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Nottingham Forest Trustee Ltd v Unison Networks Ltd [2021] NZCA 227; [2021] 3 NZLR 823 (3 June 2021)
Last Updated: 19 October 2022
For a Court ready (fee required) version please follow this LINK
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IN THE COURT OF APPEAL OF NEW
ZEALANDI
TE KŌTI PĪRA O AOTEAROA
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NOTTINGHAM FOREST TRUSTEE LIMITED First Appellant
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ROGER DICKIE (N.Z.) LIMITED Second Appellant
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FOREST MANAGEMENT (NZ) LIMITED Third Appellant
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NOTTINGHAM FOREST PARTNERSHIP Fourth Appellant
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AND
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UNISON NETWORKS LIMITED Respondent
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Hearing:
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8 September 2020
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Court:
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Cooper, Clifford and Collins JJ
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Counsel:
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C T Walker QC, A L Sweeney and I J Thain for Appellants J B M Smith
QC and S B McCusker for Respondent
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Judgment:
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3 June 2021 at 10.30 am
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JUDGMENT OF THE COURT
A The
appeal is dismissed.
B The cross-appeal is also dismissed.
- The
appellants must pay the respondent costs on the appeal calculated for a standard
appeal on a band A basis, and usual disbursements.
We certify for two
counsel.
- The
respondent must pay the appellants costs on the cross-appeal on the same basis,
and usual disbursements. We certify for two counsel.
____________________________________________________________________
REASONS OF THE
COURT
(Given by Cooper J)
Table of Contents
Para No.
Introduction
- [1] Over
a period from December 2010 to August 2016 pine trees growing in
a commercial forest owned and operated by the appellants
(Nottingham
Forest),[1] which had been planted
many years earlier, fell onto two electricity lines owned and operated by the
respondent, Unison Networks
Ltd (Unison). There were power outages to
Unison’s customers while repairs were carried out.
- [2] Unison
commenced proceedings in the High Court in relation to one of the affected
lines. Its claim was advanced in nuisance,
Rylands v Fletcher and
negligence. It sought damages reflecting the cost of repairs and an injunction
to prevent continuing falls onto the line.
- [3] Ellis J
found in favour of Unison in both nuisance and Rylands v
Fletcher.[2]
The Judge considered that negligence had not been established. She awarded
damages but declined injunctive relief.
- [4] Nottingham
Forest appeals, asserting that its only potential liability was in negligence
and that it could not be liable in nuisance
or Rylands v Fletcher. It
says that since it was not at fault in its management of the forest, Unison is
not entitled to relief against it. In the circumstances
that arose, Unison was
itself liable to meet the costs of repair and suffer what consequences might
arise from future tree falls
in the vicinity of the line.
- [5] Unison
counters that the High Court correctly found Nottingham Forest liable in
nuisance and Rylands v Fletcher. It also cross-appeals, asserting that
it should have succeeded on its negligence claim and on its claim for injunctive
relief.
Facts
- [6] The
essential facts can be succinctly stated. The forest comprises a little over
150 hectares and contains at least 30,000 trees.
The land was in use as a
beef and sheep farm before its acquisition by Nottingham Forest in the early
1990s. The trees are Pinus
Radiata and were planted in 1994.
- [7] Unison owns
two power lines that run through the forest: An 11kV line and a 33kV line.
The section of the 11kV line through the
forest is 495 metres long and the
section of the 33kV line through the forest is 394 metres long. The proceeding
concerned damage
to the latter line, known as the Esk Feeder (the line). It was
established in the late 1960s or early 1970s, and there was no dispute
in the
High Court that Nottingham Forest knew of its existence at the time the forest
land was acquired.[3] There is a
corridor around each of the lines, in each case approximately 30 metres wide in
total, where no trees have been planted.
The nearest tree to the line is
planted about 15 metres away from it.
- [8] The trees on
the edge of the corridor grew to a height that was greater than their distance
from the line some time between 2002
and 2008. However, in forestry terms,
Pinus Radiata are not at their optimum maturity until they reach a height of
30 metres. On
average the trees were 13.8 metres tall in 2002, 20 metres
in 2008 and 38 metres in 2018. Harvesting of the trees was not scheduled
to
start before the end of 2020. The Judge found that by 2010 the trees planted on
the edge of the corridor had grown taller than
the full distance between those
trees and the line. In the circumstances, there was what the Judge described as
“a very good
chance” that the line would be hit, and damage caused
by falling trees.[4] In fact, that
began to happen, with trees falling and causing power outages in December 2010
and July 2011. Further, in September
2013, a windstorm resulted in a tree fall
causing $20,000 worth of damage to a structure on the line. In addition, there
were outages
on the 11kV line as a result of tree falls in April 2012 and
January and November 2014.
- [9] On 27
February 2015, Unison sent the third appellant, Forest Management (NZ) Ltd
(FMNZ), a notice referring to potential liability
for damage caused by trees
falling on the lines and recommending that trees be cleared to prevent further
damage to the lines. This
was resisted unless there was appropriate
compensation.
- [10] Two trees
fell and hit the line on 24 September 2015 (referred to by the Judge as the
“First Strike”).[5] The
trees were around 31 metres in height and had been growing on a slope on the
edge of the corridor approximately 20 metres from
the western side of the line.
This event resulted in a power outage. Power was not fully restored to the last
customer for some
48 hours. On 8 July 2016 another tree on the western side of
the line approximately 30 metres in height and growing about 20 metres
from
the line at the edge of the cleared corridor fell on the line
(the “Second
Strike”).[6] There was a supply
interruption of up to 21 hours whilst the necessary repairs were carried out.
Following this event, FMNZ agreed
to remove about 30 trees as a precautionary
measure.
- [11] There was a
further event on 6 August 2016 (the “Third
Strike”).[7] As with the First
and Second Strikes, the tree had been growing on the sloped land on the western
side of the line. This caused
an interruption to the supply lasting up to six
days while the necessary repairs, which were delayed as a result of a snowstorm,
were carried out. After these events Unison’s Chief Executive wrote to
the second appellant, Roger Dickie (N.Z.) Ltd (RDNZ),
claiming that as a
consequence of the Second and Third Strikes Unison had suffered power
outages and incurred repair costs of over
$133,000. It was said that Unison
would hold RDNZ “liable for damage arising from the two ... incidents ...
on 8 July and
6 August”, as the damage was:
... a wrongful
interference with Unison’s lawful and reasonable use of the land in
circumstances where [RDNZ] has failed to
exercise the care in the management of
trees that a reasonably prudent forestry operator would exercise.
- [12] A further
event occurred on 5 September 2018 (the “Fourth
Strike”),[8] after the present
proceedings had been filed. Three further trees fell. Once again, the trees
were planted on the slope on the
western side of the line. There was a supply
interruption of approximately five hours while the necessary repairs were
carried out.
- [13] The line
provides electricity to approximately 380 customers. The four strikes resulted
in outages affecting all customers served
by the line. Each strike interrupted
electricity supply until Unison repaired the line.
- [14] Each time
the trees fell as a result of what is known as “root plate failure”,
which occurs when the roots of a tree
are insufficient to anchor it in the
ground when the soil loosens and no longer holds up the tree, usually following
adverse weather
conditions. The trees that fell were healthy trees and the
strikes followed periods of relatively high winds and heavy rainfall.
However,
even with regular inspections to identify trees at risk of falling, Nottingham
Forest did not and could not identify in
advance the trees which fell in the
four strikes. Having assessed the relevant expert evidence before her, the
Judge said:
[67] In the end, however, all that can really be taken
from the expert evidence (in terms of assessing the risk of any specific tree
failing) is that:
(a) healthy plantation pine trees can fail in adverse weather conditions for a
number of reasons (including root plate failure);
(b) some risk factors are elevated where trees are grown around a cleared
corridor;
(c) each tree fall event adds to the risk that newly exposed trees will fail;
and
(d) earlier falls of trees in a particular area might suggest that future falls
in that area are more likely.
