Squires Transport Pty Ltd v Turnor

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JURISDICTION     :   SUPREME COURT OF WESTERN AUSTRALIA

TITLE OF COURT  :   THE FULL COURT (WA)

CITATION:   SQUIRES TRANSPORT PTY LTD -v- TURNOR [2004] WASCA 245

CORAM:   MURRAY ACJ

TEMPLEMAN J
MCKECHNIE J

HEARD:   20 AUGUST 2004

DELIVERED          :   3 NOVEMBER 2004

FILE NO/S:   FUL 64 of 2003

BETWEEN:   SQUIRES TRANSPORT PTY LTD

Appellant

AND

NOEL PERCY TURNOR
Respondent

ON APPEAL FROM:

For File No               :  FUL 64 of 2003

Jurisdiction              :  DISTRICT COURT OF WESTERN AUSTRALIA

Coram  :COMMISSIONER REYNOLDS

Citation  :TURNOR -v- SQUIRES TRANSPORT PTY LTD [2003] WADC 91

File No  :CIV ALB 220 of 1998

Catchwords:

Evidence - Workers compensation and trial for common law damages - Finding by review officer that playing sport not the sole cause of injury - Whether issue estoppel bound employer from asserting the contrary in the common law proceedings

Damages - Employer liability - Whether open to discount award because of retained earning capacity before trial - Common not to award interest so as to allow for contingencies of this kind - Whether double counting by reducing future economic loss for retained earning capacity and pre-existing degenerative condition

Legislation:

Workers Compensation and Rehabilitation Act 1981, s 5, s 18

Result:

Appeal dismissed
Cross-appeal allowed

Category:    B

Representation:

Counsel:

Appellant:     Mr J R Brooksby

Respondent:     Mr C G Colvin SC & Mr B G Bradley

Solicitors:

Appellant:     Greenland Brooksby

Respondent:     Bradley & Bayly

Case(s) referred to in judgment(s):

Arnold v National Westminister Bank plc [1991] 2 AC 93

Blair v Curran (1939) 62 CLR 464

Chamberlain v Deputy Commissioner of Taxation (1988) 164 CLR 502

Cole v P & O Ports Ltd [2002] WASCA 157

Henderson v Henderson (1843) 3 Hare 100; (1843) 67 ER 313

Kanowna Bell Goldmines v Feierabend [2003] WASCA 246

Kuligowski v Metrobus (2002) 26 WAR 137

Kuligowski v Metrobus (2004) 78 ALJR 1031

Linsley v Petrie [1998] 1 VR 427

March v E & M H Stramare Pty Ltd (1991) 171 CLR 506

McNair v Press Offshore Ltd (1997) 17 WAR 191

O'Toole v Charles David Pty Ltd (1991) 171 CLR 232

Port of Melbourne Authority v Anshun Pty Ltd (1981) 147 CLR 589

Purkess v Crittenden (1965) 114 CLR 164

Turnor v Squires Transport Pty Ltd [2003] WADC 91

Waddington v Silver Chain Nursing Assn (1998) 20 WAR 269

Watts v Rake (1960) 108 CLR 158

Yates Property Corporation Pty Ltd v Boland (2000) 179 ALR 664

Case(s) also cited:

Australian Associated Motor Insurers Ltd v NRMA Insurance Ltd (2002) 124 FCR 518

Bowen v Tutte (1990) A Tort Rep 81-043

Brunsden v Humphrey (1884) 14 QBD 141

Carl Zeiss Stiftung v Raynor & Keeler Limited No 2 [1967] 1 AC 853

Chappel v Hart (1998) 195 CLR 232

Commonwealth v Butler (1958) 102 CLR 465

Federal Broom Company v Semlitch (1964) 110 CLR 626

Fishlock v Plummer (1950) SASR 176

Gleeson v J Whippell & Co Ltd [1977] 1 WLR 510

Griffiths v Kerkemeyer (1977) 139 CLR 161

Keogh v Dom-Uie Pty Ltd,…

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Details
Case
[2004] WASCA 245
Decision Date

CaseChat Overview and Summary

In the case of Squires Transport Pty Ltd v Turnor, the Full Bench of the Federal Court of Australia was called upon to review a decision of the Commissioner of the Federal Magistrates Court. The central dispute involved an employee's claim for compensation under workers' compensation law, as well as common law damages. The Commissioner had found that the employee's sporting activities were not the sole cause of his injury, and this determination had implications for the employer's liability in common law proceedings.

