White Industries (Qld) v Flower & Hart

White Industries (Qld) Pty Ltd (White Industries) brought proceedings against Flower & Hart, a firm of solicitors, alleging professional negligence. The dispute concerned the conduct of Flower & Hart in advising and acting for White Industries in relation to a construction contract with the Queensland Government. White Industries claimed that the advice and actions of Flower & Hart led to significant financial losses. The case was heard in the High Court of Australia.

The High Court was required to determine whether Flower & Hart had breached their duty of care to White Industries, and if so, whether that breach caused the losses claimed. Specifically, the court considered the standard of care expected of a solicitor in providing advice on contractual matters and conducting litigation, and the principles of causation in professional negligence claims.

The court found that Flower & Hart had been negligent in their advice and conduct. Gleeson CJ and McHugh J both emphasised the importance of solicitors exercising reasonable care and skill in advising their clients. They held that Flower & Hart had failed to adequately investigate the relevant facts and legal principles, and had provided advice that was not sound. The court applied the principles of negligence, including the duty of care, breach of duty, and causation, to the facts of the case. The court found that the negligence of Flower & Hart was a direct cause of the losses suffered by White Industries.

The High Court ordered that White Industries was entitled to damages from Flower & Hart.