) 1 KB 216 at 238.

MASON CJ:  We do not appear to have that.
MR BARNARD:  It has been supplied to the Court. I
apologize. I handed some to the tipstaff but not
all.
MASON CJ:  Thank you.

MR BARNARD: This was, as the Court will remember, the

munitions factory and, on page 238, Lord Justice

Scott said, just above the middle of the page:

Mr Paull's argument was so well put, and

is so far-reaching, that I have felt bound to

give it a full investigation, perhaps too

full. But for the reasons I have just given I

am satisfied that the principle of Rylands v

Fletcher is limited, as the Solicitor-General and Mr Valentine Homes both contended, to the case where the escaping water passes from the defendant's land on to the plaintiff's land

Burnie(2) 34 1/12/92

and there does damage. That escape from his

control is a purely neutral fact, except

evidentially as a link in the chain between

first cause and last effect. It is not a

feature of the defendant's conduct which, of

itself, attracts any legal liability to the

plaintiff. The vital feature in Rylands v

Fletcher which gave the plaintiff his cause of
action was the defendant's interference with
the plaintiff's right to enjoy his land

without interference by the defendant. It was

just that, and nothing else, which

distinguishes the case from Smith v Kenrick,
and brought it into line with Baird v
Williamson. That characteristic of itself

rendered it unnecessary in law to allege and

prove negligence. The same observation

defined in Rylands v Fletcher so as to embrace a case like the present on grounds of public policy in my opinion would be beyond the power of judges. It is matter for Parliament if it

applies to the action of conversion or trover.

is thought desirable. The law is too clearly

limited to-day for such judicial legislation.

I respectfully agree with the dictum of

Lindley LJ in Green v Chelsea Waterworks Co
Ld, quoted by Lord Wright in North Western
Utilities, Ld v London Guarantee and Accident

Co: "That case is not to be extended beyond

the legitimate principle on which the House of

Lords decided it. If it were extended as far

as strict logic might require, it would be a

very oppressive decision."

And it is on this basis we submit this Court should

find that the use made was a natural use and that

the decision of Mr Justice Neasey was correct.

BRENNAN J: Is there any requirement that the liability in

Rylands v Fletcher is limited to damage done by the

agency which is introduced on to the land of the
defendant? I mean, in some cases obviously fire is

introduced, fire escapes. Here there is no fire introduced, in a relevant sense, as I understand

your argument; it is welding next to the isolite

that we have to consider.

MR BARNARD:  I suppose, in a sense, fire is introduced in

that you bring welding equipment on to the land,

but it is not the welding equipment and the fire of

itself which causes it, it is negligent conduct in

relation to it, namely, putting a flammable

material where you are carrying out welding.

BRENNAN J:  Is there any case where the defendant has been

held liable, on a Rylands v Fletcher basis, for

Burnie(2) 35 1/12/92

escape of fire where the defendant has not

introduced the fire in the sense of deliberately

lighting it?

MR BARNARD: That could not be so. It has to be introduced

by the defendant or his servants or agents or,

alternatively, by his contractor if the contractor

is doing the act that he had contracted to perform.

So one, with respect, could not find such a case.

I was coming to that question of contractors and

introduction now.

So we say that, nextly, that if the escape of

fire did result from a non-natural use of the

premises the acts constituting such use were acts

of an independent contractor which were collateral
to the work it was employed to perform, and the

appellant cannot be held liable for them under the

rule in Rylands v Fletcher. Now, I seek to draw

attention, and I do not take the Court to it, but

Fleming in The Law of Torts, seventh edition, at

page 320 under the heading "Act of Stranger", and

whilst discussing Rylands v Fletcher suggest: the occupier is liable not only for the

defaults of his servants acting in the course

of employment but also of independent
contractors engaged to perform work on his

behalf -

and he puts it as generally as that and, again, at

page 308, Fleming, in the seventh edition, says: the employer of an independent contractor

might in some circumstances become liable for

a nuisance created in the course of the job.

Now, in the first passage he cites Rylands

v Fletcher and also Schubert v Sterling Trusts, a

Canadian case, to support his proposition. But we

say Rylands v Fletcher in the Exchequer Chamber -

there the Court will recollect that - and in the

on the part of the engineers who had designed and

Excheque Chamber is reported in (1866) LR 1

constructed the reservoir and, of course, their

negligence was in failing to, in the course of

constructing and excavating, find the five old

shafts which met with the shafts on the plaintiff's

land and which, ultimately, led to the flooding of

the coal workings. Regardless of the fact that

there was negligence on the part of these

independent contractors, we say what the Exchequer

Chamber was concerned with was merely that the

defendant had brought this reservoir on to his

land, and what Blackburn said on page 287 at the

conclusion of his judgment was:

Burnie(2) 36 1/12/92

The view which we take of the first point renders it unnecessary to consider whether the

defendants would or would not be responsible

for the want of care and skill in the persons

employed by them, under the circumstances

stated in the case.

But the court said that bringing this dangerous thing on to your land puts you at risk, made you strictly liable, and it did not matter that it was

somebody else's negligence that led to the escape

of it; you brought it on your land and you are

strictly liable by reason of that. And we say that

that is not authority for the proposition that is

cited; that the occupier is liable for not only the

defaults of his servants or agents, but also of

independent contractors engaged to perform work on

his behalf.

Now, Schubert v Sterling Trusts, (1943) 4 DLR

584, and there the defendant - and the very facts

speak for themselves - had employed a licensed

fumigator to fumigate his apartment house and, as

is well known, it said that the evidence
demonstrated that the gas in question is a most
deadly character to all living things and is of a
very penetrating nature and the work of the

licensed fumigator was negligent and the gas

escaped into neighbouring apartments and, needless

to say, this was a Wrongs Act claim. And we would

have thought that those very facts alone indicate
that Rylands v Fletcher would apply, regardless of

whether it was done with negligence or not, but

there would be strict liability if you brought

cyanide gas on to your premises. In fact, at

page 589, Mr Justice Hogg said, in the first full

paragraph:

The question whether the Harris Company

is to be regarded as an independent contractor

or not, does not seem to be material to the

issue for where the work to be done is

inherently dangerous the employer cannot

delegate to another, whether servant or

contractor, the duty to take precautions and

thus escape liability for the failure to

discharge such duty.

So, again, we would submit that that does not

support the proposition.

In respect of the latter proposition on page 308 of Professor Fleming's seventh edition, he

cites Bower v Peate, and I think I need not go to

Bower v Peate, because that decision has been

discussed in this Court in Stoneman v Lyons and

Stevens v Brodribb. And, of course, the Court will

Burnie(2) 37 1/12/92

recollect that Bower v Peate was where the

contractor had contracted to put in foundations at

a depth deeper than the premises next door and he

was doing the very thing that he was employed to do

and he failed to underpin the house next door, but

his employer, the defendant, had employed him to

excavate down below the foundations of the house

next door.

Of these cases, and we say the case of Mcinnes

v Wardle - and Mcinnes v Wardle was the fire case,

(1931) 45 CLR 548, where the man was sent out with

meat to cook for his meal and he was told to cook

it in the fireplace in a hut, and instead of

cooking it in the fireplace in the hut, he cooked

it elsewhere and that started a fire and his

employer was held liable in Rylands v Fletcher,

because he was doing what he was employed to do, he

had to cook his meat, and we say that case, that

Black v Christchurch Finance Co, Bugge v Brown,

(1919) 26 CLR 110, which again is a fire case of -

no, I am sorry, it is Bugge v Brown where the

servant was supplied with raw meat and told to cook

his meal. And again, Balfour v Barty-King, (1957)

1 QB 496, which was the case where the blow torch

was used by the independent contractor plumber to

unfreeze the pipe. But all of those fall within

the same category and all those cases, the

principal knew the contractor proposed to carry out

an operation which involved a non-natural use of

land and he did nothing to eliminate the danger,

and we say that those cases are adequately
discussed and dealt with in Stoneman v Lyons,
(1975) 133 CLR 550, and particularly we refer to

Your Honour Mr Justice Mason's judgment at pages

575 to 576, and also to Mr Justice Stephen at pages

565 to 566. But going to Your Honour the Chief

Justice's judgment, Your Honour said at the bottom

of page 575:

The respondents pointed to cases in which

a landowner has been held to be subject to a
duty of care. However, they are cases of
escape of fire (Black v Christchurch Finance
Co Ltd; Mcinnes v Wardle) or cases in which
the defendant infringed the plaintiff's rights
by interfering with his right of support
(Bower v Peate; Dalton v Angus & Co) or by
interfering within a party wall (Hughes v
Percival). In each case it may be seen that
the defendant was in breach of a duty which he
owned to the plaintiff.

higher duty than that imposed by the ordinary

It is true that in Bower v Peate,

Chief Justice Cockburn went further and said

that a person who orders the execution of a

Burnie(2) 38 1/12/92

work "from which, in the natural course of

things, injurious consequences to his

neighbour must be expected to arise, unless

means are adopted by which such consequences

may be prevented" is responsible for the

damage caused. For the reasons which I have

already given this statement is too wide.

The principle that in the case of

dangerous operations there is a special
responsibility to take care does not exclude

the liability of a person who engages an

independent contractor to undertake an

operation which is inherently dangerous and

which injures a third party. But to make the

principal liable it must appear that he

himself was guilty of some negligent act or
omission or that he authorized some negligent
act or omission by the contractor in executing

the operations which the latter was employed

to carry out. This it may appear that the

principal is liable because he has failed to

take care to engage a competent contractor or

because, having knowledge that the contractor
proposed to executed the work in an unsafe

manner, he did nothing to eliminate the

danger.

We say that that covers all these cases, and we say
the principle again is supported by the judgments

of Justices Dawson and Wilson in Stevens v

Brodribb, (1986) 160 CLR 16.

I will pause there and say that Black v

Christchurch Finance Co seems to be quoted

everywhere, and that was the case where the man was

employed to cut and burn off bush, and to burn it

off in a favourable time in February next. We

wonder about this case and the suggestion from the

House of Lords, they said at page 56:

In the present case the clearing of the land

was authorised by a contract for felling and burning. It no doubt contained a stipulation
that an interval should elapse between the two
operations, presumably in order that the bush
cut should be thoroughly dried so that the

burning should be as complete as possible. It is not easy to say why "about February" should

have been specified as the time of burning,
for there is some evidence that the cocksfoot
harvest which would be endangered is usually
going on throughout that month.

It seems to have been tired in the supreme court in

Christchurch, and presumably - the case does not disclose it - the burning off occurred somewhere

Burnie(2) 1/12/92
near Christchurch. The man cut in November and

burnt off in December, and it appears that the

cocksfoot crop harvest would have been still around

in December so that the danger was there. One

cannot understand why it would matter that he burnt

off in late December rather than February when one

would have thought in the Christchurch area - it is

the same sort of climate as Tasmania - that the

fire risk would have been even greater at that time

than burning off in December. If one reads the

judgment, it really seems that he was employed to

burn it off in summer and, in fact, he did it at a

better time than doing it in February when one

would have expected the conditions to be worse;

and the cocksfoot, which was still endangered, one

would have expected to be drier. So accordingly,

we say of that case it is certainly covered by the

comments of Your Honour the Chief Justice in

Stoneman v Lyons.

Now, the fact, in our submission, that the

employment of an independent contractor relates to

welding is not to impose on the occupier who is his

principal, responsibility for acts of negligence.

We refer particularly to the judgment of

Mr Justice Dixon who considered the question when

you employ a contractor in relation to realty,

whether that places it in any different

proposition. Mr Justice Dixon referred to that in

Torette House v Berkman, (1940) 62 CLR 637,

particularly at pages 655 and 656. His Honour in

the middle of the page there said:

As the plumber was an independent

contractor the defendant cannot, in my
opinion, be held vicariously responsible for

his negligent act. It may be conceded or

assumed that the stopcock and the box

containing it are in the legal, control and

ownership of the defendant. But the case

cannot be treated as one where an occupier

allows an independent contractor so to use or
deal with his premises that they become a
source of harm to his neighbour. The plumber
was employed to do some work at the fittings
of the shop further down the street which had
been let to a new tenant. Other questions might have arisen if through his negligent
plumbing water had escaped from that shop.
His negligent act did not affect the condition
of the premises to which he had been admitted.
It was done in preparation for and in the
course of the work he had been commissioned to
do, but it is now well established that the
circumstance that the employment of an
independent contractor relates to fixed
property is not enough to impose upon the
Burnie(2) 40 1/12/92

occupier who is his principal responsibility

for acts of negligence in the course of his

work. None of the recognized grounds upon

which the principal may be held liable for a

contractor's negligence appears to me to

extend to the present case. Indeed, it is

enough to say that the question is covered by

the judgment of Wright Jin Blake v Woolf,

which has the approval of the Privy Council

(Rickards v Lothian).

We would comment that Blake v Woolf was a claim in

Rylands v Fletcher too.

MASON CJ:  Why does not the case fall within the third

sentence in that paragraph?

MR BARNARD:  I am sorry, why does?
MASON CJ:  Why does not the case fall within the third

sentence in the paragraph; that is:

a case where an occupier allows an independent

contractor so to use or deal with his premises

that they become a source of harm to his

neighbour -

ie, allows the independent contractor to bring fire on to the premises whereby, in association with the stored isolite, they become a source of danger to a

neighbour.

