Laresu Pty Ltd v Clark

In *Laresu Pty Ltd v Clark*, the New South Wales Court of Appeal considered an appeal concerning a plaintiff's injury sustained from a fall on unlit stairs. The plaintiff, Mr Clark, had fallen on common property stairs within a commercial building. The owner of the premises, Laresu Pty Ltd (the Owner), had appointed a managing agent to oversee the property. Mr Clark sued both the Owner and the managing agent for negligence.

The central legal issues before the Court of Appeal were whether the Owner had effectively delegated its occupier's duty of care to the managing agent, whether the managing agent could be considered an occupier of the common property, and whether either party had breached their duty of care to Mr Clark, particularly in relation to the lighting of the stairs. The court also had to determine the extent of the managing agent's obligations under its contract with the Owner, including whether the term "maintenance" encompassed the setting of an automatic light switch, and the consequent rights of indemnity between the Owner and the managing agent.

The Court of Appeal found that while the Owner retained a non-delegable duty of care, the managing agent, by undertaking the management and maintenance of the common property, had assumed the role of an occupier in relation to those areas. The court applied principles of occupier's liability and contractual obligations between a principal and agent. It determined that the managing agent was liable for the plaintiff's injuries due to a breach of its duty of care, and that the Owner was also liable, but that the managing agent should contribute significantly to the Owner's liability.

The appeal was allowed in part. The judgment against the Owner in favour of Mr Clark was reduced by consent. Crucially, the dismissal of the Owner's cross-claim against the managing agent was set aside, and the managing agent was ordered to contribute 60 per cent of the Owner's liability to Mr Clark. Judgment was entered in favour of Mr Clark against the managing agent for the reduced amount, and detailed orders were made regarding the payment of costs between all parties, including the managing agent bearing a substantial portion of the Owner's costs and Mr Clark's costs.