Unison’s claim in the High Court
- [15] As
noted above, Unison pleaded three causes of action, in nuisance,
Rylands v Fletcher and negligence.
- [16] In respect
of the claim in nuisance it was said that the maintenance of the forest by
Nottingham Forest had created and continued
to create a state of affairs that
unreasonably and substantially interfered with Unison’s right to the use
and enjoyment of
the land over which the line is installed by:
(a) allowing trees growing near the line to reach a height at which they could
fall onto it;
(b) failing to ensure that the trees were inspected and managed in a way that
excluded any risk, or alternatively excluded any material
risk, to the line; and
(c) allowing trees to fall onto the line.
- [17] Unison
claimed that its loss due to the damage caused by the four strikes was
reasonably foreseeable by Nottingham Forest.
- [18] The
Rylands v Fletcher claim alleged that one or more of the
defendants possessed and controlled the land and the trees planted on it. It
was claimed that
each of the four strikes caused damage due to:
(a) an escape of something harmful from the forest land, due to a
non‑natural use of that land; and/or
(b) other interference with Unison’s property rights arising from a
non‑natural use of the land.
- [19] It was
again pleaded that the damage caused by the four strikes was reasonably
foreseeable by Nottingham Forest.
- [20] The
negligence claim asserted that Nottingham Forest owed Unison a duty to take
reasonable care and to exercise reasonable skill
in managing and maintaining the
trees on their land in order to ensure that none fell onto or otherwise came
into contact with the
line. It was then claimed that Nottingham Forest breached
that duty by allowing trees growing near the line to reach a height at
which
they could fall upon it while failing to:
(a) implement a regular programme of inspection to identify trees with an
“elevated risk of falling” on the line;
(b) prune or harvest the trees at risk of falling;
(c) carry out regular trimming of the trees; and
(d) identify and remedy the risks caused by the trees that ultimately fell
causing each of the four strikes.
- [21] The
pleading alleged a continuing breach of the duty of care by allowing trees
growing near the line to reach a height at which
they could fall and damage
it.
- [22] Unison
claimed damages in the sum of $228,829, being the cost of remedying the damage
caused by the four strikes. It also sought
a declaration that the defendants
were jointly and severally liable for the costs of remedying the damage to the
line caused by each
of the strikes. Injunctive relief was also sought,
requiring Nottingham Forest to ensure that no tree was of such a height and
proximity
to the line that it could fall on it or, alternatively, to ensure that
Nottingham Forest operated an inspection and maintenance regime
sufficient to
ensure that no further trees would fall on the
line.
The High Court judgment
- [23] The
first substantive issue dealt with by the Judge was the question of whether
Unison had a sufficient interest in or connection
to the land over which the
line was installed to enable it to advance a claim in nuisance or
Rylands v Fletcher.[9]
The Judge noted that under the Electricity Act 1992, Unison as the
“owner of the works” has a right to own and continue
the fixing and
installation of the line,[10] and to
maintain and upgrade it.[11] In the
absence of evidence bearing directly on the issue, the Judge was prepared to
assume that given the timing of the placement
of the lines on the land, their
construction had been authorised either under the Electric-power Boards Act 1925
or the Electricity
Act 1968, possibly also relying on powers in the Public Works
Act 1928.[12] Further, she
considered as a matter of policy that the presence of the lines was sufficient
to give Unison any necessary interest
for the purposes of nuisance and
Rylands v
Fletcher.[13]
- [24] The Judge
relied on Charing Cross Electricity Supply Co v Hydraulic Power
Co,[14] in which the
plaintiff’s electricity cables laid under the street were damaged by water
escaping from the defendant’s
hydraulic mains, and two judgments of this
Court in which infrastructure placed in and under streets relating to the
transmission
of electricity was held to be rateable
property.[15] She noted that
counsel for Nottingham Forest, Mr Thain, did not concede that Unison had the
requisite interest in land, but had
not strenuously argued that these cases
should be distinguished on the basis that what might properly be regarded as an
interest
in land in a rating context should not be so regarded for the purposes
of a nuisance claim. The Judge concluded
that:[16]
(a) Unison’s statutory right (once exercised) constitutes an interest in
land in the form of a corporeal hereditament;
(b) the owner of the utility works has the exclusive right to occupy the portion
of the soil where the works lie to the exclusion
of all others;
(c) the interests of the owner of the surrounding land are ousted so long as the
works remain in place;
(d) as the statutory right confers exclusive possession, the utility
company’s interest in the land is greater than an easement
or a license;
but
(e) even if no interest in land can be said to exist, as a matter of policy, the
existence and importance of the works must mean
that Unison is possessed of a
sufficient interest to found an action in Rylandsv Fletcher or
nuisance.
Although Nottingham Forest’s appeal challenged these conclusions, Mr
Walker QC advised us at the hearing of the appeal that
the issue was no longer
pursued.
- [25] There could
be no doubt that Unison’s interest had been substantially interfered with
by the falling trees. The essential
issue then, for the nuisance and
Rylands v Fletcher claims, was whether Nottingham Forest should
be “strictly liable” for the resultant damage.
- [26] The Judge
noted that in the case of an ongoing interference with a plaintiff’s
relevant interest in land attributable to
a defendant’s unreasonable use
of their land, liability in nuisance is
strict.[17] Further, she wrote that
physical damage to a plaintiff’s land caused by a continuous or recurring
emanation from a defendant’s
land is sufficient to establish unreasonable
use by a defendant.[18] This was to
be contrasted with one-off incidents, which are unlikely to be the result of an
unreasonable user.[19]
- [27] The Judge
also said that where a one-off incident attributable to a defendant has resulted
in damage to a plaintiff’s interest,
liability in negligence requires
fault to be established. However, where the one-off incident is the result
of:[20]
... an isolated
escape of something dangerous (a non-natural user) which a defendant has brought
onto or accumulated on his land,
liability (under the rule in Rylands v
Fletcher) is strict.
- [28] The Judge
considered that the statement of claim drew a distinction between liability for
the individual tree falls (which had
been pleaded in reliance on
Rylands v Fletcher) and liability for the “state of
affairs” created by the trees on Nottingham Forest’s land
(pleaded in nuisance).[21] She
thought the thinking that underlay this approach was that Rylands v
Fletcher is generally regarded as more apt in cases of “one-off”
rather than continuing interferences with a plaintiff’s
interest in
land.[22]
- [29] The Judge
recorded that in closing submissions counsel for Unison in the High Court,
Mr May, had said that the Rylands v Fletcher aspect of the claim was not
pursued. She
said:[23]
As I
understand it, that change in position was predicated on the assumption that
both the “state of affairs” and the
falling trees constituted
nuisance simpliciter. Given that the individual tree falls form the foundation
for the damages claim,
the concession cannot have been intended to signal an
abandonment of the strict liability claim relating to those falls.
- [30] Notwithstanding
what the Judge described as this “change of position” by Unison, she
proceeded to deal with Rylands v Fletcher, noting that there would be no
prejudice to Nottingham Forest in her doing so, because by the time of
Mr May’s advice, Mr Thain
had already made closing submissions for
Nottingham Forest which necessarily dealt with the Rylands v
Fletcher aspect of the
claim.[24] She described
Mr Thain’s principal position as being that liability for the falling
trees could not be strict, whether in
nuisance or under Rylands v
Fletcher.[25]
- [31] On this
approach the Judge proceeded to address Nottingham Forest’s liability for
the four strikes in terms of Rylands v Fletcher. She considered that
there were a number of aspects of the factual setting which pointed towards
strict liability for the tree falls.