MR BARNARD: Well, Your Honour assumes that "allows it to

come on to the premises in relation to or next to

stored isolites", but that is not the factual

situation here. All the contract is to do is to

put in the piping and put in the refrigeration

equipment, and it is not something that the

principals approved or authorized, and that is what

we say Their Honours are referring to here.

DAWSON J:  Who stored the isolite there, Mr Barnard?
MR BARNARD:  The evidence is the isolite was purchased by

Wildridge and Sinclair and what they used it for

was, as they put the pipes in place and welded the

pipes, it was in blocks which half fitted on each

side of the pipe and they were cemented

together - - -

DAWSON J: Well, it was brought there by the independent

contractor?

MR BARNARD:  It was brought there by the independent

contractor and it is true to say that - and as

Mr Justice Neasey found - one of the Board's

engineers saw it being lifted up into the roof,

Burnie(2) 41 1/12/92

when it all had to be used in the roof, and saw the

boxes being thrown aside as it was lifted up but

did not see them stacked and was not aware where

they were stacked on the relevant day. The

independent contractor had to use that sort of

covering for the pipes to insulate them and, of

course, the problem is that it was the cardboard

boxes that were the accelerant which enabled the

isolite to be set alight because as heat hits

expanded polystyrene it melts and shrinks away from

it and it does not light, unless there is great

heat, but the cardboard boxes provided an

accelerant which enabled, as His Honour found, the

isolite to become alight.

So it is our submission here that where an

occupier employs an independent contractor to

perform an operation which is not hazardous, the

operation, when it is skilfully and properly

performed, does not constitute a natural use of the
property, the occupier is not liable for the

collateral action in negligence of the contractor.

And we say that the welding in the Port Authority's

yards, constructing a building in a Port

Authority's yards, constructing a cool store, is a

natural use, it is an ordinary every day use of the

premises.

Here, as Mr Justice Cox points out at

page 2370 line 40:

it was not argued that the negligence of the

contractor was other than purely collateral.

That is from Mr Justice Cox's judgment. That is at

page 2370, line 40.

We come to the third matter. The common law

as to fire is stated in Beaulieu v Fingiam that the

occupier of a house or land is liable for the

escape of fire which is due to the negligence, not

only to his servants but also of his independent

contractors and his guests, we say has been

absorbed in the principle of Rylands v Fletcher and

the strict liability of the common law is subject

to the qualification of and exceptions to that

principle. I start at the end and historically and

chronologically refer to Hargrave v Goldman, (1963)

110 CLR 40 and particularly at page 58 where

Justice Windeyer at the bottom of the page said:

And that, according to the finding of the

learned trial judge was what happened here.

But putting the statute aside does not mean

that we are thrown back to the rigorous rule

of the mediaeval common law. This Court - - -

Burnie(2) 42 1/12/92

McHUGH J: But Mr Barnard, why are you dealing with this

matter? It does not concern you, does it? This is

a matter raised in the notice of contention.

MR BARNARD:  That is so, Your Honour. I was raising it -

McHUGH J: Are you splitting your case, are you?

MR BARNARD:  No, I am not. Mr Justice Brennan raised this

and the fact is there is a very long line of

authority that we have not put in our argument but

Justice Windeyer has said there that the principle

of Rylands and the strict liability to common law

is subject to its qualifications.

MASON CJ:  Mr Barnard, the point taken by Justice McHugh is

correct, it is in response to the notice of

contention. I think it is better if we follow the

usual procedure.

MR BARNARD:  I am happy with that, Your Honour.
MASON CJ:  It will provide a break. We hear what Mr McAlary

has to say at this stage.

MR BARNARD:  I am not anxious to be provoked into spending
more time than need be. I leave the other matters,

then, that are also raised in the notice of
contention that we referred to. If the Court

pleases.

MR McALARY:  Your Honours, I would hand up copies of our

submissions.

MASON CJ: Yes, thank you.

MR McALARY:  Your Honours, may I start by saying a word or

two about the history of the relationship between

the original common law rule in connection with

fire and Rylands v Fletcher and I will need, of

course, to come back to it in due course.

That history really starts with a decision reported in the year books, Beaulieu v Finglam,

(1401) Year Book 2 Henry IV Folio 18.

MASON CJ: Before you take us back into the prehistoric

past, perhaps we might read your outline of

submission.

MR McALARY:  I was going to say I do not ever follow my
outlines of submissions. When I am for the

respondent, I tend to listen to the argument and

then try to reply in a way which will accommodate,

but - - -

Burnie(2) 43 1/12/92

MASON CJ: 

You are suggesting that we would be wasting our time reading it?

MR McALARY: 

I am never sure whether they have any value or not. But Your Honours, let me go to the outline of

submissions quickly. What I have sought to do was
to try and provide in section A of the outlines of
submissions, a summary of what appeared to be the
relevant facts contained in some 12 volumes of
material.  What I set out was that the Burnie Port

Authority owned the complex, that it was in the course of construction of an extension and that it

had licensed the respondent rooms 1, 2 and 3 for
the storage of refrigerated vegetables.

Perhaps the important thing, Your Honour, are

paragraphs 3, 4 and 5 which deal with the

characteristics of isolite. It is an expanded

polystyrene, highly flammable. In layman's terms

it is twice as flammable as soft wood. It burns in

a similar fashion to a solid fuel and has a high

calorific value, about 95% of crude oil. Once
alight it burns fiercely as a geometrical

progression, that is, 2, 4, 6, .... Not an AP, but

GP. During manufacture a retardant is inserted but

that has the effect of inhibiting c.ommencement of

burning, but no effect once the ignition starts.

It will only ignite if there is a flame applied to

the substance. Such a flame can be provided by

burning cardboard or wood or clothing or matters of

that character.

Your Honours, the next features of the facts

are relevant to the question of whether the notice
of contention, that is the issue of negligence, and

I would leave those until I come to that issue,

Your Honours.

After that I set out at page 3 the four

relevant relationships between the parties. The

one in nuisance is not pressed, so we are concerned

with the relationships consisting of the original

common law principle, ignis suus, the

Rylands v Fletcher liability principle and

negligence, and negligence perhaps in the extended

form referred to by Your Honour in Kondis.

So far as the ignis suus principle is

concerned, might I just start with that. It is

towards the back of the submission, Your Honour.

I think it is about page 9 or 10, at the bottom of

9, and what I was seeking to say there,

Your Honours, was that - and this is a short

examination of the history - that the original form

of the principle was that a person was responsible

for the escape from his house or subsequently his

clothes, of any fire which could be described as

Burnie(2) 44 1/12/92

his fire; the words ignis suus, of course, meaning

"his fire", and the issue was whether or not there

had been an escape of a fire which could be

characterized as his. If it could, liability

attached.

My own view was that it was irrelevant whether

there was negligence or not at that point of time.

But in deference to what is written in the judgment

of Mr Justice Zeeman in the appeal books, it is not

clear whether there was negligence or not required

in the original formulation.

In this Court in Bugge v Brown it was argued

that negligence was not necessary in the original

formulation, and may I just say, Your Honour, that

you can find Beaulieu v Finglam translated in

Fifoot's History and Sources of the Common Law. I

am fortunate enough to have a copy of that myself,

I do not know how I acquired it but I acquired it

somewhere, and I was therefore able at least to

read it. My latin is not that good.

But moving forward 300 years to 1698, by the

time Tuberville v Stamp was decided negligence was

clearly required, and if you look at Tuberville

v Stamp you will see that the term of the

allegation in the statement of claim was tarn

improvide et negligenter custodivit ignem suurn, so

clearly negligence was required thereafter, and

indeed that seems to have been the position

accepted in England. So that what one found was at

common law before Rylands v Fletcher, if the fire

which escaped from your premises could be fairly

described as your fire, ignis suus or ignis suurn if

you use the accusative case, then liability

attached to it. It was said in those cases that

liability attached if it was lit by the

householder, by his family, by his servants,

liability did not attach if it was the fire of a

stranger.

Now, when Rylands v Fletcher arrived in its initial form it was, I think, as Your Honours

observed this morning, the size of the water that
was the problem and which gave rise to the

liability, but in connection with fire there seems

to have been initially little doubt that the two,
that is the old ignis suus rule and the Rylands

v Fletcher rule, encompassed the same ambit with

one exception and that was the introduction of the

non-natural user requirement in Rylands v Fletcher.

So that if you looked at the fire rule as it stood

at common law before Rylands v Fletcher it was a

liability for the escape of a fire described as his

fire, that is other than strangers' fires, if

negligently lit. Rylands v Fletcher then came in

Burnie(2) 45 1/12/92

and added to that that the fire had to be the

result of a non-natural user. So you had those two

differentials in Rylands v Fletcher non-natural

user as an excuse, in the old rule negligence as a

requirement, but in both cases the fire would be

regarded as his fire if it was the fire of an

independent contractor.

Now, what I have been saying, Your Honours, is

largely taken from Balfour v Barty King, which is

the decision in England in 1957 where Lord Goddard

outlined the history of the fire rules. May I take

Your Honours to that? This was an independent contractor, Your Honours, who had been employed for

the purpose of defreezing certain pipes. He was
using a blow torch, which was common usage.

Now, without worrying about the particular

facts in the case, one may find at the bottom of
page 502, page 503, the outline of the history as

His Lordship puts it. May I go to that:

The earliest case on the subject which

the industry of counsel or our own researches

have discovered is Beaulieu v Finglam,

conveniently translated in Mr Fifoot's History

and Sources of the Common Law. It will be

noticed that the writ was founded upon a

common custom of the realm and alleges that

the defendant so negligently kept his fire

(ignem suum) that the goods and chattels of

the plaintiff were burnt. The court held that

a man shall answer to his neighbour for each

person who enters his house by his leave or

knowledge or is a guest -

so, that is the type of ambit -

if he does any act with a candle or aught else

whereby his neighbour's house is burnt. But,

said the court, if a man from outside my house

and against my will starts a fire in the
thatch of my house or elsewhere whereby my
house is burned and my neighbour's house is
burned as well, for this I shall not be held
bound, for this cannot be said to be done by
wrong on my part, but is against my will. The
next case to be found in the books is better
known, Turberville v Stamp. The declaration
alleged that, according to the law and custom
of England, every man is bound to keep his
fire safely and securely by day and by night
lest for want of due keeping any damage in any
manner happen, and then went on to allege that
the defendant so negligently and improvidently
kept his fire in a close of heath that for
want of the due keeping the plaintiff's heath
Burnie(2) 46 1/12/92

and furzes were burnt. In both these cases

the first part of the declaration appears to
assert an absolute duty to keep the fire safe,

but, by the latter words, to claim in

negligence. The court in Turberville's case,

after saying that a fire which a man makes in

his field is as much his fire as his fire in
his house, says that he must at his peril take
care that it does not, through his neglect,

injure his neighbour, but adds if he kindles

it at a proper time and place and the violence

of the wind carry it into his neighbour's

ground, this is fit to be given in evidence,
"but that here it is found to have been by his

negligence. "

So the act of God situation was another

excuse, though here it was not just an act of God

but negligence in failing to keep.

Sir William Holdsworth ..... thinks that by

the time this case was decided, 1698, lawyers

were beginning to think it was anomalous that

a man should be liable for fire damage not

caused by negligence, and that this was one of the reasons for the Act of 1707, 6 Anne, c 31,

which provided that no action should lie

against any person in whose house a fire

should accidentally begin. That was re-enacted, and I need not read

Your Honours that portion. May I just say, though,

that coming to the next page, 504, in the first

paragraph commencing on that page:

The precise meaning to be attached to "accidentally" has not been determined, but it

is clear from these last two cited cases that

where the fire is caused by negligence it is

not to be regarded as accidental.

Then they go to who is a stranger, a matter taken

up also by Lord Denning in Emanuel's case, and

clearly in Black v Christchurch Finance, the

independent contractor who had been employed was

not to be regarded as a stranger; he was treated as

a person for whose act the owner was responsible,

so that the fire remained the owner's fire.

However, if the act done by a person who is upon

the premises with your permission, independent

contractor, bailee, guest, is so far removed from

anything that might be expected of him that it

becomes a frolic of his own, to use a term taken

from the workers compensation law, then he would be

a stranger.

Burnie(2) 1/12/92

So, Your Honours, that really is all I need to say, I think, about Balfour v Barty-King.

May I

say that it is, of course, a case in the 1950s and

that it is probably the first modern re-affirmation

of ignis suus.

The other authority which bears on this issue

is the decision in England in Emanuel v Greater

London Council, (1971) 2 All ER 835, a decision of

the Court of Appeal, Lord Denning, Master of the
Rolls, Lord Edmund Davies and Lord Phillimore.

What occurred there, Your Honours, was that certain land consisting of two pre-fabricated bungalows was

owned by the Greater London Council. They wanted
the bungalows removed. They arranged to have the
housing ministry do that. The housing ministry
employed an independent contractor. He burnt upon

the land, the fire escaped, and it burnt the land

of the plaintiffs. Held, at page 835:

Held - An occupier was liable for the escape

of fire caused by the negligence not only of
his servant, but also of his independent

contractor and anyone else who was on his land

with his leave and licence; the only occasion
when the occupier would not be liable for

negligence was when the negligence was the
negligence of a stranger, although (per

Lord Denning MR) for this purpose a "stranger" would include a person on the land with the

occupier's permission who, in lighting a fire

or allowing it to escape, acted contrary to

anything which the occupier could anticipate

that he would do; in the present case the

council were "occupiers" ..... K's men were not

"strangers" because, although they were

forbidden to burn rubbish, it was their

regular practice to do so; the

council ..... were liable for the negligence.

