FAI Traders Insurance Co Ltd v Price

The dispute before the Court of Appeal of New South Wales concerned the extent of an employer's insurance liability for a personal injury sustained by an employee in the course of employment, particularly in light of a territorial restriction within the employer's insurance policy and the role of the NSW WorkCover Authority. The parties involved were FAI Traders Insurance Company Limited (FAI), Peter Price (the injured employee), and the WorkCover Authority of NSW.

The central legal issues before the court were to determine the extent of FAI's liability under its insurance policy, given the territorial limitations specified within it, and to clarify the liability of the WorkCover Authority of NSW in relation to the employee's injury. The court was required to consider how these factors interacted to determine which entity, if any, was ultimately responsible for compensating the injured employee.

The Court of Appeal allowed the appeal by FAI and the cross-appeal by Peter Price, setting aside previous awards and orders. In lieu of these, the court ordered that, subject to the determination of a cross-appeal by Tommy Tortoise Removals (Aust) Pty Ltd, there would be an award in favour of Peter Price against the WorkCover Authority of NSW. The third-party proceedings against FAI were dismissed, and Tommy Tortoise Removals (Aust) Pty Ltd was ordered to pay the costs below of FAI. The court also made orders regarding the costs of the appeal.