Fowles v Eastern and Australian Steamship Company Limited

The High Court of Australia heard an appeal from the Supreme Court of Queensland concerning the liability of the Government of Queensland for the negligent navigation of a licensed pilot. The plaintiff, Eastern and Australian Steamship Company Limited, sought damages for the stranding of its steamship, the *Eastern*, in the port of Brisbane. The company alleged that the stranding was caused by the negligence of the pilot, William Henry Maxwell, and that Maxwell was a servant of the Government, making the Government liable for the loss. The defendant, William Lambert Fowles, as the nominal defendant representing the Government, denied negligence and contended that the Government was not liable for the pilot's actions.

The central legal issue before the High Court was whether the Government of Queensland was liable for the damage caused by the alleged negligent navigation of a duly appointed and licensed pilot. This question hinged on the precise legal relationship between the Government and the pilot, specifically whether the pilot was acting as a servant or agent of the Government in a manner that would render the Government vicariously liable for his conduct. The Supreme Court of Queensland had answered this question in the affirmative, leading to the present appeal.

A majority of the High Court, comprising Isaacs, Gavan Duffy, and Rich JJ., allowed the appeal. Isaacs J. found the Government not liable on the ground that it is not responsible for the negligence of a duly qualified or licensed pilot. Gavan Duffy and Rich JJ. concluded that the stated and admitted facts did not permit a satisfactory determination of whether the Government was carrying on the business of pilotage and whether the pilot was acting as its servant and agent. They held that the Court should not draw further inferences, as this was a matter for a jury. Barton A.C.J. and Powers J. dissented.

The order of the Supreme Court of Queensland was set aside.