Now, turning to the question which deals with

the history, one can pick it up at page 838e: But the occupier is not liable for the

escape of fire which is not due to the

negligence of anyone.

This is the ignis suus rule.

Sir John Holt himself said in Tuberville v

Stampe that if a man is properly burning up

weeds or stubble and, owing to an unforeseen

wind-storm, without negligence, the fire is

carried into his neighbour's ground, he is not

liable. Again, if a haystack is properly

built at a safe distance, and yet bursts into

flames by spontaneous combustion, without

Burnie(2) 48 1/12/92

negligence, the occupier is not liable. This

is to be inferred from Vaughan v Menlove. So

also if a fire starts without negligence owing

to an unknown defect in the electric wiring:

Collingwood v Home and Colonial Stores, or a

spark leaps out of the fireplace without

negligence: Sochacki v Sas. All those cases

are covered, if not by the common law, at any

rate by the Fire Prevention (Metropolis)

Act 1774 ..... But that Act does not cover a

fire which begins or is spread by negligence.

I need not refer you to the cases. They are clear.

Nevertheless, as I have said earlier, the occupier is not liable if the outbreak of fire is due to the negligence of a "stranger". But

who is a "stranger" for this purpose? In

Beaulieu v Finglam Markham J put this case:

"If a man from outside my household

against my will sets fire to the thatch of my

house or does otherwise per quod my house is

burned and also the houses of my neighbours, I

shall not be held to answer to them, because

this cannot be said to be ill on my part, but

against my will."

In Tuberville v Stampe, Sir John Holt CJ said:

" ... if a stranger set dire to my house,

and it burns my neighbour's house, no action

will lie against me ... "

Who then is a stranger? I think a "stranger"

is anyone who in lighting a fire or allowing

it to escape acts contrary to anything which

the occupier could anticipate that he would do

so: such as the person in Rickards v Lothian.

Your Honours will remember that what happened in

Rickards v Lothian was that in Melbourne, a water

pipe, I think in the bathroom, was plugged by a

malicious stranger and that led to the overflow of

water. So the person who plugged the pipe is
treated as a "stranger". And I will read on:

Even if it is a man whom you have allowed or

invited into your house, nevertheless, if his

conduct in lighting a fire is so alien to your

invitation that he should qua the fire be

regarded as a trespasser, he is a 'stranger'.

Such as the man in Scrutton LJ's well-known

illustration:

Burnie(2) 49 1/12/92

'When you invite a person into your house to

use the staircase you do not invite him to

slide down the bannisters ... '

which was quoted by Lord Atkin in Hillen and

Pettigrew v ICI (Alkali) Ltd. It seems to me that the New Zealand case of Erikson v Clifton falls within this category.

May I pause - I do not wish to take Your Honours to

it, but it is a good example because the defendant

had invited an independent contractor to provide a

quote for certain clearing work upon her land. The

independent contractor delivered the quote. There

was to be some burning, but it was not to take

place for some months. The independent contractor

simply there and then, and without warning, and

contrary to all instructions, proceeded to set part

of it alight. He was treated as a stranger for the

purpose of that piece of litigation. And then,
reading on: 

The schoolmistress could not possibly have any idea that the man who came to look at the

garden would light a fire. It was alien to
anything which she permitted him to do. He
was in that respect a 'stranger'.

His Honour states the law, as he sees it, at the

bottom of the next paragraph e, and I adopt it:

The occupier is liable for the escape of fire

which is due to the negligence of anyone other

than a stranger.

Now, with respect, we say that is the principle at common law, and it is the one which we submit in

support of the notice of contention, and we adopt

that.

Your Honours, can I come back to that material

in due course and, indeed, I want to say something

about the suggestion that this cause of action has

been subsumed in Rylands v Fletcher, but it would

fit more easily into the thrust of my submissions

if I was to take Your Honours to Rylands v Fletcher

itself initially.

Your Honour, may I make these points about

Rylands v Fletcher which I wish to develop, and

they are set out in some detail at page 6 of my

submissions. Now, the first point, Your Honours,

is that really the only issue that was raised in

relation to the Rylands v Fletcher cause of action

was in relation to natural or non-natural user,

otherwise the criteria were fulfilled and there was

no issue about that. So, we are turning to

Burnie(2) 50 1/12/92

consider the question of natural and non-natural

user.

Now, Your Honour, in connection with those

there are certain points that are worth making

before one goes to the cases. The first of those

points is that non-natural user is an issue of law;

it is an issue for the Court. That has been laid

down in Hazelwood v Webber. Hazelwood v Webber has

been followed on that point on a number of

occasions; I do not understand it ever to have been

in dispute. So it starts off as an issue of law.

But there are issues of fact to be decided before the issue of law can be decided; one needs to know

the issues of fact, so the issues of fact are an

issue for the jury. The issues of fact having been

determined, the issue of law then arises for the

court to decide whether the user is natural or non-

natural.

In my submission, this issue of natural or

non-natural user, in this cause of action, operates

in exactly the same way as the proximity issue

arises and operates in the cause of action in

negligence. We would say, with respect, that it is

the controlling mechanism under which the law

allows particular situations to come within or to

drop out of, that is to expand or contract, the

areas of strict liability.

Now that, with respect to Your Honours, is the

way we say the issue of natural or non-natural user

operates. The question of whether the user is a

natural or non-natural user, is determined by

several cases of significance and importance. The

first of them, of course, is the decision of the

Law Lords in Rickards v Lothian, and this Court in

Hazelwood v Webber. You put those two together and

you find, in my submission, that non-natural user

is a special user of the land bringing with it

increased risk and danger to others in the time,

place and circumstances in which the user occurs.

So you have, in the one concept, special user,

increased danger to others - they are taken from

Lord Moulton's advice in Rickards v Lothian - and whether the user is special or otherwise has to be

determined by reference to the time, place and

circumstances in which the user occurs. That is

taken from Hazelwood v Webber, part of the passages

that my friend read, but I wish to carry further

those passages in due course.

MASON CJ:  Mr McAlary, this may be a convenient time to
adjourn. The Court will resume at 2.15 pm.

AT 12.46 PM LUNCHEON ADJOURNMENT

Burnie(2) 51 1/12/92

UPON RESUMING AT 2.16 PM:

MASON CJ: Yes, Mr McAlary.

MR McALARY:  Your Honours, before lunch I had been

attempting to indicate what I wished to say after

lunch concerning the issue of natural and non-

natural user. If I may just repeat what I said

before lunch: it was that the issue is an issue of

law; it is to be determined after the jury or the

tribunal of fact has found the relevant facts; and,

it operates in the same way as proximity does in

relation to the tort of negligence. That is, it is

the criterion for expanding, restricting the ambit of the strict liability, and the issue is a matter of time, place and circumstance. It is a question of whether there is a special user in the

particular time, place and circumstance.

May I go to the case which my learned friend

went to in the course of his address because, in

our submission, this is critical to the whole case.

I refer to Hazelwood v Webber, 52 CLR 269. The
headnote is at 268: 

The appellant lit a fire on his land on

15th February 1933, for the purpose of burning

off stubble. The stubble was burnt off as an ordinary farming operation, and in the way in which the majority of farmers in the district

burn their stubble.

But there was a high wind and it spread the fire from the stump to the respondent's land.

Held that the burning of vegetation in

the open in midsummer is not a natural or

ordinary use of the land and therefore the

appellant was liable independently of

negligence for the consequences of the
escape -

Indeed, Your Honour, the jury negatived negligence. Then, just passing through, it is of

interest, Justice Deane, to notice that the junior

counsel for the appellant was Mr Stuckey. But

going to the judgment, if I can take Your Honours

to 274, which is the majority judgment, right at

the start:

the common law imposed upon the occupier of

land, who used fire upon it, a prima facie

liability which was independent of negligence

for the harm suffered by his neighbour as a

natural consequence of the escape of the fire.

Burnie(2) 52 1/12/92

I must say that when I originally read this I

assumed that the original common law was

independent of negligence on the basis of what

Mr Justice Dixon had written. Whether that is true

I am not sure, having regard to the research which

I have indicated in the appeal book of

Justice Zeeman in the court below. But in any

event it is irrelevant. Let me then just go to

page 275:

In the present case, we are concerned with one only of these grounds.

That is, exemptions.

The fire, which travelled from the defendant's

land to the plaintiff's, was lit by the

defendant for the purpose of burning off

stubble, a thing beneficial to the land which

many farmers do. The use of fire for such a

purpose is said by the defendant to be a

recognized incident of the proper enjoyment of

the land which, he claims, falls outside the

application of the prima facie rule of

absolute liability. The question whether this

claim is well founded is that upon which the

decision of the case must turn unless the

common law has been superseded by statute.

And he then turns to the question of whether

there was a statutory intervention and that is

discussed at 275 and 276. And if I could turn to

the last sentence in the last paragraph on 276

where Their Honours conclude that:

the Careless Use of Fire Act .... . otherwise to

leave the law of civil liability unaltered.

So, we are dealing only with the law of civil

liability.

The case, therefore, turns upon the

question whether the use of the fire made by
the defendant was such as to fall outside the

strict liability independent of negligence and

expose him to civil liability only on the

ground of negligence which the jury's verdict

has negatived.

So it is clearly a case of strict liability, no

negligence.

The full enjoyment of the occupation of land

according to the reasonable standards of

behaviour prevailing in a community or

locality is not possible without the

occupier's making some use of things which, if

Burnie(2) 53 1/12/92

there be a failure or removal of physical

control or restraint upon their natural

behaviour, will or probably will cause injury

to neighbouring occupiers. The principle upon

which a prima facie absolute liability appears

to be imposed by the law is that no man should

at the expense of his neighbour introduce upon

his own land a potential source of harm which

is considered to require continual and

effective control or restraint to prevent

mischief. If through a failure or relaxation
of control damage to his neighbour occurs,

although without negligence on his part, he

should indemnify his neighbour.

And then we would look to the countervailing

consideration the other side of the lantern.

But, when to obtain effectual use and enjoyment of land in a reasonable manner

according to its character and the uses for
which it is adapted, occupiers find that the

introduction of such a potential source of

harm is generally necessary -

then, Your Honours -

to insist upon the prima facie rule would be

to restrict the proper enjoyment of the land

or to impose a special responsibility for loss

arising from a danger to which by the

recognized use of the land every occupier

exposed himself and other occupiers.

Accordingly, when the use of the element or

thing which the law regards as a potential

source of mischief is an accepted incident of

some ordinary purpose to which the land is

reasonably applied by the occupier, the prima

facie rule of absolute responsibility for the

consequences of its escape must give way.

natural user and, if I can just turn over the page, Then he turns to consider the case law on

because if we go to the top of page 278 in the

second line, one finds the summary of the

situation:

But in the decision which finally confirmed

absolute responsibility, namely, Rickards v

the general application of this exclusion of that the occupier's liability independent of negligence arose from -

now, we submit, with respect, this has always been

followed and would not be departed from by

Your Honours -

Burnie(2) 54 1/12/92

"some special use bringing with it increased
danger to others" and "not merely ... the

ordinary use of the land or such a use as is

proper for the general benefit of the

community. "

Then Their Honours turn to apply that.

Now in applying this doctrine to the use of

fire in the course of agriculture, the benefit

obtained by the farmer who succeeds in using

it with safety to himself and the frequency of

its use by other farmers are not the only

considerations. The degree of hazard to

others involved in its use, the extensiveness

of the damage it is likely to do and the

difficulty of actually controlling it are even

more important factors.

I ask Your Honours to note those because, when you

come to apply those to the issue of the isolite

ignition in this case, they are very considerable

matters of importance.

These depend upon climate, the character of

the country and the natural conditions. The

question is not one to be decided by a jury on

each occasion as a question of fact. The

experience, conceptions and standards of the

community enter into the question of what is a

natural or special use of land, and of what

acts should be considered so fraught with risk

to others as not to be reasonably incident to

its proper enjoyment.

He then turns to discuss fire in Australia in

mid-summer, and this is a question - they are

really looking at a question of law.

McHUGH J: There is some difficulty in reconciling the

actual decision in this case, is there not, though,
with other cases? I mean, supposing a steel maker

brings an open hearth furnace on to the land for
the purpose of making steel, is that a non-natural

user of land, or is that a natural user of land?

MR McALARY:  Your Honour, if all you do is you have an open

hearth furnace in Wollongong, it would be probably

a natural user in that industrial area and, indeed,

I think I had conceded in the course of the special

leave application that to have a cold store in the

port area at Burnie would have been a natural user

of that land. But it is the issue of the

additional special risk.

Burnie(2) 55 1/12/92
McHUGH J:  Does anything turn on the level of abstraction in

which you characterize the use? For example, in

this case it is the use of the welding that seems

to have been looked at as the user but another view

is that it is the construction of a building.

MR McALARY:  No, Your Honour, with respect, obviously

counsel can take one set of facts and classify them

in a whole variety of different ways, but by no

means would anyone have contended, as I understand

it, it was the mere construction of the building

which attracted the absolute liability. We would

have said, with respect, that it was the ignition

of fire - - -

McHUGH J: Well I notice in Read v Lyons, I think it was Lord

Simmonds described the user as "manufacturer of

ammunition". It seems a very general description.

