Lipman Pty Ltd v McGregor

Lipman Pty Ltd appealed to the New South Wales Court of Appeal against a decision of the primary judge concerning liability for personal injuries sustained by Mr McGregor. Mr McGregor, an employee of a subcontractor engaged by Lipman Pty Ltd (the head contractor), was injured when stairs erected by Lipman collapsed. The dispute centred on whether Lipman owed Mr McGregor a non-delegable duty of care and whether an indemnity clause in the subcontract extended to the liability in question.

The Court of Appeal was required to determine whether Lipman Pty Ltd, as the head contractor, had breached a non-delegable duty of care owed to Mr McGregor, an employee of a subcontractor. Further, the Court had to consider whether an indemnity clause within the subcontract, which purported to indemnify Lipman against liability for personal injury arising out of the "Works," encompassed the injury sustained by Mr McGregor. The definition of "Works" in the subcontract was crucial to this determination.

The Court held that Lipman Pty Ltd was not in breach of any non-delegable duty of care. It reasoned that the injury sustained by Mr McGregor did not arise out of the "Works" as defined in the subcontract, which specifically referred to the erection and dismantling of scaffolding. The collapse of the stairs, erected by Lipman, was found not to fall within this definition. Consequently, the indemnity clause, which was limited to liabilities arising out of the Works, did not extend to cover the injury suffered by Mr McGregor. The Court also noted that a judge's failure to mention insignificant evidence in their reasons for judgment does not constitute an error.

The appeal was dismissed with costs.