She listed these as
follows:[26]
(a) the bulk supply of electricity (and ensuring its continuity) is a matter of
significant public importance;
(b) the electricity works (Unison’s interest in land) pre-date the
planting of the Forest;
(c) while it does not seem that the defendants receive compensation from Unison
for the ongoing presence of the works, their presence
would logically have
influenced the price for which they purchased the land;
(d) the Forest was planted at a time when there was no statutory/regulatory
obligation to ensure that trees/branches were located
or kept at any particular
distance from the works;
(e) the object in planting and growing the Forest is commercial and it is
implicit in that endeavour that the trees are to reach
a certain (mature) height
before harvesting;
(f) it was foreseeable (at the time of planting) that a number of those mature
height trees would be within falling distance of Unison’s
pre‑existing electricity works;
(g) it was foreseeable (at the time of planting) that any trees which do fall on
the works are likely to do physical damage to the
works and that such damage
would have both a physical component and a consequential effect for
Unison’s customers;
(h) it was known (and again was foreseeable) that healthy trees in forests can
fall from time to time, for example as a result of
weather events and/or soil
conditions, and notwithstanding that the trees themselves have no obvious
defects; and
(i) at the time of planting Unison had no ability (statutory or otherwise) to
require the defendants’ trees to be felled or
to fell them itself and
(accordingly) no way of protecting the works; and
(j) the subsequent promulgation of the [Electricity (Hazards from Trees)
Regulations 2003] has not changed that position, because
they apply only to
encroaching trees.
- [32] The Judge
thought these considerations all pointed in favour of strict liability for the
tree falls. She did not consider that
the cases on which Nottingham Forest
relied to argue that it should be liable only if shown to be at fault
established that Unison
should bear the risk posed to its works by a mature
forest which had been “deliberately planted around Unison’s existing
works for profit and in the knowledge (and intention) that they [would]
ultimately grow to be within falling distance of those
works”.[27]
- [33] The Judge
held that, analysed in Rylands v Fletcher terms, the individual tree
falls could be regarded as “one-off” escapes of dangerous things
from Nottingham Forest’s
land.[28] Whilst ordinarily a
single healthy tree would not be regarded as dangerous, a different conclusion
was warranted in light of the
contextual matters she set out, which we have
quoted above. A distinction could properly be drawn between one or a small
number
of trees growing in a domestic setting and a commercial forest
planted around power lines. It was the “accumulation”
of trees
growing to within falling distance of the line which took the activity outside
any “natural” use of the
land.[29]
- [34] The Judge
also held that Nottingham Forest was liable in nuisance, as the physical damage
caused to the line by “recurrently
falling trees” constituted an
ongoing, substantial and unreasonable interference with Unison’s enjoyment
of its interest
in land.[30]
Alternatively, the deliberate growing of many trees within falling distance of
the line constituted an unreasonable use. While
a landowner might reasonably be
expected to bear the risk posed by trees growing naturally on
a neighbour’s land, the present
situation was not comparable with
that. This was not a case where fault needed to be established, beyond the
planting of the trees
knowing that they would grow to within falling distance of
the line.[31] Further, whether
liability was founded on Rylands v Fletcher or in nuisance
“proper”, both the damage and Unison’s loss were
foreseeable.[32] The Judge
concluded:
[96] In short, it seems right in principle that strict
liability should follow where both the choice to accumulate the trees in the
first place and the ability to ensure that, in the event of a fall, they do not
damage Unison’s works, lies with the defendants.
Unison is powerless to
protect itself and its customers from harm (no evidence was called, and no
argument made, in terms of any
ability Unison might have to insure against the
risk). Damage from tree fall was never a risk its predecessor assumed when
placing
the works on the land.
- [35] In view of
these conclusions the Judge considered that the only continuing relevance of the
“state of affairs” pleading
was as a foundation for quia timet
injunctive relief.[33] Such relief
was unavailable unless the relevant nuisance could be said to be ongoing. This
was unlikely in the case of Rylands v Fletcher claims because, of their
nature, they concern one-off incidents. However, in respect of the nuisance
claim, the Judge considered
it arguable that the existence of a
well‑founded fear that the nuisance constituted by the falling trees would
re-occur was
itself a nuisance.[34]
The history of past falls and the evidence given in Court meant that the
fear and danger of future falls was well-founded. However,
the Judge considered
that on balance the risk was not sufficiently strong to justify the grant of a
mandatory injunction.[35]
- [36] The Judge
discussed the claim in negligence only briefly. She observed that it had been
pleaded as an alternative to Unison’s
“primary claims” in
nuisance and Rylands v
Fletcher.[36] She noted further
that unless the relevant breach of duty could be said to be planting the trees
within falling distance of the
line (which had not been pleaded) no fault had
been established on the evidence. She thought it was unnecessary to consider
this
cause of action
further.[37]
- [37] In a
summary, the Judge concluded
that:[38]
(a) Nottingham Forest was strictly liable to Unison for tree falls onto the
line;
(b) injunctive relief was not appropriate; and
(c) Nottingham Forest must pay damages to Unison in the sum of $195,000.
The appeal
- [38] Nottingham
Forest’s principal submission on appeal is that the Judge should not have
found them strictly liable for the
damage caused by their trees falling onto the
line.
- [39] Mr Walker
submitted that the growing of trees, even in a forest, is a natural use of the
land and could not give rise to liability
under the rule in
Rylands v Fletcher. Nor could Nottingham Forest be liable in
nuisance as, of itself, the existence of trees standing within falling distance
of the
line was not unreasonable. Mr Walker relied on cases which were cited in
the High Court as establishing that liability for tree
falls is not strict and
requires fault in the management of the trees. The relevant standard for that
was the same in nuisance and
negligence. He submitted that nothing in the
present context justified a departure from the existing case law, and because
Nottingham
Forest was not at fault in their management of the trees, it followed
that they should not have been found liable.
- [40] Underpinning
Mr Walker’s submissions was the idea that trees are ubiquitous, that the
tree falls occurred in a forest,
that accumulations of trees whether in a forest
or in a suburban setting are common and that many trees are planted in the
vicinity
of property boundaries where they might fall and cause damage. He
pointed out that Nottingham Forest had complied with the relevant
regulatory
regime governing tree distances from
utilities,[39]
and had conducted regular, reasonable inspections in an endeavour to identify
unhealthy trees or those at any specific risk of falling.
The tree falls had
occurred despite these efforts.
- [41] For Unison,
Mr Smith QC submitted that Unison has rights proceeding from its interest in
land to be free from unreasonable interference,
and the physical damage
inflicted on the line was sufficient to render the interference caused by the
tree falls unreasonable. He
argued that strict liability arises where a
defendant has created a nuisance and the taking of reasonable care from that
point onwards
is not relevant. This was not a case where the nuisance had been
created by someone other than the defendant, where principles based
on fault
might be relevant.
- [42] As to
Rylands v Fletcher, Mr Smith accepted that the continuing interference by
tree falls and the continuing risk of that happening made strict liability
in
nuisance a more appropriate finding, but contended there could be no question
that Nottingham Forest was also liable under the
rule in Rylands v
Fletcher. He submitted Nottingham Forest’s argument that since trees
are by definition a natural thing their maintenance could not be
a non-natural
use of the land was
incorrect.
Discussion
Nuisance
- [43] A
private nuisance may be defined as any ongoing or recurrent activity or state of
affairs that causes a substantial and unreasonable
interference with a
plaintiff’s land or their use or enjoyment of that
land.[40]
However, this simple statement of the nature of the tort masks difficulties that
can arise in delineating the kinds of interest protected
by it and the
boundaries between private nuisance, trespass and negligence.