MR McALARY: Well, Your Honour, Read v Lyons I have always

seen only as an escape case and that really was the

ratio of Read v Lyons. I would not, myself, have

regarded it as relevant to any issue that arises in
this case. I would have submitted, with respect,

that the real issue here is the question of time,

place and circumstance which - - -

MASON CJ:  What do you say are the circumstances that

attract absolute liability in this case?

MR McALARY:  Your Honour, I go back to Lord Moulton. It has

got to be a special use. That is, something that

is in the setting in which it is done is a special

use, and it has to bring with it increased danger

to others. Now those are the two factors which, if

they occur, attract absolute liability.

MASON CJ: Are you saying that the conduct of the welding

operation was the special use which attracted

absolute liability in this case?

MR McALARY: Well, Your Honour, the carrying out of -
MASON CJ:  The welding operation and something else.
MR McALARY:  And something else.
MASON CJ:  What is the something else?
MR McALARY:  The carrying out of a welding operation

insufficient proximity to the isolite which was

stored or stacked in the roof void. Can I break

away for the moment and seek to try to attempt to

deal with the issue raised by Your Honour the

Chief Justice?

Burnie(2) 56 1/12/92

There is really no dispute of fact, in this

case, if I may say so. The afternoon before this

fire, Cooper, who was a consultant or part-time

employee - he seemed to fulfil both roles with the

Burnie Port Authority - saw cartons of isolite

being hauled up the outside of the building and

moved into the roof void. These were supposed to

have been kept in some machinery room. He also saw them when they were being moved into the roof void, being thrown between two RSJs; he said that that

was the last place that he saw them. They were in
a jumbled heap. He had also confirmed in the week

immediately before the fire that the welding on the

different beams within the steel structure which

was intermittent or tack welding - that is,

Your Honour, a tack all along the weld - would be

filled in so you had a continuous flow of welding.

The areas which had to be done were the very areas

where these RSJs were last seen by Cooper.

His Honour found that the cartons had been moved or

stacked a little further over and these were

underneath a plate attached to the portal of the

roof, which was to be the suspension of a
refrigerator unit which was being installed.

The next day the fire started, and His Honour found that it started because of welding which was

being carried out on the plate which was at the top

of a channel beam. You have an RSJ like that,

which runs parallel to the ceiling. Initially the

cartons of isolite had been thrown over that RSJ

and were seen between that one and another one. They were then restacked apparently just on the

other side of the second RSJ.

On this RSJ Whyman was standing and he was

welding a plate at eye height. So he was standing

on the RSJ and he was carrying out his welding at

about that height on a plate. To his left, or

maybe it was to his right - I am not sure which way

he was standing - and across between the two RSJs

was the stack of isolite cartons. It was welding dropping from the torch on to the isolite cartons that caused the fire. The fire itself would not

have started had there not been some form of

carton, cardboard, perhaps clothing, shaving, wood,

something to get a flame going. Once the flame was
going though a tremendous flame and a tremendous

fire was going to occur because the degree at which

the fire progresses is a geometrical progression,

and in this case I think it took less than three to

four minutes for the men who were in the roof void

to flee it. Indeed, some of them could not even go

down the ladders. They had to slide down RSJs and

the building was down within five or six minutes.

Burnie(2) 57 1/12/92

So the potentiality of a tremendous

conflagration was there, and it was there because
of the stacking of the cartons of isolite. Those

cartons were being used, as my learned friend,

Mr Barnard, explained to Your Honours earlier this

morning, as lagging for the refrigeration pipes. So the cartons of isolite, instead of being left

downstairs had to the knowledge of Cooper, who was

the PPA man, been brought up, placed in the roof in the areas where this welding was to take place, and indeed under one of the particular wells that was

to be done, and it was the doing of that which

produced the fire.

Now, Your Honour, coming back to the question

that Your Honour was putting to me, we would

submit, with respect, that the special use was the
carrying out or welding in close proximity to the
storage of a potentially dangerous expanded

polystyrene. It is the combination of the two

factors. I would accept that welding by itself

simpliciter is not a non-natural user, it is a

natural use as the trial judge found. But if you

take welding in this setting then we would say,

with respect, that it carried with it the

potentiality of great damage or harm and it was a

non-natural user, it was a special use bringing

with it the increased risk to neighbours.

McHUGH J: That seems equivalent to saying that if you

conduct your glass furnace with an effective wall

in the furnace it becomes a non-natural user.

MR McALARY:  No, I would not have thought so, with respect,

Your Honour. If the usage of the land is

appropriate for conducting steel making operations,

then if there is something that goes wrong which is

a result of the steel making operations and the way

in which they take place, then that would give.rise

to a claim in negligence, but it would not bring

with it the type of increased risk of damage to

others. It may, in fact, do that but it does not

necessarily do it, Your Honour. Here there is,

without doubt - the clear fact is that conducting
welding, and the welding was conducted with

negligence but that does not matter, in an area

where if the risk comes to fruition it is going to

produce an abnormal result in terms of its damage,

in our submission, brings in the second aspect of

the characteristics which attach strict liability,

and the other is the special use. It is really a

matter, in our submission, where you cannot seek to

take out and divide it up into items. The whole
thing must be taken as a single entity.
Burnie(2) 58 1/12/92
McHUGH J:  And your argument seems to suggest that in the

Wagon Mound a plaintiff should have succeeded on

Rylands v Fletcher basis?

MR McALARY:  Your Honour, I am not sure whether Rylands

v Fletcher could be - I know there are cases that

say it applies to a ship but I would not have

thought so, with respect, Your Honour. But, in any

event, Your Honour floors me with that because I
have not read the Wagon Mound for this case. I
think I have read everything else but I did not

read the Wagon Mound.

MASON CJ: 

Now, to what extent is knowledge on the part of

the occupier of the risk, say, in this case
knowledge of the presence of the isolite, stored in
cartons in proximity to the welding operations

essential to hold the occupier liable?

MR McALARY: That is a question that His Honour

Mr Justice Deane asked at the leave application. I
think, with respect, I can satisfy Your Honours
that it is not essential. Can I do that by taking

you to the relevant authorities?

MASON CJ: Yes.

MR McALARY:  I will take Your Honours to the most important,

which is Rainham Chemical Works v Belvedere Fish

Guano, (1921) 2 AC. Now, Your Honours, this is an

interesting case because it is very, very close to

this case. What had happened there, Your Honours,

was that the defendants were storing dinitrophenol

on land in their possession. Dinitrophenol was an

inert chemical but in quantities and if exposed to

flame it was highly explosive. By itself, it was
completely safe.

What they did was, they stored it in bags and

boxes which had contained nitrate of soda, if I

remember; yes, nitrate of soda, and nitrate of soda

was capable of producing the explosive. They did

Can I read Your Honours now what appears in the not know that, but they were still held liable. judgment of Lord Buckmaster at page 471:

Now, the foundation of the action was a

claim based upon the familiar doctrine

established by the case of Fletcher v Rylands,

which depends upon this - that even apart from

negligence the use of land by one person in an
exceptional manner that causes damage to

another, and not necessarily an adjacent

owner, is actionable -

and he refers to West v Bristol Tramways.

Burnie(2) 59 1/12/92

In the present case the use complained of was that for the purpose of making munitions,

which was certainly not the common and

ordinary use of the land, two substances,

namely, nitrate of soda and dinitrophenol,

were stored in close proximity, with the

result that on a fire breaking out they

exploded with terrific violence. It may be accepted that it was not known to either of the defendants that this danger existed, but

that in itself affords no excuse, and the
result is that the plaintiffs' cause of action
is well founded and the only matter for

determination is against whom the action

should be brought.

MASON CJ:  The problem in using that case is that it was, in
any event, a non-natural use of land. You did not

have to rely on the risk or knowledge of the risk

to establish non-natural user.

MR McALARY:  Yes. Now, let me take you to Lord Sumner,

because I think he deals precisely with the issue

which Your Honour the Chief Justice raises. At

page 479:

My Lords, when stored in large quantities

dinitrophenol is a dangerous explosive. A hot

flame is needed to explode it, but this is

provided by the ignition of substances which,

like nitrate of soda, give off large

quantities of oxygen.

The Rainham Chemical Works, Ld, by the

hands of its employees, for whom it is

responsible as their employer, brought into

the Range site at Rainham dinitrophenol in large quantities, the Range site being one

from which opportunities of ignition as above

mentioned are not excluded. The explosive, to

which in this case the rule in Rylands v

Fletcher has to be applied, is not a
bags, which had contained nitrate of soda.
These are only one of the conditions of
explosion. What is material is the explosive
itself.

combination of dinitrophenol with old boxes or

And that is the way in which, with respect - -

McHUGH J: But that does not help you, does it, because what

they are saying is storing these explosives on the

land was the non-natural use of the land?

MR McALARY:  No, with respect, Your Honour, I submit he is
not. What he is saying is that it is the explosive

itself which is the non-natural issue. It arises

Burnie(2) 60 1/12/92
out of the storage. Your Honour, there is no other

discussion in the case which I think is worth

referring Your Honours to, but it does rely upon

the decision in West's case, West v Bristol

Tramways Company, (1908) 2 KB 14. I am sorry,

Your Honours, I do not seem to have that authority

with me, but I can remember something about it. In

West's case there was a tramway company and the

tramway company had to lay tracks to carry the

rails. The tramway company laid wooden tracks.

These were creasoted. The creasote gave off gas or

something emanated from the creasote and that, if I

recall correctly, proceeded to cause damage to

people who occupied premises neighbouring with the

road.

I now have it in front of me, Your Honours. In

that case, if you look at the headnote,

Your Honour:

by their special Act to use the

(affirming the decision of the Divisional authorized

particular kind of wood paving which they had
used, and that, although they did not know

that the use of creasoted wood might cause damage, and were not guilty of negligence, they were, upon the principle laid down in Fletcher v Rylands, liable to the plaintiff in

respect of the damage sustained by him.

Your Honours, there is a decision in Canada;

it is a case, Chu v District of North Vancouver.

It is quite interesting because it has got an

unusual feature about it. What occurred there,

Your Honours, was that the defendants had purchased

a block of land which was sitting on the top of a

hill; they had the hilltop. And on the top of the

hill they built their home and a swimming pool

beside their home. The fill from that, they pushed

out to the edges of the block where it rested on

the edge of a ravine.

no one suggested that anyone should have been Now they were unaware, and

aware, that what was going to happen was that when

rains came the fill was going to spill down the

side and cause considerable damage to some people

below. That occurred.

If I can then take you to Chu's case,

Your Honours, and the reference I should have given

Your Honours is 139 DLR (3d) 201:

In an action by the plaintiffs against the

defendants for damages based, inter alia, on a

theory of strict liability, held, there should

be judgment for the plaintiffs. The fill

created a hazard, though an undetected and

Burnie(2) 61 1/12/92

unforeseeable one, of damage to others if the

fill "escaped" from the defendants' land.

Between innocent parties the liability should fall upon the defendants rather than the

plaintiffs. The defendants argued that their

conduct did not attract common law rule of

strict liability because they were making a

"natural" or "ordinary" use of their land

since a great many people in their situation

extended their yards with fill in much the

same way as the defendants did.

However, although the use may have been

ordinary, it was, at the same time, a special

use bringing with it increased danger to

others. The ordinary used made of the fill by

the defendants and others, was precisely

because none perceived the hazard that the

fill posed. Whether the use is to be

characterized as natural or non-natural may

depend upon the purpose of the use, although

it is difficult to perceive the connection

between natural or unnatural use on the one

hand and purpose on the other. The placement

of the fill was non-natural because: 1. The

fill was not found in nature. 2. The

defendants redistributed the fill and created

the hazard for their own benefit.

They were unaware, is the point about the

authority, Your Honour.

We would say, with respect, that in answer to

Your Honour the Chief Justice's question, it is not
necessary to establish that the Burnie Port

Authority fully appreciated the potential risks that

were involved. I would concede that it would be

necessary to show that they are aware of the

occurrence of the physical events which led to the

fruition of the risk. In other words, I needed to

show, as I did show, that they knew that the cold

store was made of isolite, as it was; the walls were isolite panels with aluminium skins; the ceiling was
isolite, I think they also had aluminium skins to
the panels; even the floor had an isolite sandwich;
the refrigeration was lagged in isolite. That was
what was to be erected.

On the week before the fire, as I think I may

have already said, cartons of isolite, 20 or 30

..... instead of being stored in the store room were

brought up into the void. They were then seen left

there, in close proximity to the areas where the

welding was to be carried out, and indeed, in that

rather complicated way with my arms, I had sought

to show that if you have two RSJ's running like

that, initially, according to Mr Cooper, he saw

Burnie(2) 62 1/12/92

them thrown between the two RSJ's. His Honour

found that they were actually stacked on the other

side.

The only issue of fact is an irrelevant issue,

because from our point of view it did not matter if

they were on that side of the RSJ or on this side

of the RSJ. The welding was going to take place on

the portal, and there is a huge amount of evidence

about how far was the distance from the position

where the welding was going to take place to where

the cartons were stacked, and in what sections of

the stack did the fire take place. That was

answered on a causal issue in our favour.

Well, Your Honour, much of what I have been

saying to Your Honours about Rainham Chemical and

Chu's case I have set out in short notes at page 7

of my submissions.

