Howarth v Rail Corporation New South Wales (No 2)

The Howarth v Rail Corporation New South Wales (No 2) case involves an employee, Howarth, bringing a common law claim against the Rail Corporation, his employer, for damages related to an injury sustained during employment. The dispute was heard in the Supreme Court of New South Wales, which had to determine whether Howarth was entitled to pre-judgment interest on his damages under section 151M of the Workers Compensation Act 1987.

The central legal issue was whether the statutory compensation provided under the Workers Compensation Act 1987 precluded the common law claim for pre-judgment interest. The court had to consider whether section 151M of the Act, which provides for compensation to an employee for economic loss resulting from an injury, excluded any entitlement to pre-judgment interest on damages awarded in a common law action.

The court ruled that the statutory compensation under the Workers Compensation Act 1987 did not exclude an employee's entitlement to pre-judgment interest on damages in a common law claim. The court found that section 151M was not intended to operate as a complete code for all forms of compensation, and that it did not expressly exclude the right to pre-judgment interest. Therefore, Howarth was entitled to receive pre-judgment interest on his common law damages, in addition to the statutory compensation provided by the Workers Compensation Act.

In light of the court's decision, Howarth was entitled to receive pre-judgment interest on his common law damages from the date of the injury until the date of judgment, in addition to the statutory compensation already awarded under the Workers Compensation Act 1987. The court did not order any further action to be taken by either party and the decision concluded the proceedings on this particular issue.