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ARTICLE · 19 JANUARY 2013

Proportionate liability now to be considered by the High Court

The appeal will be watched closely, as these provisions in NSW are similar to other legislation throughout Australia.

AustraliaLitigation, Mediation & Arbitration
Katherine Czoch
Katherine Czoch
Randall Walker
Randall Walker
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Mitchell Morgan Nominees Pty Limited v Vella [2011] NSWCA 390

In our March 2012 update, we reported on the New South Wales Court of Appeal's decision in Mitchell Morgan Nominees Pty Limited v Vella [2011] NSWCA 390 (Vella), in which the Court of Appeal clarified the operation of the proportionate liability regime pursuant to Part 4 of the Civil Liability Act 2002 (NSW) (CLA). For the facts of that case, please see our previous article.

In its decision, the Court of Appeal considered that, for the proportionate liability provisions of the CLA to apply in an apportionable claim, the concurrent wrongdoers must have caused the same loss or damage, with Giles JA distinguishing between "damage" and "damages". The court held that the actions of the fraudsters did not contribute to the same loss and damage as the negligent actions of the solicitors in preparing the mortgage documents. Hence they were not concurrent wrongdoers.

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