Roads and Traffic Authority (NSW) v Refrigerated Roadways Pty Ltd

The appeal concerned a decision of the District Court of New South Wales, which found the Roads and Traffic Authority (RTA) liable to indemnify Refrigerated Roadways Pty Ltd for workers' compensation payments made following the death of an employee, Mr Evans. Mr Evans died when a rock was dropped from the Glenlee Bridge onto the F5 freeway below, causing his vehicle to crash. Refrigerated Roadways sought indemnity from the RTA, arguing that the RTA owed a duty of care to motorists and had breached that duty by failing to take reasonable steps to prevent such incidents.

The central legal issues before the Court of Appeal were whether the RTA owed a duty of care to motorists to prevent harm arising from criminal conduct, such as objects being thrown from bridges, and if so, whether this duty had been breached. This involved considering the standard of care expected of a statutory authority, the relevance of budgetary constraints and competing priorities, and the distinction between policy and operational decisions. The court also had to determine the application of sections 42 and 43A of the Civil Liability Act 2002 (NSW) to the RTA's conduct.

The Court of Appeal allowed the appeal, setting aside the judgment of the court below. The court reasoned that the RTA's duty of care did not extend to taking reasonable care to prevent harm to motorists resulting from the criminal conduct of third parties. While acknowledging that a roads authority owes a duty of care to motorists, the court found that the specific allegation of negligence in this case, relating to the failure to install screening on bridges to prevent objects being thrown, was not a matter that could be answered by a jury in the context of a negligence claim against a statutory authority. The court also considered the evidence regarding prior incidents and the RTA's response, but ultimately concluded that no breach of duty had been established, particularly in light of the provisions of the Civil Liability Act.

Consequently, the Court of Appeal ordered that the proceedings be dismissed and that Refrigerated Roadways Pty Ltd pay the RTA's costs of the appeal and the proceedings below.