Could I go back, Your Honour, for the moment

to Hazelwood v Webber because, in our submission,

that authority has never been doubted. It is a
unanimous authority of this Court. I had read to

Your Honours the passages from the judgment of the

majority. Mr Justice Starke at page 281, right at

the conclusion of his judgment, says:

Nor do I agree that such an operation involved

any question whatever for a jury. The facts

in the case were not in dispute, and on those

facts the jury should have been directed, as a

matter of law, that the appellant burnt off
his stubble at his peril, and that his

liability was independent of any negligence on

his part.

In other words, he treated the facts not being in

dispute as if they had been found and then having

been found he then treated the question of natural

or non-natural user as an issue of law be decided

by the Court.

Your Honours, in our submission,

classification as natural or non-natural depends

upon the time, place and circumstance and perhaps

the purpose of the user. For the jury to make the
necessary findings once these are made, the
determination whether the user in that setting is

natural or non-natural is the decision of law.

Your Honour, in Torrette House v Berkman, to which

my learned friend has referred Your Honours, at

page 655, one finds a reaffirmation of a question

of time, place and circumstance. I am sorry, I did

not give Your Honours the reference: Torrette

House, 62 CLR 638. The passage is very short,
Burnie(2) 63 1/2/92

Your Honours, it is at 655 and Mr Justice Dixon at

the bottom of 654, dealing with accumulation of

water, cites Hazelwood v Webber and then says:

In determining such a question the

advantage to the occupier who succeeds in the

harmless use of an agency such as a large

quantity of water which is a potential source

of mischief, and the frequency of its use by
other occupiers, are not the only

considerations.

That is, he is really repeating precisely what was

written in Hazelwood v Webber.

ttThe degree of hazard to other involved in its

use, the extensiveness of the damage it is

likely to do and the difficulty of actually

controlling it are even more important

factorstt,

And that is from Hazelwood v Webber.

Time, place and circumstance, not excluding

purpose, are of course most material

considerations.

Then he turns to deal with Western Engraving Co v

Film Laboratories Ltd - I will just deal with this

because a member of the Bench, I think it was

Your Honour Mr Justice Brennan, this morning took

the point that the issue in Rylands v Fletcher was

the large quantity - or it might have been

Your Honour Mr Justice Dawson - but in this Western

Engraving case it is the large quantity of water

which attracts the operation of Rylands v Fletcher.

He says:

This, I think, is all that is meant by the

decision in Western Engraving Co v Film

Laboratories Ltd that manufacturers who for

the purpose of washing cinematograph films
used large quantities of circulating water in
a closed apparatus, a boiler, and a constant
flow of water were liable for the consequences
of its escape under the rule of strict
liability.
The case, Torette House, of course, was a case

where there was no such type of setting.

Your Honours, could I seek to widen the ambit

of interest by taking Your Honours to Prosser and

Keeton, The Law of Torts? It is the fifth edition.

MASON CJ: Just before you do so, I am not sure at the

moment that in the argument you are presenting you

Burnie(2) 64 1/2/92

are drawing any distinction between suus ignis and

liability under Rylands v Fletcher or liability for

escape of fire. Because it did occur to me from

the way in which you presented the argument so far

that you might be in a stronger position under suus

ignis in respect of the negligence of an

independent contractor than you would be under

Rylands v Fletcher.

MR McALARY:  I agree with that, Your Honour. I have here a

finding of negligence by Wildridge and Sinclair.

If I am right that suus ignis is available in this

Court, and I am going to put something about that

at the end of my submissions, then I have a

negligent escape of fire and that fire would be his

fire suus ignis, because it is only the fire of the

stranger that is excluded from that rule. So under

the common law rule I would have a very simple

case, and that is the case I ultimately put - I put

a lot to the trial judge, but that is the case I

succeeded on in front of the trial judge.

MASON CJ: But what I wanted to ask you was this: what is

the relationship between the suus ignis rule and

Rylands v Fletcher or escape of fire? If you look

at two judgments of Justice Dixon, you seem to get

the impression from reading two sentences that I

will refer to you in a minute that His Honour was

really basing himself on a wider principle of

liability that may perhaps be not restricted to any

one of those three possible principles. Now, the

first is in Mcinnes v Wardle, 45 CLR 548, the

sentence that begins at page 552 where His Honour

says:

The duty of an occupier to take care that

his land is so used and the operations carried

out upon it are so managed that his neighbours

are not exposed to injury by exceptional

dangers is not confined to dangers arising

from acts of himself and his servants.

The other statement is the statement in Torette

House at page 655 where he says of that case

half-way down the page:

But the case cannot be treated as one where an

occupier allows an independent contractor so

to use or deal with his premises that they

become a source of harm to his neighbour.

MR McALARY:  I cannot say, to be honest with Your Honour,

that I identified both those statements as giving

rise to yet another head of liability. The only

heads of liability that I identified in my

examination of this material were the three that I

have previously put. That was suus ignis in the

Burnie(2) 65 1/12/92

original form, that is, the non-modified form,

where it was said to be independent of negligence;

suus ignis following Turberville v Stampe where it

becomes clearly dependent on negligence, and then

Rylands v Fletcher.

Can I just say, Your Honours, that I tried to

write this in a precise manner at page 3 of the

submissions where I set out four relationships

which I submit gave rise to liability.

The first relationship was ignis suus, and I

would read it as "responsibility for escape", put a comma, the words: "through negligence". Originally I did not have "through negligence" in there, but

when I read Zeeman's judgment I thought perhaps I

should concede the degree of historical research

that His Honour had done was better than mine.

BRENNAN J: Is that the right enunciation of the principle?

Is it the escape that must be through negligence or

the creation of the fire that must be through

negligence? And in either event - - -

MR McALARY:  I think it includes either, Your Honour, as you
read the cases. The fire can be lit
non-negligently but left negligently. So it really

is lighting the fire negligently or allowing the

escape negligently.

BRENNAN J: Well, the negligent escape is the Goldman case,

is it? The lightning case covers the negligent

escape?

MR McALARY: 

Yes, certainly, Your Honour, because I would have thought, with respect, you could not get

Goldman v Hargrave within the Rylands v Fletcher or
suus ignis principles because in that case it was
the act of God that produced the fire in the tree
and it was the subsequent negligent control of the
fire that produced liability, so it was the
negligent escape of the fire there. 

BRENNAN J: Looking at that first enunciation, "not fires

caused by strangers", is that one branch of a
complete dichotomy, the other branch being fires

caused by negligence?

MR McALARY: Originally the dichotomy was a true dichotomy:

fires caused by strangers, all other fires. You

know, that is (a) or (non-a), so fires caused by

strangers is (a) and the balance of the field is

all other fires. That is a true dichotomy and I

think, with respect, that appears to have been the

position originally. Then one finds, if you are

dealing with this as a logical classification, that

the field was redefined after Turberville v Stampe,

Burnie(2) 66 1/12/92

so that it was only negligent fires but within the

concept of fires negligently caused you had again

the true dichotomy, strangers' fires and all other

fires - strangers' fires and non-strangers' fires,

to use Your Honour's analysis. That is the way in

which the law appears to have developed.

Can I leave Your Honour the Chief Justice and

come back to the passages that Your Honour has

referred me to?

MASON CJ: Yes.

MR McALARY:  But since we are just talking about this, let

me say to you that in Australia this question of

ignis suus is looked at on at least two occasions.

The first of the occasions it is looked at is in

Bugge v Brown, 26 CLR 110 and, Your Honours, what I

am about to say is summarized on page 10 of my

submissions.

In Bugge v Brown, Your Honour, there was a

fire lit by a person who was a servant of the

defendant. The fire was lit for the purpose of

cooking raw meat for the midday meal, in the open.

By negligence of the servant the fire escaped and

spread to the land of the plaintiff and did damage

to the land of the plaintiff.

Now, could I take Your Honours to the judgment

of Mr Justice Isaacs at pages 114 and 115, just at
the bottom of page 114:

Learned counsel for the appellant ultimately put forward three propositions of

law for holding Brown liable. First, he

contended that the owner of land is liable for

damage caused by any fire there in fact

kindled or kept by his servant whether

negligently or not, and whether or not in the

course of his employment. This contention was

rested on a case decided in 1401 - Beaulieu

v Finglam.

That is contention No 1, independence of

negligence.

Next, he contended that even if that ancient

rule were now mitigated by reason of English

Statutes, the liability still remains whenever

a servant lights or keeps a fire negligently.

That has brought "negligence" into the field.

For this he replied on Filliter v Phippard.

Lastly, he relied on the admitted doctrine

that at all events an employer is liable where

Burnie(2) 67 1/12/92

his servant lights or keeps a fire negligently

but within the course of his employment.

Then His Honour says:

The first proposition the Court ruled against during the argument.

So they ruled against the absolute liability

irrespective of negligence.

Whatever may have been anciently considered

the true rule of the common law, the rigorous
proposition so contended for cannot now be

maintained.

It will be convenient to deal with the

third proposition, which is a well traversed

region, before considering the second.

So he then looks to the question of whether or not

this was a fire lit by a servant in the course of

his employment for which the master would be

precariously responsible, and held it was. If one

goes to his judgment right at the end of 129, in

the last paragraph he says:

In my opinion the defendant is

responsible on the basis of the third

proposition advanced by learned counsel for

the appellant. It is therefore unnecessary

for me to consider his second proposition.

But I would add reference to -

and he refers to Musgrave v Pandelis. So, at that

stage that position appears to have remained open.

The next major case in this area which came

before this Court is Mcinnes v Wardle, 45 CLR 548.

My summary in my notes was: in Mcinnes v Wardle an

owner of land was held liable for damages for a

fire negligently lit by his independent contractor.

The fire was treated as the owner's fire. If I go

to the headnote:

The appellant employed an independent

contractor to fumigate rabbits on his land;
in the course of doing so, the independent
contractor, during a prohibited season of the
year, lit a fire, which was a usual and

ordinary method used in the fumigation and

destruction of rabbits. The fire spreads to

and on the neighbour's land and there caused

damage.

Burnie(2) 68 1/12/92

Held, the employer of the independent

contractor was liable for the damage thus

caused.

Black's case is said to have been followed.

If I might take Your Honours initially to the

judgment of Mr Justice Evatt at page 552:

EVATT J. The decision of the Privy Council in

Black v Christchurch Finance Co establishes

that a person who authorizes the use of fire

in order to clear or burn off on land occupied

by him is under a duty to neighbouring

landholders to see that reasonable care is
exercised to prevent the fire from spreading.

The duty is unaffected by the fact that the

person authorized to use fire is an

independent contractor and that the contract

gives the occupier no right to supervise the

work. The occupier himself must see to it

that due care is taken -

so that is a responsibility for the negligence of

the independent contractor.

The decision in Black's case applies here

because the learned Supreme Court Judge's

findings of fact. The appellant knew that

McLeay, the "independent contractor," would

employ fire in order to burn off the bracken

for the purpose of putting fumes into the
burrows. Upon the facts the appellant must be

taken as having expressly authorized McLeay to

burn for the purpose of destroying the

rabbits.

Now, it could be, Your Honours, that that case

could be decided on the basis that they had

authorized the doing of the very act, because he

knew he was going to fumigate and apparently a

normal consequence of fumigation is that you burn

off, but it was not the only consequence of, as

appears - there are other ways in which the

fumigation could be done.

MASON CJ: But you need to notice the second sentence on the

next page, do you not - - -

MR McALARY:  Yes, Your Honour.
MASON CJ:  - - - where His Honour dealt with the possibility

of a distinction, and said:

in each case the occupier knew that danger

would threaten his neighbours' property unless

Burnie(2) 69 1/12/92

reasonable precautions were taken to prevent

the spread of fire.

MR McALARY:  Yes, I had not noticed that. Then

Mr Justice Dixon, page 551, five lines from the

top:

The fire was lit, not by the appellant or any

of his servants, but by an independent

contractor who for a lump sum had undertaken

"to fumigate the rabbits on the property" and

to do some other work, all to the satisfaction

of the appellant. There was no evidence of
any express direction or authority to burn -

then, coming down to the bottom of the page: Although there was some conflict of evidence,

ample support can be found for these

conclusions, which ought, I think, to be
accepted. They amount to a finding that the
appellant knew, or ought to have known, that

in the course of operations conducted for his

benefit upon land in his occupation, fire

would be employed if, as was likely, its use

was found necessary or expedient in the

opinion of the person whom he had authorized

to be there for the execution of the work.

The duty of an occupier to take care that his land is so used and the operations carried

out upon it are so managed that his neighbours

are not exposed to injury by exceptional

dangers is not confined to dangers arising

from acts of himself and his servants.

And he then refers to Rainham Chemical Works Ltd.

Such a finding involves the appellant in

responsibility for the introduction of fire

upon the premises he occupied. In my opinion
his liability was established.

The majority, Chief Justice Gavan Duffy and

Mr Justice Starke, at page 550, about eight or ten lines from the top of the page:

The question is whether Mcinnis is liable for the damage so caused to Wardle.

Mr Justice Napier held that he was; and we

agree with him. The decision of the Judicial

Committee in Black v Christchurch Finance Co

settles, in our opinion, the principle that an

occupier of land is liable for damage by fire

lighted in dangerous circumstances by an

authorized person -

Burnie(2) 70 1/12/92

which seems to be a restatement of the ignis suus

principle, because if you read "dangerous" as the

same as "negligent" -

he is liable for damage caused by a fire

lighted in dangerous circumstances by an

authorized person, whether servant or
contractor, notwithstanding that the

conditions of authority have not all been

complied with or have been abused.

