SANDRA SMITH AND ACCIDENT COMPENSATION CORPORATION

Case [2024] NZHC 3123


IN THE HIGH COURT OF NEW ZEALAND AUCKLAND REGISTRY

I TE KŌTI MATUA O AOTEAROA TĀMAKI MAKAURAU ROHE

CIV 2023-404-1957

[2024] NZHC 3123

UNDER The Accident Compensation Act 2001

IN THE MATTER OF

An appeal under s 162 of the Accident Compensation Act

BETWEEN

SANDRA SMITH

Appellant

AND

ACCIDENT COMPENSATION CORPORATION

Respondent

On the papers

Counsel:

P Schmidt for the appellant I Hunt for the respondent

Judgment:

25 October 2024


JUDGMENT OF CAMPBELL J


This judgment was delivered by me on 25 October 2024 at 10.00 am pursuant to Rule 11.5 of the High Court Rules

Registrar/Deputy Registrar

SMITH v ACCIDENT COMPENSATION CORPORATION [2024] NZHC 3123 [25 October 2024]

[1]                 In a judgment dated 4 July 20241 I granted Mrs Smith special leave to appeal on the following question:

Do the apportionment instructions in the ACC Handbook, properly interpreted, allow apportionment between different impairments, or do they only allow apportionment of a particular impairment that is a result of multiple conditions, only some of which are covered by the Act?

[2]                 The parties have since had constructive discussions with respect to the substantive appeal. They have reached agreement on how the question should be answered. Breaking the question into two sub-questions, they agree as follows:

Question One: Do the apportionment instructions in the ACC Handbook, properly interpreted, allow apportionment between different impairments?

Answer: No

Question Two: Do they only allow apportionment of a particular impairment that is a result of multiple conditions, only some of which are covered by the Act?

Answer: Yes

[3]                 The parties ask that this Court answer the question accordingly. The parties also agree that this Court should direct the District Court to rehear the proceeding in accordance with those answers.

[4]                 Section 162(5) of the Accident Compensation Act 2001 (the Act) provides that the High Court Rules 2016 and ss 126–130 of the District Court Act  2016 apply to an appeal under s 162 as if it were an appeal under s 124 of the District Court Act. Section 128(1)(b)(i) of the District Court Act provides that the High Court may, after hearing an appeal, direct the District Court to rehear the proceeding. Section 128(2) states that, in making an order pursuant to s 128(1)(b)(i), the High Court “must state its reasons for giving a direction under subsection (1)(b)”. Section 128(3)(a) provides that the High Court can give any particular direction it thinks fit relating to rehearing the proceeding.

[5]                 The question upon which I granted special leave was raised in oral submission during the special leave hearing. No specific evidence on the question was filed, and


1      Smith v Accident Compensation Corporation [2024] NZHC 1801.

it was not the subject of submissions, in the earlier District Court hearing. In these circumstances it is appropriate that I refer the proceeding back to the specialist District Court bench that hears accident compensation appeals to consider (with the benefit of further evidence and submissions) how the answers to the questions of law may affect the whole-person impairment assessment of Mrs Smith.

[6]                 Given the cooperative approach of both parties since special leave was granted, it is appropriate that costs for the steps involved in the High Court proceeding since special leave was granted lie where they fall.

Result

[7]I allow the appeal.

[8]I answer the question as follows:

Question One: Do the apportionment instructions in the ACC Handbook, properly interpreted, allow apportionment between different impairments?

Answer: No

Question Two: Do they only allow apportionment of a particular impairment that is a result of multiple conditions, only some of which are covered by the Act?

Answer: Yes

[9]                 I direct the District Court to rehear the proceeding in accordance with those answers.


Campbell J

Details
AGLC
SANDRA SMITH AND ACCIDENT COMPENSATION CORPORATION [2024] NZHC 3123
Case
[2024] NZHC 3123
Decision Date

CaseChat Overview and Summary

Sandra Smith, an appellant, filed an appeal against the Accident Compensation Corporation, the respondent, regarding apportionment instructions under the Accident Compensation Act 2001. This appeal was heard in the High Court of New Zealand, Auckland Registry. The primary issue before the court was whether the apportionment instructions in the Accident Compensation Commission (ACC) Handbook permit apportionment between different impairments or if they only allow for apportionment of a particular impairment that results from multiple conditions, some of which are covered by the Act. The court was required to decide this based on the proper interpretation of the ACC Handbook.

The court addressed two sub-questions in this regard. Firstly, whether the instructions allow apportionment between different impairments, to which the answer was no. Secondly, whether the instructions only allow apportionment of a particular impairment resulting from multiple conditions, some of which are covered by the Act, to which the answer was yes. The parties reached a consensus on these interpretations, and both parties requested the court to provide the answers and direct the District Court to rehear the proceeding in light of these interpretations. The court referenced relevant sections from the High Court Rules 2016, the District Court Act 2016, and other statutory provisions to support its decision. It was noted that no specific evidence or submissions were filed on the question during the earlier District Court hearing, hence the court deemed it appropriate to refer the matter back to the District Court for further consideration.

The judgment allowed the appeal and answered the posed questions as agreed by the parties. The court directed the District Court to rehear the proceeding in accordance with the answers provided. Campbell J concluded by stating the final orders and confirming that costs for the steps involved in the High Court proceeding since special leave was granted would lie where they fall due to the cooperative approach of both parties.

Orders

Orders of the court

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Background

Background to the litigation

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Evidence

Evidence Before The Court

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Decision

Reasons for decision

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Ratio Decidendi

Legal Principle Established

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