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Date: Sat, 4 Oct 2008 06:18

From: Neil Foster

Subject: Duty to Warn

 

Dear Jason and others

In Australia the decision in Alec Finlayson Pty Ltd v Armidale City Council (1994) Aust Torts Rep *81-282 held that a local Council was liable (for the economic loss caused by the land's dropping in value) for approving a residential subdivision of land when it ought to have known that the land was contaminated by chemicals and unsuitable for residential development. Of course that is not your example but one would have thought that the case for a vendor to have an implied duty to disclose known dangerous defects in a property was stronger. In relation to landlords the High Court in Jones v Bartlett [2000] HCA 56 held that a landlord who rents out premises has a duty of care to people who will be using the premises. That duty will at least extend to inspecting the premises for obvious dangers before they are let out, and adequately responding to any dangers to which his or her attention is drawn. Again, not your question but similar.

Still, surprisingly hard (I have found) to think of cases matching your precise question. But I will say yes, it seems an obvious duty that should either be implied into the contract or else exist in tort under general foreseeability principles.

   

Regards
Neil F

Neil Foster
Senior Lecturer, LLB Program Convenor
Newcastle Law School
Faculty of Business & Law
MC158, McMullin Building
University of Newcastle
Callaghan NSW 2308
AUSTRALIA
ph 02 4921 7430
fax 02 4921 6931

  

>>> Jason Neyers 1/10/08 11:55 >>>

Dear Colleagues:

I would be interested in your opinions as to whether, on principle, a vendor of property should have a duty to warn of dangerous defects (like asbestos, hidden mould, radiation) to purchasers of the property to prevent bodily injury. All comments welcome.

 

 


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