- [44] The origins
of the law of private nuisance and its distinguishing characteristics were
discussed by Professor F H Newark in a
well known article “The Boundaries
of Nuisance” published in
1949.[41]
He referred to the three ways in which the law historically recognised a person
could be interfered with in their rights over land,
observing:[42]
Wholly to
deprive a man of the opportunity of exercising his rights over land was to
disseise him, for which he might have recourse
to the assize of novel
disseissin. But to trouble a man in the exercise of his rights over land
without going so far as to dispossess
him was a trespass or a nuisance according
to whether the act was done on or off the plaintiff’s land. Thus, to go
on to the
plaintiff’s land and demolish a weir was a trespass which gave
rise to the action of trespass: to stay on your own land and
demolish a weir to
the hurt of the plaintiff was a nuisance for which the assize of nuisance was
the proper remedy. Nuisance could
never be committed on the plaintiff’s
land: an act done on the plaintiff’s land would be disseisin or trespass
according
to circumstances.
- [45] Thus it is
that trespass to land relates to direct intrusions upon land by a defendant,
whereas private nuisance deals with indirect
or consequential interferences with
land affecting a plaintiff’s right to use or enjoy
it.[43]
- [46] A
traditional requirement for private nuisance is that there be an emanation from
the defendant’s land to that of the
plaintiff.[44] The concept of
“emanation” was explained by the Supreme Court in Wu v Body
Corporate as
follows:[45]
[123] Emanation
is the connecting act between the activities done on a defendant’s land
and the alleged interference with the
use and enjoyment of the plaintiff’s
land. Emanation requires a transposition of the alleged nuisance (such as
noise, dirt,
noxious substances or vibrations) from the defendant’s
property to the plaintiff’s property. When the alleged nuisance
reaches
the plaintiff’s property, and substantially and unreasonably interferes
with [the] plaintiff’s right to use and
enjoy his or her land, there will
be an actionable private nuisance.
- [47] Although
the emanation requirement is perhaps more apt in the context of claims based on
odours, fumes or noise, the branches
that successively fell onto Unison’s
line here can be described as emanations from Nottingham Forest’s land
where the
trees were growing.
- [48] It is
possible to distinguish between different kinds of interferences with a
plaintiff’s land which do not involve trespassing
on the land or
dispossessing its owner. First, occupiers may do something on their land which
interferes with the enjoyment or amenity
of the neighbouring land, such as where
the defendant’s conduct causes nauseating or noxious
smells,[46] excessive amounts of
smoke or noise,[47] or the
infringement of a servitude such as a right to
light.[48]
- [49] A second
kind of case comprises interferences in which a defendant’s actions on its
own land result in physical damage
to a plaintiff’s property. Where the
damage resulted from a “one-off” event, liability (at least in the
nineteenth
century) typically turned on the plaintiff demonstrating a negligent
act by the defendant. Thus in Vaughan v Menlove a poorly
constructed haystack near the boundary of the defendant’s property caught
fire, and cottages situated on the adjacent
property were burnt
down.[49] In the Court of Common
Pleas, Tindal CJ referred to a requirement for the defendant to exercise a
standard of care “such as
a man of ordinary prudence would
observe”.[50]
- [50] Reference
may also be made to Black v The Christchurch Finance Co Ltd in which a
fire on the defendants’ land destroyed crops, fences and firewood on
the plaintiff’s
property.[51] The principal issue
concerned the defendants’ liability for the mistakes of independent
contractors. The Privy Council proceeded
on the basis that the claim was
properly brought in negligence. So too, in
Balfour v Barty-King, Lord Goddard CJ observed
that:[52]
... a person
in whose house a fire is caused by negligence is liable if it spreads to that of
his neighbour, and this is true whether
the negligence is his own or that of his
servant or his guest ...
- [51] These cases
were discussed by Conor Gearty in his article “The Place of Private
Nuisance in a Modern Law of
Torts”.[53]
He observed that the references in those cases to duty and negligence were not
surprising in the context of the gradual emergence
of the tort of
negligence.[54]
He continued:[56]
It
grew out of the older, nominate, forms of tort. A negligent neighbour who
damaged your land more resembled a negligent bailee
or a negligent driver than a
factory owner deliberately emitting smoke and noxious gases into the atmosphere.
The negligent act was
generally an isolated event: it is difficult to be
continuously negligent without becoming desirous of, or at least reckless as to,
the damage that is being done. ... So negligence was the chosen tort and it has
remained so to this day, covering D’s negligent
behaviour where it damages
his neighbour P’s property, in the same way as it encompasses many other
varieties of fault.
- [52] The cases
concerning falling trees on which Nottingham Forest relies in the present case
can be fitted readily within such an
analytical framework. Mr Walker referred
first to Noble v Harrison in which a branch of a tree growing on the
defendant’s land overhanging a highway fell, damaging the
plaintiff’s
vehicle.[57]
The County Court found that the defendant did not know that the branch was
dangerous, and the fall of the branch was due to a latent
defect not
discoverable by any reasonably careful inspection. Nevertheless, the defendant
was held liable in both Rylands v Fletcher and nuisance.
- [53] On appeal
it was held that Rylands v Fletcher did not apply. Rowlatt J held that
growing a tree was one of the natural uses of the soil, and it made no
difference whether the
tree was planted or self-sown, and for what purpose it
was planted or maintained.[58] To
similar effect, Wright J
said:[59]
I do not think
it material to consider whether the beech was originally planted (as most
boundary trees would be) or whether it grew
casually. Such a tree is a usual and
normal incident of the English country; it develops by slow natural growth, its
branches are
not likely to cause danger, even if permitted to expand outwards
over the highway. Such a tree cannot be compared to a tiger, a
spreading
fire, or a reservoir in which a huge weight of water is artificially accumulated
to be kept in by dams, or noxious fumes
or sewage. I see no reason whatever to
apply the principle of Rylands v Fletcher to the case now under
consideration.
- [54] He went on
to refer to a statement made in Blake v
Woolf,[60]
cited with approval by the Privy Council in Rickards v
Lothian,[61]
that there was an exception to the rule stated in Rylands v Fletcher so
that:[62]
... where a
person is using his land in the ordinary way and damage happens to the adjoining
property without any default or negligence
on his part, no liability attaches to
him.
- [55] Nor was the
defendant liable in nuisance. The mere fact that the branch had been
overhanging the highway did not make it a nuisance:
it did not obstruct the free
passage of the highway, and although the branch had caused damage when it fell,
the defendant was not
liable because he had not created the danger and had no
knowledge, actual or able to be imputed, of its
existence.[63] In this respect,
Rowlatt J stated that the defendant could be liable for a nuisance constituted
by the state of his property only
if he had caused it, or if “by the
neglect of some duty he allowed it to arise” or if, when it had arisen
without his
own act or default, he omitted to remedy it within a reasonable time
after he became aware or ought to have become aware of
it.[64] Further, Wright J
considered there could be no liability in nuisance for a “secret and
unobservable operation of
nature”.[65]
- [56] Mr Walker
also relied on Darroch v Caroll, in which leaves falling from overhanging
branches of a tree planted near the boundary of two residential properties had
caused blockages
of water and resultant dampness to the plaintiff’s
house.[66] A magistrate issued
a mandatory injunction requiring removal of the tree from the defendant’s
land. On appeal, the High Court
(then the Supreme Court) varied the injunction
to require removal of the overhanging branches, as opposed to the whole
tree.[67] Shorland J held that
permitting the branches of a tree to overhang a boundary or encroach upon the
property of a neighbour was a
nuisance. However, removal of the encroaching
branches would bring the nuisance to an end. Going further would require some
other
breach of duty.[68] After
reviewing various authorities, Shorland J described the relevant duty of a
landowner in respect of trees growing on the land
as
being:[69]
... not a
duty of insuring his neighbour or users of the adjoining highway against damage
from his trees; but ... a duty to exercise
the care in the management of his
trees which a reasonably prudent landowner would exercise.
