Monie v Commonwealth of Australia

The New South Wales Court of Appeal considered an appeal by Peter Monie and Jennifer Monie (the appellants) against the Commonwealth of Australia (the respondent). The dispute arose from an incident where an ex-offender, referred to the appellants by the Commonwealth Employment Service (CES), subsequently shot Peter Monie and caused psychiatric injury to Jennifer Monie. The appellants alleged negligence on the part of the CES in failing to disclose the prospective employee's ex-offender status to them, which they contended led to their injuries and economic loss.

The Court of Appeal was required to determine whether the CES owed a duty of care to the appellants, and if so, whether that duty was breached. Further issues included whether the appellants had voluntarily assumed the risk of the ex-offender's violent behaviour, whether their own conduct contributed to their injuries, and whether the alleged negligence caused the damages suffered, including psychiatric illness and economic loss to the appellants' farm business. The Court also had to consider the trial judge's adverse credit findings and their impact on the appellants' case.

The Court of Appeal found that the CES did owe a duty of care to the appellants, and that this duty was breached by failing to disclose the ex-offender's criminal history. The Court rejected the argument of voluntary assumption of risk, applying the principles from *Smith v Baker & Sons* and *Randwick City Council v Muzic*, finding that the appellants had not consented to the specific risk of being shot. The Court also found that the trial judge had erred in making adverse credit findings, which had prejudiced the appellants' case. The Court applied the principles of causation from *March v E & M H Stramare Pty Ltd* and the principles for assessing damages for psychiatric illness from *Tame v New South Wales* and *Annetts v Australian Stations Pty Limited*.

In its orders, the Court of Appeal allowed the appeal in substance. It entered verdicts for Peter Monie for $238,750 plus interest and for Jennifer Monie for $50,000 plus interest. A new trial was ordered for Sam Monie on the issues of causation and the quantum of damages, excluding economic loss. Further submissions were to be made regarding costs.