Wolters v The University of the Sunshine Coast

In the Federal Circuit Court, Wolters sued The University of the Sunshine Coast, alleging breach of contract and common law duties. The plaintiff claimed that during a power outage, her superior, Bradley, verbally abused her, causing psychiatric injury. This was similar to a previous incident involving another employee who successfully claimed workers' compensation. The plaintiff argued that the university breached its duty of care by not adequately investigating the earlier incident and counselling Bradley, and that it also breached their employment contract. The university countered that it had fulfilled its duty of care by reprimanding and counselling Bradley, and that had it not done so, the incident involving the plaintiff would not have occurred.

The court was required to determine if the university breached its duty of care to the plaintiff and whether it breached the employment contract. The central issue was whether the university's actions, or lack thereof, in handling the earlier incident involving Bradley constituted a breach of duty. Additionally, the court needed to assess whether the university's response to the incident involving the plaintiff constituted a breach of contract, and if so, whether this breach led to the plaintiff's psychiatric injury.

The court found that the university did not breach its duty of care as it had reprimanded and counselled Bradley after the earlier incident. The court held that the university's actions were reasonable under the circumstances, and that it could not be said that had the university fulfilled its duty of care by reprimanding and counselling Bradley the incident involving the plaintiff would not have occurred and she would not have suffered psychiatric injury. The court also found that the university had not breached the employment contract with the plaintiff. However, the court did find that the university breached the implied term in the contract of employment to provide a safe working environment, awarding the plaintiff nominal damages for this breach.

The court ordered that the plaintiff be awarded nominal damages for breach of contract, and that her claim be dismissed in all other respects. The university was not required to pay any further damages or compensation to the plaintiff.