- [57] Mr Walker
also referred to Helson v Dear, in which there were claims in negligence
and nuisance concerning two pine trees that fell and damaged a neighbouring
house.[70] On the facts, the
High Court considered it would have been unreasonable to require the landowner
to carry out any inspection of
the trees which appeared to be healthy, unless
“something occurred that should have put her on her
guard”.[71] While there was
evidence that “a branch or two had fallen from the trees over the
years”, that was nothing more than
could have been expected in the
ordinary course of events and there was nothing that should have put the
landowner
“on enquiry”.[72]
The Judge accepted that while an escape of something on a single occasion would
not ordinarily be a nuisance, there was no reason
in principle why it should not
be. However, to expect the defendant to have known of the dangerous condition
of the trees would
have been to go beyond what was required of an
“ordinary reasonable prudent
landowner”.[73] On this basis
the cause of action in nuisance could not succeed. The negligence claim also
failed, on the basis that the Court
considered the relevant duty was the
same.[74]
- [58] The key
factual difference between these cases and the present is that here there has
been what the Judge described as a “continuous
or recurring
emanation” from Nottingham Forest’s land causing physical damage to
Unison’s property as a result
of trees planted by Nottingham Forest that
would grow within falling distance of the
line.[75] This finding underpins
the proper analytical approach to liability in the circumstances of this case.
The facts show that as a
result of successive falls of trees that had grown to a
height greater than their distance from the line, there was material and
substantial damage to the line, which was unable to function for its intended
purpose of conveying electricity until costly repairs
were carried out. The
ongoing nature of such occurrences puts the case in a different category to
those relied on by Nottingham
Forest whose facts engaged the law of negligence.
As Gearty noted in the passage quoted above, the cases he surveyed generally
involved
an isolated event, and “it is difficult to be continuously
negligent without becoming desirous of, or at least reckless as
to, the damage
that is being done”.[76]
- [59] In order
for there to be an actionable nuisance there must be an interference with the
plaintiff’s use and enjoyment of
its land which is unreasonable. In
assessing whether there has been an unreasonable interference, it is necessary
in each case to
achieve a balance between the competing rights of the plaintiff
and the defendant. In one well known statement, Bramwell B said
that the law of
private nuisance is essentially a “rule of give and take, live and let
live”.[77] In
Sedleigh-Denfield v O’Callaghan Lord Wright observed that
a:[78]
... balance
has to be maintained between the right of the occupier to do what he likes with
his own, and the right of his neighbour
not to be interfered with.
Further, in Hunter v Canary Wharf Ltd, Lord Goff referred to
“striking a balance between the interests of neighbours in the use of
their land”.[79] And in
Southwark London Borough Council v Tanner Lord Millett referred to
balancing the conflicting interests of adjoining
owners.[80]
- [60] As
Professor Bill Atkin emphasises, the critical question is always whether the
interference complained of is unreasonable because
it exceeds the level that a
reasonable occupier, expected to tolerate the reasonable activities of a
neighbour, would regard as
acceptable.[81] As to what
constitutes a “reasonable” interference, a distinction can be
drawn between the activities of a defendant
that cause a non‑physical
interference with the use and enjoyment of a plaintiff’s land, and
activities that result in
non-trivial, physical damage to neighbouring
land.[82]
Where, as in this case, there has been ongoing and substantial physical
damage to a plaintiff’s property, that will ordinarily
be sufficient,
without more, to establish that the interference is
unreasonable.[83]
- [61] We accept
that there is a social utility in the growing of trees for forestry purposes, as
Mr Walker submitted. However, as
Mr Smith countered, there is also of course a
very obvious utility in the provision and maintenance of lines for the supply of
electricity.
But the case does not call for a comparative weighting of one
activity against the other. The question here is whether Nottingham
Forest’s maintenance of trees planted adjacent to Unison’s line,
close enough to damage it when from time to time they
fell, unreasonably
interfered with Unison’s right to enjoy its property interest in the line.
- [62] Given the
inevitability (demonstrated by earlier events) of tree falls in and following
bad weather conditions, we have no doubt
that it was unreasonable for Nottingham
Forest to allow the trees to grow to the height at which they would cause
physical damage
to Unison’s line when they fell. In doing so, Nottingham
Forest created a state of affairs on its land that caused an unreasonable
and
continuing interference with Unison’s line.
- [63] A party
responsible for creating a state of affairs that unreasonably interferes with a
neighbouring property will be strictly
liable for the consequences in the sense
that it will not be a defence to show that all reasonable precautions were taken
to prevent
the activity from causing an unreasonable interference. As was said
by Lord Goff in Cambridge Water Co v Eastern Counties Leather plc,
where the defendant has been responsible for the creation of a nuisance
liability is strict, although “that liability has
been kept under control
by the principle of reasonable
user”.[84]
In the
result:[85]
... if the
user is reasonable, the defendant will not be liable for consequent harm to his
neighbour’s enjoyment of his land;
but if the user is not reasonable, the
defendant will be liable, even though he may have exercised reasonable care and
skill to avoid
it.
- [64] The
principle was also succinctly stated by Lord Hoffmann in Transco plc v
Stockport Metropolitan Borough
Council.[86]
He
observed:[87]
Liability
in nuisance is strict in the sense that one has no right to carry on an
activity which unreasonably interferes with a neighbour’s use of land
merely because one is doing it with all
reasonable care. If it cannot be done
without causing an unreasonable interference, it cannot be done at all.
- [65] He went on
to state that a defendant’s liability to pay damages is “limited to
damage which was reasonably
foreseeable”.[88] Such
foreseeability does not in our view relate to the specific instance of damage,
but to the kind of damage that has occurred as a consequence of the acts
that gave rise to the interference. That conclusion is consistent with the
principles concerning foreseeability of damage discussed in Cambridge Water
Co. After observing that taking all reasonable care will not of itself
exonerate a defendant who has created a nuisance from liability
(the relevant control mechanism being the principle of reasonable user),
Lord Goff
continued:[89]
But it by
no means follows that the defendant should be held liable for damage of a
type which he could not reasonably foresee; and the development of the law
of negligence in the past 60 years points strongly towards
a requirement that
such foreseeability should be a prerequisite of liability in damages for
nuisance, as it is of liability in negligence.
- [66] This was
followed by a brief reference to Lord Reid’s judgment in The Wagon
Mound (No
2)[90]
and the conclusion that foreseeability of harm is a prerequisite of
the recovery of damages in private
nuisance.[91] Lord Goff
characterised Lord Reid’s discussion of foreseeability as relating to
remoteness of damage.[92] We note
that, consistently with these cases, in Hamilton v Papakura District
Council this Court held that in nuisance, as with Rylands v Fletcher,
foreseeability of the type of damage that occurred is a prerequisite to the
recovery of
damages.[93]
- [67] It is no
answer to this to say, as Nottingham Forest does here, that it was not possible
to predict which if any trees would
in fact fall in the extreme weather
conditions that occurred. As noted earlier, the four strikes which form the
basis of Unison’s
claim came after earlier events in which trees fell
causing power outages in December 2010, July 2011 and September 2013. The 11kV
line was affected by tree falls in April 2012 and January and November 2014.
Accordingly, it was obvious that there was a real possibility
that ongoing tree
falls causing damage to the line would occur. And while it was not possible to
predict which individual tree might
fall, the reasonable action for Nottingham
Forest to have taken was to remove the trees which would cause damage to the
line if they
fell.
