South Australian Numbered Acts

[Index] [Table] [Search] [Search this Act] [Notes] [Noteup] [Previous] [Next] [Download] [Help]

LAW REFORM (CONTRIBUTORY NEGLIGENCE AND APPORTIONMENT OF LIABILITY) (PROPORTIONATE LIABILITY) AMENDMENT ACT 2005 (NO 32 OF 2005) - SECT 5

5—Amendment of section 3—Interpretation

        (1)         Section 3—before the definition of "claimant" insert:

"apportionable liability"—see subsection (2);

        (2)         Section 3—after the definition of "damages" insert:

"defendant" includes a third party (that is, the defendant to a third-party claim);

        (3)         Section 3, definition of "derivative liability —delete the definition and substitute:

"derivative liability" means—

            (a)         a vicarious liability (including a partner's liability for the act or omission of another member of the partnership); or

            (b)         a liability of a person who is subject to a non-delegable duty of care for the act or omission of another that places the person in breach of the non-delegable duty; or

            (c)         if an insurer or indemnifier is directly liable to a person who has suffered harm for the act or omission of a person who is insured or indemnified against the risk of causing the harm—the liability of the insurer or indemnifier; or

            (d)         a liability as nominal defendant under a statutory scheme of third-party motor vehicle insurance;

        (4)         Section 3—delete the definition of "fault";

        (5)         Section 3—before the definition of "harm" insert:

"group"—a group consists of a person who is directly liable for a particular act or omission and the person or persons (if any) who have a derivative liability for the person's act or omission;

        (6)         Section 3—after the definition of "harm" insert:

"innocent"—wrongdoing is innocent if the wrongdoer whose act or omission actually caused the harm neither intended to cause harm nor was negligent in causing harm;

"negligent wrongdoing" means—

            (a)         a breach of a duty of care that arises under the law of torts; or

            (b)         a breach of a contractual duty of care; or

            (c)         a breach of a statutory duty of care that is actionable in damages or innocent wrongdoing that gives rise to a statutory right to damages;

"notional damages"—a plaintiff's notional damages is the amount of the damages (excluding exemplary damages) to which the plaintiff is, or would be, entitled assuming—

            (a)         no contributory negligence; and

            (b)         the defendant were fully liable for the plaintiff's harm and were not entitled to limitation of liability under—

                  (i)         this Act; or

                  (ii)         any other Act that limits the liability of defendants of a particular class (as distinct from one that imposes a general limitation of liability); or

                  (iii)         a contract;

        (7)         Section 3, definition of "relevant statutory duty of care —delete the definition and substitute:

"special limitation" of liability means a limitation of liability to which a defendant is entitled under—

            (a)         an Act (other than this Act) that limits the liability of defendants of a particular class (as distinct from one that imposes a general limitation of liability); or

            (b)         a contract;

"wrongdoer" means—

            (a)         a person who commits an act, or makes an omission, that causes or contributes to harm (including a person whose act or omission contributes to his or her own harm); or

            (b)         a person who has a derivative liability for harm resulting from the act or omission of someone else;

Note—

A person may be considered a wrongdoer even though the person—

        •         has died; or

        •         has been wound up or has ceased to exist; or

        •         has become insolvent; or

        •         cannot be found.

"wrongdoing" means an act or omission that causes or contributes to harm (including such an act or omission on the part of the person who suffers the harm); and a reference to the "wrongdoing of a wrongdoer" (or a "defendant") is to be understood as a reference to wrongdoing for which that person is directly liable or for which that person has a derivative liability.

        (8)         Section 3—after the contents of section 3 as amended by this section (now to be designated as subsection (1)) insert:

        (2)         A liability is an "apportionable liability" if the following conditions are satisfied:

            (a)         the liability is a liability for harm (but not derivative harm) consisting of—

                  (i)         economic loss (but not economic loss consequent on personal injury); or

                  (ii)         loss of, or damage to, property;

            (b)         2 or more wrongdoers (who were not acting jointly) committed wrongdoing from which the harm arose;

            (c)         the liability is the liability of a wrongdoer whose wrongdoing was negligent or innocent.

Example—

A , who acts with intention to defraud, prepares a false and deceptive statement. B, who is not aware of the fraud, negligently publishes the statement to C, who relies on it and suffers financial loss in consequence. C brings an action against A and B under section 56 of the Fair Trading Act 1987 . In this case, B's liability is an apportionable liability but A's is not.

        (3)         A liability to pay exemplary damages is not however to be regarded as an apportionable liability.



AustLII: Copyright Policy | Disclaimers | Privacy Policy | Feedback