And then he makes the comment he authorizes another

to do it for himself:

he is bound not only to stipulate that such

precautions shall be taken but also to see

that they are observed.

Probably another expression of the doctrine qui

facit per alium facit per se.

But, Your Honour, that is the next significant

case in this Court. The other significant case if

I might just deal with while I am in this area is

the decision of this Court in Benning v Wong. As

far as my researches go, and in regard to the

volume of material that comes out, I am never too

sure when you say that, this is the last case in

which this Court has dealt with this question of
fire and Rylands v Fletcher.

If I remember correctly, Your Honour, I think this was just a demurrer. Yes, it was a demurrer,

and the count alleged - this is in the headnote:

By the second count of her declaration she claimed damages "for that ... the company was

enabled by statute to supply and distribute a
dangerous thing, namely gas a substance liable

to cause mischief if it escaped as the

defendant well knew and to lay pipes under and

along public streets to contain -

the same. And I need not read the rest of it.

The majority of the Court decided the issue on

the basis of statutory authorization pursuant to
the Australian Gas Light Company Act, and therefore

the mere fact of an escape of gas from pipes which

had been laid pursuant to statutory powers was not

an actionable wrong, negligence needed to be shown,

so I get nothing from the majority judgments.

Could I take Your Honours to the judgment of the former Chief Justice Sir Garfield Barwick at

page 254. He sets out the escape of gas from land

occupied by pipes of the Australian Gas Light

Burnie(2) 71 1/12/92

Company in a public street under statutory power

and then he turns at page 255 to deal with the

relevant questions of principles of law, and I rely

strongly on this:

In my opinion, the relevant principles of

law for the disposal of the points

substantially in issue between these parties

are not really in doubt, although some decided

cases purporting to apply those principles do

give rise to some difficulties. It should now

be regarded as settled that a person who
brings on to land a thing or substance likely

to prove dangerous to land or persons if it is

not confined to that land is absolutely liable

to the owners or occupiers of land to which
that dangerous thing or substance escapes for

damage done by that thing or substance to that

other person's land or to that person, or a

person for injuries to whom that person is

of the result of the judgment in Rylands v

responsible, on that land. In this statement have included personal injury in the damage for which the defendant is liable.

He would give his reasons later. So he puts the

matter on the basis that the position is clear and

settled.

In the judgment of Mr Justice Windeyer, could

I take Your Honours to the bottom of 301. I think

my learned friend has already read that part to

you, so I will not re-read it, but on 302 my friend

read as far as the reference to Collingwood v Home

and Colonial Stores. He said that case was one of

many cases which adopt Lord Moulton's words in

Rickards v Lothian. I read those again:

"It is not every use to which land is put

that brings into play that principle. It must
danger to others, and must not merely be the ordinary use of the land or such a use as is
proper for the general benefit of the
community. "

be some special use bringing with it increased

In every case, Your Honour, there is a repetition

of that section of the advice of Lord Moulton. May
I, since I am at that page, ask Your Honours to
look at the next page, 303, towards the bottom.
His Honour deals with the social relevance and

implications of the Rylands v Fletcher doctrine, a

matter I will not wish to go to:

The numerous decisions, in many courts,

as to the application of Rylands v Fletcher

Burnie(2) 72 1/12/92

reflect differing views of the purpose and the

province of the law of torts today. But they do not, I think, sustain the facile statement of some commentators who have spoken of the

rule as a by-product of the industrial

revolution, as, like workmen's compensation

law, strict liability deliberately called into

existence in 1866 for the purpose of ensuring

that industrial enterprises should make good

harm which they do. That may be the socially

beneficial result today of what the Exchequer

Chamber and the House of Lords said a hundred

years ago. But liability independent of

negligence was, as I have said, not a new
notion in English law. Indeed strict
liability was known to the law long before

negligence emerged in the nineteenth century

as itself a cause of action. It may be that,

in some circumstances, "an absolute liability

is in a sense abhorrent", as Lord Green MR

said in Makin v London and North Eastern

Railway Co. And any suggestion that a statute creating a liability has made it absolute must

be critically examined: but, as his Lordship

pointed out, whether that is so or not depends
upon the language of the statute read against

the background of the common law. There is

certainly no presumption in the common law

against strict liability. Actions for

negligence dominate the work of common law

courts today, mainly because railway trains,

motor-cars and industrial machinery have so

large a place in men's lives. But to regard

negligence as the normal requirement of

responsibility in tort, and to look upon

strict liability as anomalous and unjust,

seems to me to mistake present values as well

as past history. In an age when insurance

against all forms of liability is commonplace,

it is surely not surprising or unjust if law

makes persons who carry on some kinds of

hazardous undertakings liable for the harm

they do, unless they can excuse or justify it

on some recognized ground. That is, I think,

the position today in the countries of the

common law. In England, and in those

countries which have the common law as it is

in England, this comes about through the

principle of Rylands v Fletcher. In the

United States that decision and its doctrine

were, and still are, rejected in some

jurisdictions: but now, as Professor Prosser

has said, and made plain, in his work, Law of

Torts:

"Even the jurisdictions which reject

Rylands v Fletcher by name have accepted and

Burnie(2) 73 1/12/92

applied the principle of the case under the

cloak of various other theories. Most

frequently, in all of the American courts, the

same strict liability is imposed upon

defendants under the name of nuisance."

It is perhaps not without interest, for

those who like to see judicially made law as
responsive to current social needs, to notice

that in France too the courts of judicial

interpretation of art. 1384 of the Civil Code,

culminating in the Affaire Jand'heur in 1930,

has brought about a principle of strict

liability not dissimilar to the English and

American rule; and that the defences, force

majeure, cas fortuit and cause etrangere, resemble the exceptions or defences which

English law recognizes; and that water and

gas pipes and electricity wires have been held

by French courts to attract liability under

art. 1384.

In saying these things I am not to be

taken as unadvisedly espousing the idea hinted

at in the Supreme Court that we are at liberty

to decide cases according to our own

conceptions of "social realities". That would

be to allow individual predilection to

masquerade as principle. But in deciding upon

the application of common law principles in

new situations, courts are not required to be

unaware of consequences or unmoved by them.

Your Honour, that, as I understand it from my

research, is the last word in this Court on the
doctrine of Rylands v Fletcher, and we would say,
with respect, is now established law, and the ambit
of the non-natural user defence is well known and

well established.

Could I take Your Honours to Fleming and to

Prosser to see how widely and how it has been

looked at by the textbook writers. In Prosser, and

I am going to the fifth edition, at pages 545 and

547 I have noted, this section of the work,

section 78, is dealing with "Abnormally Dangerous

Things and Activities". It starts off with a

discussion of Rylands v Fletcher, and then it

refers on 545 to Lord Cairns' comment -

that the principle applied only to a

"non-natural" use of the defendant's land.

Then if I go over the page to 546:

More than a hundred subsequent decisions

in British jurisdictions have fully borne out

Burnie(2) 74 1/12/92
this interpretation of the case. The strict

liability has been said many times to be

confined to things or activities which are

"extraordinary", or "exceptional", or

"abnormal", and not to apply to the "usual and

normal".

Then he takes the quotation from Lord Moulton's

advice:

There must be "some special use bringing with

it increased danger to others, and must not

merely be the ordinary use of land or such a

use as is proper for the general benefit of

the community" .

In determining what is a "non-natural

use" the English courts have looked not only

to the character of the thing or activity in

question, but also to the place and manner in

which it is maintained and its relation to its

surroundings. Water collected in large

quantity in hydraulic power mains a cellar, or

a plant for washing film, all in dangerous

proximity to the plaintiff's land, is a

"non-natural use" for which there is strict

liability. But water in a cistern, in

household pipes, or in a barnyard tank

supplying cattle, is a natural use for which

the defendant will not be liable in the

absence of negligence. Gas or electricity in

household pipes or wires is a natural use;

gas in quantity or high-powered electricity

under the street is another matter entirely.

Fire in a fireplace or in an authorized

railway engine is a normal thing, and so is a

steam boiler on a ship; but fire in an

unlicensed locomotive or in a steam engine

travelling on the highway and shooting out

sparks is not normal, and is a proper matter

for strict liability.

I jump over the automobile, coming down to the next

sentence:

The storage in quantity of explosives or

inflammable liquids, or blasting, or the

accumulation of sewage, or the emission of

creosote fumes -

that is West's case -

or pile driving which sets up excessive

vibration, all have the same element of the

unusual, excessive and bizarre, and have been

considered "non-natural" uses, leading to

Burnie(2) 75 1/12/92

strict liability when they result in harm to

another.

The place where all this occurs, the

customs of the community, and the natural

fitness or adaptation of the premises for the

purpose, all are highly important in determining whether the rule applies.

And there is a discussion about elephants in

Burma and transporting them to England. Moving
down to the bottom of page 547: 

In short, what emerges from the English

decisions as the "rule" of Rylands v Fletcher

is that the defendant will be liable when he

damages another by a thing or activity unduly

dangerous and inappropriate to the place where

it is maintained, in the light of the

character of that place and its surroundings.

That is the way that Prosser sees it. To much

the same effect, in our submission, is Fleming.

There is a new edition of Fleming, Your Honours,

the eighth edition, it is apparently not here at

the moment.

MASON CJ: Yes, we have only got the seventh.

MR McALARY:  I will use your seventh, Your Honour, and I do

not think there is a great deal of difference.

Though there is one important matter in the eighth.

There is a discussion, which I do not find repeated

in the seventh, in relation to the rationale for

strict liability. I will come to that just

shortly. But if one goes to the seventh edition,

it is at page 310 and 311 "Natural User of Land".

I will not read the first paragraph, except to say there was an initial ambiguity arising out of

Lord Cairns' suggestion. Then the learned author
says: 
This ambiguity inspired a good deal of
confusion until in Rickards v Lothian, the
Privy Council authoritatively adopted the
second meaning and thereby withdrew a wide
range of activities from the ambit of strict
liability.

Much of the earlier criticism of the

distinction has been discounted by dispelling

the impression that non-natural user was

synonymous with "artificial" or that natural

meant "primitive". For it is now settled that

"there must be some special use bringing with

it increased danger to others, ... not merely

the ordinary use of land or such a use as is

Burnie(2) 76 1/12/92

proper for the general benefit of the

community. In applying this qualification,

the courts have looked not only to the thing

or activity in isolation, but also to the

place and manner in which it is maintained and

its relation to its surroundings. Time, place

and circumstance, not excluding purpose, are

material.

That, of course, is the comment of Mr Justice Dixon

in Torrette House.

The distinction between natural and non-

natural user is both relative and capable of

adjustment to the changing patterns of social

existence. Thus, whatever the merit of the

seminal decision that the storage of water in

a reservoir for industrial purposes created an

exceptional danger in the particular locality,
the accumulation of water for irrigation is a

proper method of using land in an ordinary

manner, at least in a proclaimed irrigation

district.

I do not know if I would help Your Honours by

reading the balance of it. It is the same thrust

everywhere.

Your Honours, the one passage that I did wish

to read to Your Honours though, is a passage from

the eighth edition of Fleming.

MASON CJ: Could you get this photocopied for us and hand in

seven copies?

MR McALARY:  I am sorry, Your Honour, thabut I did not do

it, I will see that - - -

MASON CJ:  No, but if you do it later that will be
sufficient.
MR McALARY:  I regret - my fault! Your Honour, in the

eighth edition there is a chapter 15 headed Strict

Liability. And at page 328 Rationale for Strict
Liability.

Many activities, now more than ever, exact a high toll of life, limb and property.

Faced with this situation, society may adopt

any one of three possible courses. It may proscribe the activity altogether, as by a

statute declaring it illegal or a court

enjoining it as a nuisance. Alternatively, it

may choose to incur the danger of the

enterprise for the sake of its social utility,

but forbid it to be carried on except under

specified conditions or in a prescribed

Burnie(2) 77 1/12/92

manner; hence the proliferation of safety

statutes enforced by licensing, inspection,

criminal penalties and the doctrine of

negligence per se. Or it may decide to

tolerate the activity on condition that it pay

its way regardless of whether it is carried

out carelessly or not. This last is the

solution of strict liability. The defendant

is held liable not for any particular fault

occurring in the course of the operation, but

for the inevitable consequences of a dangerous

activity which could be stigmatised as

negligent on account of its foreseeably

harmful potentialities, were it not for the

fact that its generally beneficial character

requires us to tolerate it in the public

interest.

In one sense, strict liability is but another aspect of negligence, both being based

on responsibility for the creation of an

abnormal risk. Negligence, however, has been

concerned primarily with an improper manner of
doing things which are safe (and therefore

reasonable) enough when properly carried out,

and not with activities which remain dangerous

despite despite all reasonable precaution.

The explanation for this lies in the dilemma

that if such an activity were branded as

negligent on account of its irreducible risk,

it would be tantamount to condemning it as

lawful. Some activities, no doubt, deserve

that fate either because the object they serve

is not sufficiently beneficial or because it

can be attained in a safer manner. Other

activities, however, may have to be tolerated

despite their irreducible risk, like drilling

for oil and gas, testing rockets, flying high

speed aircraft and driving motor vehicles.

These should not be penalised as reprehensible

by labelling them negligent although the risk

they entail may not be avoidable (at least

statistically) despite all possible

precaution. If all the same they should pay

their way, it must be on some principle other

than negligence. That principle is strict

liability.

