From: Neil Foster <neil.foster@newcastle.edu.au>
To: obligations@uwo.ca
Date: 03/03/2015 00:39:47 UTC
Subject: ODG: Duty of care re economic loss, res ipsa

Dear Colleagues;
The recent decision of the WA Court of Appeal (Buss JA, Murphy JA and Edelman J) in SWICK NOMINEES PTY LTD -v- LEROI

INTERNATIONAL INC [No 2] [2015] WASCA 35 (27 Feb 2015) http://decisions.justice.wa.gov.au/supreme/supdcsn.nsf/PDFJudgments-WebVw/2015WASCA0035/%24FILE/2015WASCA0035.pdf provides an excellent overview of the law of negligence in the area of duty of care in relation to economic loss, and of the issues raised by the doctrine of res ipsa loquitur as a means of proving breach of duty. The facts involved a claim made by the user of some defective equipment made against the manufacturer (the intermediate supplier having gone bankrupt in the meantime.) The ultimate holding was to support the trial judge’s decision that there had been no breach of duty, but in the course of reaching that conclusion there are some very helpful remarks made about duty and res ipsa. In particular I recommend the joint judgment involving former ODG list member Edelman J (who colleagues may be aware has now moved to the Federal Court based in the Queensland registry), and the review of the history of economic loss actions in the UK and Australia at paras [368]-[411].

Regards

Neil


neil foster 
Associate Professor
Newcastle Law School
Faculty of Business and Law


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