The legal issues before the court centred around the application of issue estoppel in the context of the Commissioner's findings, and whether these findings could bind the employer in subsequent common law proceedings. Another significant issue was whether the employer could discount the award for workers' compensation due to the employee's retained earning capacity before the trial. Furthermore, the court had to consider whether interest should be awarded to account for contingencies, and if there was double counting in reducing future economic loss for both retained earning capacity and pre-existing degenerative conditions.

The Full Bench dismissed the employer's appeal, finding no merit in the argument that the Commissioner's findings were against the evidence or that issue estoppel did not apply. The court held that the estoppel was created by the Commissioner's decisions and was binding on both the employer and its insurer. The Full Bench also rejected the employer's arguments regarding the discounting of the award and the awarding of interest, finding that the Commissioner's approach was consistent with established legal principles.

The Full Bench ordered that the appeal be dismissed and that costs be paid by the appellant to the respondent.

Orders

Orders of the court

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Background

Background to the litigation

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Evidence

Evidence Before The Court

Full text does not contain this section.

Decision

Reasons for decision

TEMPLEMAN J

Full text does not contain this section.

Ratio Decidendi

Legal Principle Established

Established by: TEMPLEMAN J

In Yates Property Corporation Pty Ltd v Boland (2000) 179 ALR 664, Goldberg J noted that the "special circumstances" exception to the operation of the doctrine of issue estoppel had been doubted in Australia (as it had also in relation to Anshun estoppel: see Port of Melbourne Authority v Anshun Pty Ltd (1981) 147 CLR 589). In Chamberlain v Deputy Commissioner of Taxation (1988) 164 CLR 502 at 504, Brennan J said he did not regard Wigram VC as advancing any exception to the doctrine of issue estoppel but as referring to the equity practice of the day which permitted an earlier judgment to be impeached in special circumstances. In O'Toole v Charles David Pty Ltd (1991) 171 CLR 232 at 258, Brennan J referred to Arnold v National Westminister Bank PLC (supra) as a case which rested on "an uncertain foundation". In Linsley v Petrie [1998] 1 VR 427, the Victorian Court of Appeal considered a possible equitable exception to the doctrine of issue estoppel which might arise where (for example) an insurer who is subrogated to the rights of the insured, has conducted litigation in the insured person's name. In such circumstances, the insured person might be estopped from raising in subsequent litigation issues decided in earlier proceedings over which he or she had no control. Would equity intervene to prevent an injustice arising in such circumstances? That is not a question which this Court is required to answer because this is not a subrogation case. No doubt for that reason, counsel for Squires expressly disavowed any reliance on equity during the course of the argument (TS 73). In my view, the matters referred to in par (a) and (b) of the particulars of ground 8 of the grounds of appeal are not special circumstances in any event. The fact that Squires was indemnified by its insurer is, I think, irrelevant. That is because the insurer was undoubtedly Squires' privy and was therefore bound, irrespective of the extent of its involvement in the actual conduct of the proceedings. But in my view, all of this is academic. That is because at the hearing before the Commissioner, counsel for Squires accepted (correctly) that "estoppel is created by the decisions of review officers" (TS 7). Thus, the estoppel is equally binding on Squires and the insurer which is its privy. The contention in par (c) of the particulars of ground 8 is factually incorrect. It appears from Mr Watson's evidence that he had been aware of the exacerbation of Mr Turnor's symptoms by playing basketball in mid June 1998 (AB 209). Mr Watson referred to the basketball in a report dated 8 April 1999 to SGIO Insurance. In my view, therefore, there is no substance to ground 8. The factual error in ground 8 is carried forward into grounds 11 – 14 inclusive. In essence, it is contended in those grounds that the Commissioner made findings of fact against the evidence and relied on the evidence of Mr Watson when he should have preferred the evidence of Mr Philip Hardcastle and Mr Ratan Edibam, orthopaedic surgeons.