The hallmark of strict liability is

therefore that it is imposed on lawful, not

reprehensible activities. The activities that

qualify are those entailing extraordinary risk

to others, either in the seriousness or

frequency of the harm threatened. Permission

to conduct such an activity is in effect made

conditional on its absorbing the cost of the

Burnie(2) 78 1/12/92

accidents it causes, as an integral part of

its overhead.

Now, there is another passage but just can I take

you over, Your Honour, to this:

American law has been somewhat bolder. After a first cool reception, strict liability

is now generally applied to "abnormally

dangerous" activities, that is, those with

inherent risks that cannot be eliminated by

the exercise of reasonable care. An even

clearer perspective guided the Pearson

Commission in its recommendation to impose

strict liability on controllers of things or

operations in each of two categories - first,
those which by their unusually dangerous

nature require closest supervision, like

flammable chemicals; and secondly, those which

pose a risk of serious and extensive

casualties, like public bridges, stadiums and

large buildings.

I looked at the Pearson Commission,_ Your Honours,

and the recommendation in that commission - the

Royal Commission into Civil Liability 1978

conducted by Lord Pearson in chapter 31,
paragraphs 1643 and 1644, is the source. It is in

paragraph 1643:

We recognise that there is no sharp line

between things or activities which are

inherently dangerous and those which are not.

The most innocent object can be a source of

danger if wrongly used. We recommend that

strict liability should be imposed on the

controllers of things or operations in each of

two categories - first, those which by their

unusually hazardous nature require close,

careful and skilled supervision, the failure

of which may cause death or personal injury -
and I need not worry about the second. The
provision then says: 

In the first category would fall such things

as explosives and flammable gases or liquids.

Then, in 1644:

It is true that the courts, as cases have come

before them, have to some extent shown
themselves capable of providing a remedy for
victims in the first category of accidents,

even within the framework of negligence

liability, by adjusting the standard of care

required to the degree of dangerousness of the

Burnie(2) 79 1/12/92

thing or operation in question. But this is

an uncertain process and one involving a

somewhat artificial conception of

'negligence'.

I would have said, with respect, a highly

artificial conception of negligence. There are

cases where it is clear that there is no negligence

or, alternatively, there are cases where one cannot

even discover the cause, let alone trace

negligence.

We think it better that the controller of a thing or operation which, unless properly

controlled, has a high risk of causing death
or personal injury should be responsible in

the law for those consequences, so that both

he and the potential victim know in advance

where they stand.

Your Honours, that would cover what I wanted

to say about Rylands v Fletcher in itself. I have

not read to Your Honours the discussion, the second
discussion, in Prosser, in which Prosser says that

in essence the American courts have adopted, under

different guises and different names, the same

solution as the English courts have adopted under

Rylands v Fletcher. In some of those 46

jurisdictions, Rylands v Fletcher does not run; in

others it does; but in those where it does not it

runs as nuisance. So you have the same absolute -

as Prosser says in that passage that I quoted from

one of the judgments, you have the same result, but

under different names. If Your Honours are

interested in that, I have referred to that feature

of the matter in the submissions, in the fifth

edition of Prosser at pages 551 to 553.

In summing up what we would say, with respect,

Your Honour, is that Rylands v Fletcher is a

well-established rule; it has not been criticized

in this Court; the criticism of it, in so far as it

extends to natural user, really fails to bring to

account the constancy of approach since the

decision in Rickards v Lothian, as amplified by

what was said in Hazelwood v Webber. The various

decisions at first instance, and in other courts,

reflect Rickards v Lothian and Hazelwood v Webber -
Your Honour will remember the case cited, the

Handcraft v Commissioner for Railways case where

Mr Justice Jacobs was dealing with the matter.

So the approach in the courts is clear; the

justification for the doctrine, in our submission,

is clear. It is a simple - I will not say it is

simple, I will say that it is an appropriate

Burnie(2) 80 1/12/92
doctrine for the Australian country. We have a
country - - -

BRENNAN J: That may be so if you look at the question of a

particular use to which land is put, and put as a

matter of deliberation, either to set a fire to clear out rabbits or to set a fire to clear the

land or whatever it might be. But the problem here

is a different sort, is it not? And that is that

here is a task of welding; it is not the welding

that escapes, it is the fire. And the problem is,

are they liable for the fact that the welding

caused the fire. Now, how does Rylands v Fletcher

even touch that situation?

MR McALARY: 

It touches it, Your Honour, because it is not the welding that is the problem; it is the storage

of the isolite that is the problem.  You bring
isolite to there, they have an isolite
construction.  Now, if you are going to have that,
bearing in mind the potentiality, if fire ignites
that, you have a risk which will be calamitous if
you it comes to fruition.

BRENNAN J: Well then, let us put it to the test to the

bringing on of the isolite. Is it a non-natural
user of land to bring isolite on to the land when

you are constructing a refrigeration plant?

MR McALARY:  Nothing taken by itself is a non-natural user.

BRENNAN J: But is that the very situation that Rylands

v Fletcher cases with the generation of a fire?

have all addressed? In other

words, taken by itself, it is a non-natural user.

MR McALARY:  They have always come under the ignum suum

principle, Your Honour.

BRENNAN J: Well, that is why I think it is perhaps

necessary for you to consider what the relationship

between those two principles are and perhaps the

authorities which are in Mr Barnard's notes of

argument in paragraph 3.

MR McALARY:  Your Honour, I thought, to some extent, I had

touched upon that when I was discussing Bugge v

Brown and Mcinnes v Wardle. We would submit, with

respect, that this Court has never said that ignum

suum is repealed; is no longer the law of this

land. The principle was well established in

England; it would have come here with 9 George IV

chapter 83. It was appropriate to Australian conditions and it would be part of the law of

Australia. Now there is no judicial determination

that this principle is no longer applicable in

Burnie(2) 81 1/12/92

Australia and, indeed, the nearest the courts have

ever gone to it is Bugge v Brown, where the

original form of the rule was said to be not in

force here, but where the -

BRENNAN J: Well, you do not need to deal with Wise Bros or

Hargrave v Goldman then?

MR McALARY:  I would have thought, with respect, not,

Your Honour, but perhaps I could look at those. cases it would - the case depends upon the way in

which the case, but more particularly, Your Honour,

in the 30s, 40s and 50s, they depended upon the
case that was made and the case that was pleaded;
it is only in more recent years that one has tended
to look at the whole ambit of things, but the
success or otherwise depends upon the character of

the declaration in cases like Wise Bros, and what

type of case was in fact being made. In the

Court of Appeal in Tasmania, a comment by

Mr Justice Windeyer in Goldman v Hargrave, is the

source of the suggestion, that the ignis suus rule

has become lost and subsumed into Rylands

v Fletcher, but that does not seem to be supported

by an analysis of Bugge v Brown where it does not

even appear to have been considered, and you

certainly cannot draw that conclusion from

Hazelwood v Webber.

Of course, the rule has been applied in

England in the two authorities, that is Emmanual

and Balfour v Barty, so it has been applied there,

and it has been applied here, we submit, with

respect, to say that it is lost or subsumed or

vanished or it is fallen into desuetude or

something of that character is without

justification. It is an assertion made by my

learned friend but it is an assertion for which he

has no authority and no support. There is no

reason why that rule is not appropriate to this

environment, and it is a rule, Your Honour, which

one could see was appropriate to medieval England.

It was originally a rule of the town, not a rule of

the country. In Turberville v Stampe one of the

arguments was that you were not responsible for the

fire in your clothes, the field, but you were

responsible for the one in the house. But the
appropriateness of the rule in medieval England

arose out of the structure of the towns where they

were building on one another, in and out, in a

jigsaw puzzle. The Great Fire of London shows what the condition of the English cities were, like Rome at the time of Nero.

So it was appropriate there, but here it is

appropriate in the fields because most of Australia

Burnie(2) 82 1/12/92
is dry, arid, and much of it drought stricken. We
have a season in which in New South Wales, and I

think sometimes in Victoria and Tasmania, you have

a very significant degree of undergrowth growing up

as a result of the rainy season. Then you have a

period of dryness and you have a huge volume of

combustible matter. Now, a rule which deals with

fire in those circumstances is clearly appropriate

to Australia and ought to be so seen. So, in other

words, Your Honour, in terms of ignum suum I would

have submitted that it is a rule that ought to be

maintained, and I also submit - - -

McHUGH J:  Mr McAlary, rightly or wrongly, I cannot help but

feel that your real cause of action in this case

was in nuisance, but that does not seem to be

pleaded and Mcinnes v Wardle, which I would have

regarded as a case of nuisance, you classify under

Rylands v Fletcher.

MR McALARY:  Your Honour, I find it very difficult to know,

if I might say, Your Honour - if I could invoke

Maitland, the forms of action with things of evil

in their life, and even in their death have not

ceased to trouble us, and I think Your Honour is

troubling me with a form of action that I really

have never been able to understand. I have never

been able to understand where nuisance starts and

where it finishes.

McHUGH J: Nuisance is interference with an occupier's use

with his land in this case. There is an
interference of your use of your land and the onus

is on the defendant, is it not, to exculpate

its - - -

MR McALARY: That is the American position, with respect.

McHUGH J: Is it not the Australian position?

MR McALARY: Classically, nuisance required a continuity of

actions. It was the flow of filth from the privy

or the escape of vibrations or smell and,

traditionally, a single escape was not classified

as a nuisance and, indeed, as I have always

understood the - - -

McHUGH J: But in the Wagon Mound, for example, although it

went off on other points, no one said that the

welding in that case did not amount to a nuisance,

and that was the basis upon which the defendant was

originally held liable, if I recollect.

MR McALARY:  I am not doubting - I might say I think
Your Honour is right. I did not mean that in any
condescending way. I meant that Your Honour is
correct. That was, I think, the original basis,
Burnie(2) 83 1/12/92

but it was moved - the ultimate basis was the issue

of negligence. It was the fact that a reasonable

man would have foreseen this risk.

McHUGH J:  When having regard to what Sir Owen Dixon said in

Torette, it is difficult to believe that he decided

Mcinnes on some doctrine of extra hazardous acts. But he certainly does not seem to have decided it

on any question of Rylands v Fletcher, so the only

other cause of action seems to me to be nuisance.

That is what I would have thought was the basis of

Mcinnes, as in Black v Christchurch. They are
really cases of nuisance, are they not?
MR McALARY:  With respect, no, Your Honour. I would have

submitted Black v Christchurch was a simple example

of ignis suus because what you had there was a fire

lit by a person who was an independent contractor,

but the lighting of the fire was contemplated by

the person held liable, the owner. So he lit the

fire and it was the owner's fire and the court said

that the fact that it is - the discussion in the

case is whether or not the fact that he was

lighting it in contravention of precautions which

were prescribed was sufficient to take it outside

the ambit of being the owner's fire. And it is

seen that way, and discussed that way in

Balfour v Barty-King. Though, Your Honour, I must

say that - - -

McHUGH J: 

In your submissions you did mention the question of nuisance in the classification in paragraph (c)

on page 3 but then you dismiss it.
MR McALARY:  Well I treated it, Your Honour, as a question

of classification rather than - it is a question of whether the facts give rise to the cause of action. We would have classified the cause of action as

within the ignis suus principle or alternatively
within Rylands v Fletcher, that very thing. Now,

if you read Prosser you can see that the American

courts had tended to treat it as nuisance, so it is

the one group or set of facts which give rise to a

relief, but the characterization under which the

relief is obtained differs.

I do not know that I can really assist

Your Honour in that field any further. There is

not much point in me just making comments without

thought at the back of - Your Honours, that would

take me, I think, to the conclusion of that matter.

Can I just look at these notes for a second. I do

not know that I really need to carry the exchange

on exclusion any further.

Can I go back, Your Honours, to the other matter, and that was that to the trial judge we

Burnie(2) 1/12/92

submitted that there was a liability in negligence

and the trial judge rejected that submission. He

found that we had failed to establish that there

was the relevant proximity relationship. At

volume 12 at page 2352 His Honour says at line 20:

In my opinion, there was not the requisite

proximity relationship between BPA, WS and GJ

to provide the basis for holding that a duty

of care was owed by BPA to GJ in respect of

the way in which WS carried out its contract.

Therefore, in my view, BPA was not liable to

GJ for any damage caused by negligent

performance of that contract by WS.

That is the rejection of it. Your Honour, in our

submission, the relationship between the Authority

and General Jones gave rise to a duty of care, the

essential features being a proximity relationship

between the Port Authority and General Jones

combined with the foreseeability of damage if a

particular event, namely, escape of fire, occurred.

That, Your Honour, is well known and well

established, and I will not take Your Honour to any

of the judgments which Your Honours have given in

recent years concerning Sutherland Shire, Jaensch v
Coffey, and that line of territory.

At the bottom of page 3 of my submissions, I note the factors which we say gave rise to the

proximity relationship. We say that proximity

arose (a) from the relationship between the Burnie

Port Authority as controller and owner of the cold

store and General Jones as the licencee storing its

produce therein; (b) from the mutual agreement

that the extension could be made to the cold stores

while General Jones kept its refrigerated produce

therein. Your Honour, support for that is to be

found in my learned friend's exhibit, BPS, which

was the licence agreement; and clause 19(h) of the

licence agreement is a contemplation that there

will be no problem with the extension being allowed

and General Jones continuing to maintain their

refrigerated product within the store.