- [68] In the
circumstances, we have no doubt that the four strikes for which Unison sought
damages were incidents involving damage
of a type which was plainly foreseeable.
Given our earlier conclusion concerning unreasonable interference, we therefore
think the
Judge was right to find Nottingham Forest liable to pay damages
in nuisance given the finding, now not challenged, that Unison had
a sufficient
proprietary interest to sue.
- [69] We do not
read compliance with the Electricity (Hazards from Trees) Regulations 2003 as an
indication that the activity of Nottingham
Forest was reasonable. Nottingham
Forest accepted that the Judge correctly held that the Regulations (and in
particular reg 40[94]) do not remove
common law liability of the owner of trees to the owner of works (defined in
accordance with the Electricity
Act[95]) for damage caused by tree
falls. However, Nottingham Forest’s submission was that the reference in
reg 40 to damage to works
by a “tree owner” (as opposed to
“trees”) recognises that there must be fault on the part of the tree
owner.
We doubt that the Regulations were intended to have any impact on common
law liability other than to preserve it. In any event,
at common law,
unreasonable user can be inferred from the fact that ongoing physical damage is
caused by the impugned activity.
- [70] We note
that different approaches have been taken to the issue of whether foreseeability
of the risk of harm is a necessary ingredient
of liability in
nuisance.[96] In the United
Kingdom, the Court of Appeal in Northumbrian Water Ltd v Sir Robert McAlpine
Ltd held that the event which causes the interference with the
plaintiff’s property must be reasonably foreseeable by the
defendant.[97] Thus the respondent
was not liable for damage caused by concrete which had leaked into a private
sewer, as the Court held there
was no reason to think the respondent should have
foreseen the possibility that concrete would escape from its development site to
neighbouring property.[98] In
PEX International Pte Ltd v Lim Seng Chye, however, the Singapore Court
of Appeal declined to follow that approach, preferring to rely on the concept of
reasonable user to
control liability in
nuisance.[99] Foreseeability of the
kind of harm, however, remained relevant to whether damages could be
recovered.
- [71] It is not
necessary in this case to choose between these different approaches. On the
facts, both the kind of damage and the
tree falls which caused it were plainly
foreseeable.
Rylands v
Fletcher
- [72] The
“rule” in Rylands v Fletcher is based on the statement made
by Blackburn J in that
case:[100]
We
think that the true rule of law is, that the person who for his own purposes
brings on his lands and collects and keeps there anything
likely to do mischief
if it escapes, must keep it in at his peril, and, if he does not do so, is prima
facie answerable for all the
damage which is the natural consequence of its
escape.
- [73] The
decision was affirmed in the House of Lords, but Lord Cairns LC added the gloss
that the rule was restricted to circumstances
where the defendant had made
“a non-natural use” of the
land.[101] Where the rule
applies, liability is strict and it is not necessary for the plaintiff to prove
negligence by the defendant.
- [74] The rule
was abolished in Australia by the decision of the High Court in
Burnie Port Authority v General Jones Pty
Ltd.[102] But it
remains part of the law of England and Wales, as confirmed in Cambridge Water
and Transco,[103]
and as part of New Zealand’s common law, as confirmed by this
Court’s decision in Hamilton v Papakura District
Council.[104]
- [75] Although
the real nature of the cause of action remains controversial, the current
orthodoxy, exemplified by Cambridge Water Co and Transco, sees
Rylands v Fletcher as a branch or “offshoot” of the law of
nuisance, dealing with damage caused by isolated escapes of dangerous things
from
land. For example, in Cambridge Water Co Lord Goff described the
rule as “essentially concerned with an extension of the law of nuisance to
cases of isolated
escape”.[105]
- [76] The
justification and rationale for the rule is seen in the requirement that the
defendant has been engaging in a particularly
dangerous activity. This was
explained in an article by Frederick Pollock, on the basis
that:[106]
...
certain things are a source of extraordinary risk, and a man who exposes his
neighbour to such a risk is held ... to insure his
neighbour against any
consequent harm not due to some cause beyond human foresight and control.
- [77] It is clear
that the article of Professor Newark (“The Boundaries of Nuisance”),
from which we have quoted above,
has also been
influential.[107] It was
referenced extensively by Lord Goff in Cambridge Water Co, and
referred to by Lords Bingham, Hoffmann and Hobhouse in Transco. In the
latter case, Lord Hoffmann
said:[108]
[27] Rylands
v Fletcher was therefore an innovation in being the first clear
imposition of liability for damage caused by an escape which was not alleged
to
be either intended or reasonably foreseeable. I think that this is what
Professor Newark meant when he said in his celebrated
article (“The
Boundaries of Nuisance” ... ) that the novelty in Rylands v Fletcher
was the decision that “an isolated escape is actionable”. That
is not because a single deluge is less of a nuisance than
a steady trickle, but
because repeated escapes such as the discharge of water in the mining cases and
the discharge of chemicals
in the factory cases do not raise any question about
whether the escape was reasonably foreseeable. If the defendant does not know
what he is doing, the plaintiff will certainly tell him. It is the single
escape which raises the question of whether or not it
was reasonably foreseeable
and, if not, whether the defendant should nevertheless be liable. Rylands v
Fletcher decided that he should.
- [78] The idea
that Rylands v Fletcher is an offshoot of the tort of private nuisance
has been comprehensively criticised by Donal Nolan who argues that it is based
upon
a misreading of the case
itself.[109] However, for present
purposes, and in the absence of any argument that we should not do so, we
proceed on the basis that the current
law is as set out in Cambridge Water Co
and Transco.
- [79] We consider
the key issue in this part of the case is whether Nottingham Forest’s
activity in maintaining the forest can
be described as the natural or ordinary
use of the land. Just as the concept of reasonable user limits the extent of
liability in
nuisance, the concept of natural or ordinary use of the
defendant’s land has been used to control liability in Rylands v
Fletcher.[110] The classic
expression of this principle remains that by Lord Moulton in Rickards v
Lothian:[111]
It
is not every use to which land is put that brings into play that principle.
It must be some special use bringing with it increased
dangers to others,
and must not merely be the ordinary use of the land or such a use as is proper
for the general benefit of the
community.
- [80] In
Transco, Lord Bingham said that no ingredient of Rylands v Fletcher
had provoked more discussion than the requirement expressed in Blackburn
J’s judgment that the defendant should have brought
something onto its
land something which was “not naturally there”, which was elaborated
on by Lord Cairns on appeal when
he referred to a “non-natural use”
of land.[112] After referring to
various articles in which the concept of been discussed, Lord Bingham
said:[113]
I think it
clear that ordinary user is a preferable test to natural user, making it clear
that the rule in Rylands v Fletcher is engaged only where the
defendant’s use is shown to be extraordinary and unusual. This is not a
test to be inflexibly applied:
a use may be extraordinary and unusual at one
time or in one place but not so at another time or in another place ... I also
doubt
whether a test of reasonable user is helpful, since a user may well be
quite out of the ordinary but not unreasonable ...
- [81] As noted
earlier, in this case the Judge considered that the individual tree falls could
be regarded as “one-off”
escapes of dangerous things from Nottingham
Forest’s land.[114] She
considered the accumulation of trees took Nottingham Forest’s use of the
land use outside any concept of “natural”
use.
- [82] We are
unable to agree with that approach. In our view, the planting and growing of
trees for the purposes of forestry cannot
be regarded as anything other than an
ordinary use of rural land. We would not describe it as a “special use
bringing with
it increased danger to
others”.[115] Still less
can it be described as “extraordinary and unusual” in terms of Lord
Bingham’s formulation in
Transco.[116] The activity
is after all widespread in rural New Zealand and permitted by relevant resource
management plans.
