on C.'s line was struck by a string of loaded coal trucks running along the road uncontrolled, at about fifty miles per hour. F.'s employees had been loading and assembling the trucks but there was no evidence of what caused the trucks to move. After hitting the car, the trucks travelled a further mile to the main line where they were derailed by catch-points. S.'s husband died of injuries received in the collision. After the accident C. refused to deliver trucks to F. until catch-points were installed in the siding by F., which was yards below the junction with the siding.
S. sued C. and F. for damages under the Compensation to Relatives Act 1897-1946 and obtained a verdict for £16,660 apportioned between herself and her two children, and apportioned as to liability, seventy per cent as against C. and thirty per cent against F. C. and F. appealed to the Full Court of the Supreme Court on the grounds that there was no evidence of negligence and that the damages awarded were excessive, and S. appealed against the apportionment of liability between the two defendants. The appeals by C. and F. were dismissed and S.'s appeal was allowed. C. appealed to the High Court.
Held, by Dixon C.J., McTiernan, Kitto and Taylor JJ. (Webb J. dissenting), that on the evidence the jury properly found a verdict against the appellant, therefore the appeal should be dismissed.
Held, by Dixon C.J., McTiernan, Kitto and Taylor JJ. (1) that on the assumption that the appellant succeeded to the statutory authorities and immunities conferred upon its predecessor, the well-settled principle applied that when statutory powers are conferred they must be exercised with reason- able care, SO that if those who exercise them could by reasonable precaution have prevented an injury which has been occasioned, and was likely to be occasioned, by their exercise, damages for negligence may be recovered;
Great Central Railway v. Hewlett (1916) 2 A.C. 511, at p. 519; East Suffolk Rivers Catchment Board v. Kent (1941) A.C. 74, at p. 85 and Cox Bros. (Australia) Ltd. v. Commissioner of Waterworks (1933) 50 C.L.R. 108, at pp. 119, 121, referred to.
(2) that in the occupation and management of a railway which crossed a busy highway the appellant owed a duty to those using the highway to exercise reasonable care for their safety from the dangers which arise from the presence of the railway;
(3) that an escape of trucks from the loop was a contingency likely at some time to occur and the jury were entitled to treat it as a possible danger against which precautions should have been taken;
Thompson v. Bankstown Corporation (1953) 87 C.L.R. 619, at p. 630, Decision of the Supreme Court of New South Wales Speirs v. Caledonian Collieries Ltd. (1957) S.R. (N.S.W.) 483; 74 W.N. 23, affirmed.