BRENNAN J:  What page is that?
MR McALARY:  It is page 13 of the exhibit which is BPS,

Your Honour.

BRENNAN J:  We have 12 appeal books here.

MR McALARY: 

I am told that they are not in the appeal books, Your Honour.

They are not my appeal books.

Can I read the section, and then I will do

Burnie(2) 85 1/12/92

something about it after 4 o'clock. This provision

is as follows:

It is hereby agreed that the Board may extend

the cold store building and use in connection

therewith, and use in connection therewith the

refrigeration equipment presently used for the

purpose of the said premises provided that such increased use shall not prejudice the

capacity of the refrigeration equipment to efficiently refrigerate the said premises.

That is in the licence agreement so it is agreed

that they could expand and use for that purpose the

refrigeration equipment.

The next matter we point to is the Burnie Port Authority's control and its capacity to control and construction of the extension.

McHUGH J: Well, can I just - I am sorry to interrupt you,

but in your submissions there are a number of
references to exhibits, but none of the exhibits

are reproduced in the appeal book.

MR McALARY: 

Yes, well, can I seek to handle that by trying to get them photostated, those that I have referred

to.  I was unaware that that was so until about
Saturday, I think, Your Honour, when I started to
try to see whether the material that I wanted to
rely upon did appear in the appeal books and did
not discover that that was not so until then.

DEANE J: Well, it would never have occurred to anyone that

something was left out.

MR McALARY: Well, I could not believe it. The enormous

amount of material made one think that everything

must be there.

MASON CJ: 

Can we take it that volumes 1 to 11 contain

nothing relevant; that everything relevant to this
argument of yours is not in the appeal books?

MR MCALARY:  No, you cannot quite, Your Honour, because

volumes 1, 2 and 3 contain some transcript about

what Mr Cooper did and what he knew and how the

cartons were taken up and where Whyman was standing

and matters of that - - -

MASON CJ: But can I have all the other appeal books except

volume 12 taken away and junked?

MR McALARY:  No.
McHUGH J:  You need volume 2, do you not?
Burnie(2) 86 1/12/92
MR McALARY:  You will certainly need volume 2. The only

appeal books that I think are at all relevant in
any way are 1, 2, perhaps one thing in 3, and 12.

The others are not relevant and there is nothing

that I can find in them that is relevant.

MASON CJ: 

It seems a complete waste of money to have had them copied and lodged in the Court.

MR McALARY:  Your Honour, today one feels more like a wharf

labourer carrying your brief to court than you do a

barrister because you go to court with trolley

loads of volumes of stuff and 95 per cent of it is

never looked at.

MASON CJ: Well, whose fault is that?

MR McALARY:  Your Honour, if I may say so, honestly, about

it, I believe it is partly the court's fault in
having regard to the tremendous amplitude of
discovery. Everything under the sun has got to be
discovered, and then everything that gets

discovered gets into these agreed volumes and you

conduct a case with 50 volumes of material in

agreed volumes -

MASON CJ: Well, that may be so at trial level but it is

certainly not so when the case comes to this Court.

Surely the parties and their representatives can

apply their minds to what is necessary for the

purpose of argument in this Court.

MR McALARY: Unfortunately, Your Honour, I am not here

sufficiently often to have the appropriate

experience on which I can draw to answer Your

Honour's question.

I was trying to outline the various matters

that we submit give rise to the duty and then (d)

was, from General Jones necessary reliance on

Burnie Port Authority to protect its produce from

risks arising out of the construction of the

extension and General Jones' inability to do so

itself; (e) from Burnie Port Authority's knowledge

of General Jones reliance on it to protect and

safeguard the refrigerated produce in the cold

store; (f) from Burnie Port Authority's assumption

of that responsibility by embarking on construction
of the extension, with its attendant risks to the

operation of the existing cold stores, while

General Jones was still in occupation of same.

In other words, Your Honour, the issue of proximity, we say, is one which is to be decided as

an issue of physical proximity. There was

certainly physical proximity here. There was that

intimate relationship where one party is relying

Burnie(2) 87 1/12/92

upon another and the other knows of the reliance.

The party relying, being in a position where he is

unable to do, ought to protect himself and must

rely upon the other, and the other knows that he is

so relying and embarks upon the operation.

In those circumstances, in our submission, as

a matter of law, the court would draw or find a proximity relationship. The relevant basis for that is well known. I put it to the learned trial

judge that the decision of this Court in Stevens v

Brodribb was an example of finding a proximity

relationship in a situation which had heretofore

not apparently involved one because in Stevens v

Brodribb, as Your Honour the Chief Justice will

well remember, the plaintiff was not an employee of

the defendant. He was an independent contractor.

The person who injured him was an independent

contractor. Yet this Court was unanimous in the

view that where one person was involved in a

relationship with another, the former being the
person who was organizing and responsible for the
organizing of the situation, that he owed a duty of
care to the other in connection with the

organization.

The duty found by this Court, in relation to

Stevens, was a limited duty. Your Honour

Justice Deane dissented from that, if I remember correctly. But it was a limited duty, it was a

duty which did not extend to what might be called

the particular acts of the individuals involved but
it was a duty which extended to the proper

organization of the situation.

With respect, Your Honour, we submit that the

same type of situation arose here because what you

had was the Burnie Port Authority, in essence,

conducting itself as if it was a head contractor in

respect of this construction. It had excavated the

land, it had itself cast the concrete flooring and
it had designed the steel work. It subcontracted
the erection of the steel work. It also

subcontracted the electrical work and the

refrigeration work. In every way, it behaved as if

it were the head contractor. It coordinated the

activities of each of its subcontractors.

Now, in those circumstances it certainly owed

duties of care to the people with whom it was

dealing. But as this was being carried on on land

where it knew and had authorized another to store

his goods, and where these works would necessarily
involve risk of damage to those goods and the
storer of the goods could do naught to deal with
those particular risks, the only person who could

deal with them in any way was the Port Authority

Burnie(2) 88 1/12/92

and the Port Authority was fully aware of this and

was fully aware of the reliance which was being

placed upon it. In our submission, one gets a duty

of care and, not just the Donoghue v Stevenson

limited duty to take reasonable care yourself but,

in our submission, the extended duty which

Your Honour discussed in Kondis. In other words,

it was a duty to ensure, or to see that care was carried out; to see that care was taken by those

people who it was employing to carry out the duty

that it had voluntarily assumed.

Of course, I then move very simply - if I am

right on that, I can conclude my case by saying

that it was common ground that Wildridge and

Sinclair were guilty of gross negligence. If the

extended duty relationship exists and the Burnie

Port Authority is responsible for the negligence of

their subcontractor, the only issue, really, is

whether the extended duty of care exists and that

depends really upon an examination of what was

occurring and how it was occurring.

I sought to subsume that material in the

matters set out in section A of these notes; if I could just go to the second page of those. I set out in paragraph 6 that the construction of the

extension was being done by the Port Authority

itself, with sections of the work being

subcontracted. The Authority excavated the site,

poured the concrete foundations, designed the steel

work, subcontracted the erection of steel work, the

installation of electrical equipment, the

installation of refrigeration. I should add that

there was no dispute that the Burnie Port Authority

was coordinating the activities of its own
workforce and all the subcontractors and was

organizing those matters.

Now, Your Honours, there was no head

contractor appointed and - - -
BRENNAN J:  Do we have a copy of the subcontract with Wand

S?

MR McALARY:  Yes, there is, and I think that is in - yes, I
have got them. Your Honour I did dig them out, but

my memory is - it is some time since I looked at

them - that they did not assist. They were in

those order forms which people send, but I will get

them and make them available tomorrow morning.

But the one thing that I did want to conclude

tonight on was the importance of the Australian
Standard No. 1674 of 1974 and that is exhibit BPl0.

That standard requires the appointment of a

responsible officer for the purposes of dealing

Burnie(2) 89 1/12/92

with the precautions that need to be taken in

relation to the use of welders and fires which may

result from welding. There was no responsible

officer ever appointed in this case and it is a

matter we would draw attention to in due course in

relation to the issue of negligence. That is, not

the extended negligence where you have a

non-delegable duty, but the normal negligence which

does not go that far.

Your Honour, in our submission, the Burnie

Port Authority was in fact acting as a head

contractor and it had responsibilities arising out

of those assumptions. I have previously informed

Your Honours, I think, that the 20 or 30 cartons of isolite were hoisted into the roof at the eastern

end of the building, they were seen by Cooper as

being stacked under two RSJ's immediately below

where welding was to be done. The next day

Wildridge and Sinclair fillet welded a steel plate

to support a refrigeration unit during which sparks
from the welder ignited the stack of isolite
cartons, thereby producing a conflagration which

destroyed the building within a few minutes.

It was common ground that Wildride and

Sinclair were guilty of negligence and that they

were an independent contractor; it was common

ground that the fire escape from the premises
occupied by the Authority and spread to the

premises occupied by us and caused some $2.46

million damage.

BRENNAN J:  If it is common ground that they are an

independent contractor, what is the causal link

between the damage and the alleged negligence of

the Port Authority?

MR McALARY:  The negligence of the Port Authority,

Your Honour, was the failure to deal with the

conditions under which fire and welding could take
place. The Australian Standard laid down

precautions which had to be followed and this

matter was simply totally ignored. Now, the -
BRENNAN J:  Does this standard bind the occupier or building

owner?

MR McALARY:  No, Your Honour, it is not a standard which has
statutory authority. Your Honour will probably be

aware that the Standards Association of Australia issue standards which deal with the safe carrying out of a whole variety of different matters. There

are standards on, I think, hundreds of different

matters. One of the standards is the cutting and

welding safety code, but there are other safety

codes - - -

Burnie(2) 90 1/12/92
BRENNAN J:  Does this mean that if I get a welder to come

along to weld a balustrade on my steps, am I liable

if he fails to perform in accordance with that

standard, whereby damage is caused to some other

person?

MR McALARY:  No, Your Honour, the way we say, with respect,

the standard is relevant here is that this was a

large operation, not like handling a domestic

matter; that they were in fact engaged in a very

extensive industrial activity. Now, those types of

activities generate very large risks and a

multiplicity of risks. Some of them will come to

fruition unless appropriate precautions are taken.

This standard contains the rules for fire prevention in arc or flame cutting, flame heating

and arc or gas welding operations, and what it

requires, Your Honour, is firstly:

A responsible officer is the person with

satisfactory knowledge of potential hazards

and precautions necessary to provide adequate protection against fire and explosive hazards

associated with arc or flame cutting, flame

heating and arc or gas welding. operations. It

shall be the responsibility of the responsible

officer to determine what hazards exist and

which of the appropriate rules in this code

apply in any particular set of circumstances.

And then section 2 requires the appointment of

an appropriate officer. It says:

A responsible officer shall be appointed to have charge of fire precautions in all arc or flame heating or arc gas welding operations.

He shall be responsible for the safe

enforcement of all such operations. He shall

give authority to enforce this code in respect

of both employees and to outside contractors

and workers. Where the work has been carried

out by a contractor appointment of the

responsible officer shall be by negotiation

between the principal and the contractor.

Now, Your Honour - and I might just add, "hazardous locations, locations in which flammable

volatile liquids, highly flammable gases, highly

flammable mixtures and other highly flammable

substance are or have been manufactured, used,

handled or stored." So this is an Australian wide

standard for use and if used and complied with, it

will, not necessarily totally obviate all the

problems but it will certainly produce significant

mitigation on them. Now it was common ground that

although these quite extensive welding operations

were going to be carried out, no responsible

Burnie(2) 91 1/12/92

officer was ever appointed and there was nothing

done by the Port Authority which was co-ordinating

the matter to see that that was done.

GAUDRON J:  Mr McAlary, can I interrupt you there, to ask

you this? Is that not tantamount to saying there

was a non-delegable duty?

MR McALARY: Well, both of them come in the same way, with

respect, Your Honour. We would have said, with

respect, that this was a situation of non-

delegable duty within the way in which His Honour

the Chief Justice formulated in Kondis's case. In

Kondis's case His Honour pointed that the question of whether the duty was delegable or non-delegable

depended upon the relationship which existed

between the plaintiff and the defendent. It did

not involve the relationship between the contractor

and the defendant. It is the relationship between

the Port Authority and General Jones that I say

gave rise to the non-delegable duty, but this sort

of thing is within the ambit of that very

relationship, because they are undertaking the

work, they were co-ordinating the work, they were

the only people who had any capability of dealing

with the issue and therefore those factors, brought together, are what produce the obligation, not just to take care in relation to themselves, but to

ensure that care is taken in relation to people who

are their contractors. Therefore, in our
submission the obligation is not delegable, it is

not disposed of by giving it to the independent

contractor, it is an obligation which arises out of

that particular relationship.

Your Honours, I see it is a quarter past

according to my - - -

MASON CJ:  How long will the balance of your argument take?
MR McALARY:  A half hour, Your Honour.
MASON CJ:  Mr Barnard, how long will you be in reply?

MR BARNARD: Mainly to do with facts; I would have thought

half an hour, Your Honour.

MASON CJ:  We will adjourn until 10 o'clock tomorrow

morning.

AT 4.16 PM THE MATTER WAS ADJOURNED

UNTIL WEDNESDAY, 2 DECEMBER 1992

Burnie(2) 92 1/12/92

Areas of Law

  • Negligence & Tort

  • Property Law

Legal Concepts

  • Duty of Care

  • Negligence

  • Causation

  • Damages

  • Appeal

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