- [83] Further,
when they are planted, trees clearly cannot be regarded as dangerous. It is
only when the trees in this case grew to
a height greater than their distance
from the line that there was a risk that they would fall and cause damage. The
question of
whether there is an ordinary use of land cannot properly be
approached on the basis that planting and maintaining trees can be considered
an
ordinary activity except when they have grown above a certain height so that
they pose a danger because of their proximity to
a power line. That reasoning
would imply that maintenance of trees that were younger or located at a greater
distance from the line
is an ordinary use of the land, while maintaining taller
trees is not. The issue of whether an activity can be described as an ordinary
use of land cannot depend on such fine distinctions. We add that such an
approach would rob the key limitation mechanism of Rylands v Fletcher of
its intended effect.
- [84] The focus
must be on the use being made by the defendant of its land at the time of the
tree fall, that is, the “escape”.
The approach in the High Court
effectively elides the question of whether the land use is an ordinary one with
the events that resulted
in the damage. These are distinct concepts. If they
are not kept distinct any activity which involves actions taken by a landowner
resulting in damage to a neighbouring property might be brought within the ambit
of Rylands v Fletcher.
- [85] For these
reasons we do not consider the Judge was correct to hold Nottingham Forest
liable in Rylands v Fletcher. In the circumstances it is unnecessary to
resolve the issue raised by Nottingham Forest that the Judge should not have
held them
liable on this cause of action because of the stance adopted by their
counsel in his closing argument in the High Court.
- [86] However,
our conclusion that the Judge was right to uphold the claim in nuisance means
that the appeal must be dismissed.
The
cross-appeal
- [87] Unison
filed a combined notice of cross-appeal and memorandum supporting the
High Court judgment on other grounds. Two key issues
were raised: first,
whether the Judge erred in declining to give injunctive relief and secondly,
whether Nottingham Forest was liable
in negligence.
- [88] As matters
transpired, Mr Walker confirmed at the hearing that the trees standing within
falling distance of the line had been
removed between 31 August and
4 September 2020. That was subsequently confirmed by an affidavit of a
representative of Nottingham
Forest. In the circumstances, Mr Smith indicated
that the part of the cross-appeal seeking injunctive relief was abandoned.
- [89] That left
as the only issue to be argued the question of whether the Judge should have
held Nottingham Forest liable in negligence.
But that issue was conditionally
to be addressed if Nottingham Forest was “not liable in nuisance or
Rylands v Fletcher”. That is consistent with the Judge’s
observation, presumably reflecting the approach taken at the hearing in the High
Court that negligence had been pleaded as “an alternative to
Unison’s primary claims in nuisance and Rylands v
Fletcher”.[117]
- [90] Consequently,
although we heard argument on the issue, the question of liability in negligence
does not now call for a decision.
We think it is preferable in any event that
it not be addressed since the Judge dealt with it only very briefly and in
conclusory
terms:
[103] Negligence was pleaded as an alternative to
Unison’s primary claims in nuisance and Rylands v Fletcher. It was
not the preferred cause of action not just because it requires fault to be
established but also because injunctive relief
is not an available remedy. And
unless the relevant breach of duty could be said to be planting the trees within
falling distance
of the Line in the first place (which is not pleaded and as to
the merits of which I do not comment) no fault is established on the
evidence
here.
- [91] Mr Smith
challenged this conclusion of the Judge, pointing out that the duties alleged to
have been breached in the statement
of claim included a duty to exercise
reasonable skill in managing and maintaining the trees in order to ensure that
none fell onto,
or otherwise came into contact with, the line. He argued that
this was a wide enough allegation to embrace all phases of the forestry
process
including planting, but also managing, maintaining and harvesting trees. He
contended this adequately expressed a duty to
ensure that trees, given their
growth and height, were not too close to the line. He added that even if the
duty were defined more
narrowly as a failure to identify and remove trees at an
elevated risk of falling, Nottingham Forest had not done so.
- [92] The
difficulty is that the Judge found that no fault was established on the
evidence. This was a finding open to her. There
is not in fact a specific
allegation that the trees had initially been planted too close to the line, and
we do not accept the pleading
was sufficient to embrace that. Any breach of
duty must notionally have arisen years later, and the Judge found that it was
not
possible to predict individual tree
falls.[118]
- [93] In all the
circumstances we consider the appropriate course to follow is to dismiss the
cross-appeal.
Result
- [94] The
appeal is dismissed.
- [95] The
cross-appeal is also dismissed.
- [96] The
appellants must pay the respondent costs on the appeal, calculated for a
standard appeal on a band A basis, and usual disbursements.
We certify for two
counsel.
- [97] The
respondent must pay the appellants costs on the cross-appeal on the same basis,
and usual disbursements. We certify for
two counsel.
Solicitors:
DLA Piper, Wellington for
Appellants
Luke Cunningham Clere, Wellington for Respondent
[1] There are four named
appellants, who either had a proprietary interest in the forest or were
concerned in its operation and management:
Nottingham Forest Trustee Ltd, Roger
Dickie (N.Z.) Ltd, Forest Management (NZ) Ltd and Nottingham Forest Partnership.
With a few
exceptions, it is unnecessary to distinguish between these parties
for the purposes of this judgment and we refer to them collectively
as
“Nottingham Forest”.
[2] Unison Networks Ltd v
Nottingham Forest Trustee Ltd [2019] NZHC 2280 [High Court judgment].
[3] At [23].
[4] At [25].
[5] At [30].
[6] At [36].
[7] At [39].
[8] At [44].
[9] We note that while it is
generally necessary for there to be a proprietary interest to claim in nuisance
(see Hunter v Canary Wharf Ltd [1997] AC 655 (HL) at 688 per Lord Goff)
that is not the case for Rylands v Fletcher. The test articulated by
Blackburn J was that a defendant brought some dangerous thing onto their
land for their own purposes: Rylands v Fletcher [1866] UKLawRpExch 36; (1866) LR 1 Exch 265
at 279. A proprietary interest in land has never been a formal prerequisite for
a plaintiff to bring a claim in Rylands v Fletcher: see John Murphy
“The Merits of Rylands v Fletcher” (2004) 24 Ox J Leg Stud
643 at 645–650.
[10] Electricity Act 1992, s 22.
[11] Section 23(1) and (3).
[12] High Court judgment, above
n 2, at [78].
[13] At [80].
[14] At [80], citing
Charing Cross Electricity Supply Co v Hydraulic Power Co [1914] UKLawRpKQB 88; [1914] 3 KB
772 (CA).
[15] At [81]–[82], citing
Hutt Valley Electric-Power Board v Lower Hutt City Corp [1949] NZGazLawRp 70; [1949] NZLR 611
(CA); and Telecom Auckland Ltd v Auckland City Council [1999] 1
NZLR 426 (CA).
[16] At [83].
[17] At [87(a)].
[18] At [87(b)].
[19] At [87(c)].
[20] At [87(e)].
[21] At [88].
[22] At [71].
[23] At [72].
[24] At [73].
[25] At [73], n 29.
[26] At [90] (footnotes
omitted).
[27] At [91].
[28] At [93].
[29] At [93].
[30] At [94].
[31] At [94].
[32] At [95].
[33] At [99].
[34] At [102].
[35] At [117].
[36] At [103].
[37] At [104].
[38] At [160].
[39] Under the Electricity
(Hazards from Trees) Regulations 2003, trees must not encroach within prescribed
distances from electrical
conductors. However, the relevant distance in the
present case was only 2.5 m. Regulation 40 provides that the Regulations do not
affect claims that the owner of works may have against the owner of trees in
respect of any damage caused to works by a tree owner.
[40] John Murphy The Law of
Nuisance (Oxford University Press, Oxford, 2010) at [1.05].
[41] F H Newark “The
Boundaries of Nuisance” (1949) 65 LQR 480.
