Hanson Construction Materials Pty Limited v Tawhai

Hanson Construction Materials Pty Limited appealed to the New South Wales Court of Appeal against a judgment of the District Court of New South Wales, which had found Hanson liable in negligence for injuries sustained by Mr. Tawhai, a worker hired out to Hanson by a labour hire company. The dispute concerned whether Hanson owed Mr. Tawhai a duty of care, whether that duty was breached, and how liability should be apportioned between Hanson and another tortfeasor.

The Court of Appeal was required to determine whether the trial judge erred in finding that Hanson owed Mr. Tawhai a duty of care and, if so, whether that duty was breached. Further, the Court had to consider whether the trial judge’s assessment of damages, particularly future economic loss, was demonstrably wrong, and whether fresh evidence should be admitted on appeal. The Court also had to consider the apportionment of liability between Hanson and the other tortfeasor.

The Court of Appeal found that the trial judge had erred in assessing Mr. Tawhai’s future economic loss. It held that the trial judge’s assessment was based on current earnings that were likely in excess of what Mr. Tawhai would have earned had he not been injured, contrary to the principles established by section 13 of the Civil Liability Act 2002 (NSW). While the Court dismissed the grounds of appeal relating to the existence of a duty of care and its breach, it admitted fresh evidence to assist in reassessing damages.

Consequently, the appeal was allowed, and the cross-appeal was dismissed. Hanson was directed to bring in short minutes of order within twenty-eight days, with provisions for submissions if the minutes were not agreed.