[42] At 481 (footnote omitted).
[43] Bill Atkin
“Nuisance” in Stephen Todd (ed) Todd on Torts (8th ed,
Thomson Reuters, Wellington, 2019) 533 at [10.2.01].
[44] But see this Court’s
reservations on the emanation requirement in BEMA Property Investments Ltd v
Body Corporate 366611 [2017] NZCA 281, [2018] 2 NZLR 514 at [57] and n 72.
[45] Wu v Body Corporate
366611 [2014] NZSC 137, [2015] 1 NZLR 215. In Wu, the Supreme Court
held there was an exception to the usual requirement for there to be a
“emanation”. The Court found
that liability in nuisance would have
been established on the basis of the abrogation of the plaintiff’s
“right of access”
to his unit: at [131]. However, given the Court
found liability established in trespass it did not conclude on liability in
nuisance:
at [132].
[46] Murphy, above n 40, at [1.05] and n 11, citing Adams v
Ursell [1913] UKLawRpCh 5; [1913] 1 Ch 269; Wood v Conway Corp [1914] UKLawRpCh 105; [1914] 2 Ch 547
(CA); and Walter v Selfe [1851] EngR 335; (1851) 4 De G & Sm 315 (Ch).
[47] At [1.05] and n 12, citing
Halsey v Esso Petroleum Ltd [1961] 1 WLR 683 (QB); Tetley v Chitty
[1986] 1 All ER 663 (QB); Matania v National Provincial Board Bank Ltd
[1936] 2 All ER 633 (CA); and Andreae v Selfridge & Co Ltd [1938]
Ch 1 (CA).
[48] At [1.05] and n 13, citing
Colls v Home & Colonial Stores Ltd [1904] AC 179 (HL).
[49]
Vaughan v Menlove [1837] EngR 424; (1837) 3 Bing NC 468 (Comm Pleas).
[50] At 475. We note that the
claim was advanced in negligence.
[51] Black v The Christchurch
Finance Co Ltd [1894] AC 48 (PC).
[52] Balfour v Barty-King
[1957] 1 QB 496 (CA) at 504.
[53] Conor Gearty “The
Place of Private Nuisance in a Modern Law of Torts” [1989] 48 CLJ 214.
[54] At 220.
55 At 220.
[56] At 220–221 (footnotes
omitted).
[57] Noble v Harrison
[1926] 2 KB 332.
[58] At 336.
[59] At 342 (footnote
omitted).
[60] Blake v Woolf [1898] UKLawRpKQB 148; [1898]
2 QB 426.
[61] Rickards v Lothian
[1913] AC 263 (PC) at 280.
[62] Noble v Harrison,
above n 56, at 343, quoting Blake v
Woolf, above n 59, at 428.
[63] At 337–338 per
Rowlatt J.
[64] At 338.
[65] Noble v Harrison,
above n 56, at 341.
[66] Darroch v Caroll
[1955] NZLR 997 (SC).
[67] At 1002.
[68] At 999.
[69] At 1001.
[70] Helson v Dear HC
Wellington CP536/86, 25 October 1988. There had originally also been a claim in
trespass but that was not pursued in the High
Court.
[71] At 6.
[72] At 6.
[73] At 15.
[74] At 16.
[75] High Court judgment, above
n 2, at [87(b)].
[76] Gearty, above n 53, at 220.
[77] Bamford v Turnley
[1862] EngR 907; (1862) 3 B&S 66 (Exch) at 83.
[78] Sedleigh-Denfield v
O’Callaghan [1940] UKHL 2; [1940] AC 880 (HL) at 903.
[79] Hunter v Canary Wharf
Ltd [1997] AC 655 (HL) at 693.
[80] Southwark London Borough
Council v Tanner [2001] 1 AC 1 (HL) at 20.
[81] Atkin, above n 43, at [10.2.03].
[82] St Helen’s
Smelting Co v Tipping [1865] 11 HLC 642 (HL) at 650; Halsey v Esso
Petroleum Co Ltd [1961] 1 WLR 683 (QB) at 691; and Clearlite Holdings Ltd
v Auckland City Corp [1976] 2 NZLR 729 (SC) at 740.
[83] Clearlite Holdings Ltd v
Auckland City Corp, above n 81, at
740.
[84] Cambridge Water Co v
Eastern Counties Leather plc [1994] AC 264 (HL) at 299.
[85] At 299.
[86] Transco plc v Stockport
Metropolitan Borough Council [2003] UKHL 61, [2004] 2 AC 1.
[87] At [26].
[88] At [26].
[89] Cambridge Water Co v
Eastern Counties Leather plc, above n 83, at 300 (emphasis added).
[90] Transco plc v Stockport
Metropolitan Borough Council, above n 85, at [26], citing Overseas Tankship
(U.K.) Ltd v Miller Steamship Co Pty [1966] UKPC 1; [1967] 1 AC 617 (PC) [The Wagon
Mound (No 2)].
[91] At [26], citing The
Wagon Mound (No 2), above n 89, at
640.
[92] Cambridge Water Co v
Eastern Counties Leather plc, above n 83, at 301.
[93] Hamilton v Papakura
District Council [2000] 1 NZLR 265 (CA) at [75]–[76].
[94] See n 39 above.
[95] Electricity Act, s 2.
[96] See the discussion in Maria
Hook “Strict liability in nuisance — a fork in the road”
[2021] NZLJ 136.
[97] Northumbrian Water Ltd v
Sir Robert McAlpine Ltd [2014] EWCA Civ 685, [2014] All ER (D) 157.
[98] At [19] and [25].
[99] PEX International Pte
Ltd v Lim Seng Chye [2019] SGCA 82 at [53] and [55].
[100] Rylands v Fletcher,
above n 9, at 279, as affirmed by the
House of Lords in Rylands v Fletcher (1868) LR 3 HL 330 (HL).
[101] Rylands v
Fletcher, above n 99, at 339.
[102] Burnie Port Authority
v General Jones Pty Ltd [1994] HCA 13; (1994) 179 CLR 520 at 556–557, holding that
the rule in Rylands v Fletcher was absorbed by the principles of ordinary
negligence.
[103] Cambridge Water Co v
Eastern Counties Leather plc, above n 83; and Transco plc v Stockport
Metropolitan Borough Council, above n 85. But not Scotland: see RHM
Bakeries (Scotland) Ltd v Strathclyde Regional Council 1985 SC 17 (HL) at
41.
[104] Hamilton v Papakura
District Council, above n 92. This
case resolved uncertainty about whether New Zealand courts would follow
Cambridge Water Co v Eastern Counties Leather plc or Burnie Port
Authority v General Jones Pty Ltd, following the judgment in Autex
Industries Ltd v Auckland City Council [2000] NZAR 324 (CA).
[105] Cambridge Water Co v
Eastern Counties Leather plc, above n 83, at 304.
[106] Frederick Pollock
“Duties of Insuring Safety: The Rule in Rylands v Fletcher”
(1886) 2 LQR 52.
[107] Newark, above n 41.
[108] Transco plc v
Stockport Metropolitan Borough Council, above n 85.
[109] Donal Nolan “The
Distinctiveness of Rylands v Fletcher” (2005) 121 LQR 421.
[110] Cambridge Water Co v
Eastern Counties Leather plc, above n 83, at 299, per Lord Goff.
[111] Rickards v
Lothian, above n 60, at 280.
[112] Transco plc v
Stockport Metropolitan Borough Council, above n 85, at [11].
[113] At [11].
[114] High Court judgment,
above n 2, at [93].
[115] Rickards v
Lothian, above n 60, at 280.
[116] Transco plc v
Stockport Metropolitan Borough Council, above n 85, at [11].
[117] High Court judgment,
above n 2, at [103].
[118] At [106].
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