Ackland, Robyn Mary v Chittick, Ian Barton & Anor [1983] FCA 420
Federal Court of Australia
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"
CATCHWORDS
Administralive Law - judicial ceview - notice of objection to
competency - whether decision to dismiss was "of an
adminastratave character" - whether made "under" an enactment ~
whether power to "derermine" terms and conditions of employment
must be exercised in writing ~ whether determination is an
"instrument"
ROBYN MARY ACKLAND v IAN BARTON CHITTICK (State Manager, Health
Insurance Commission, Victor2za) and HEALTH INSURANCE COMMISSION
Administrative Decisions (Judiczal Review) Act 1977, ss. 3(1), 5
Health Insurance Commission Act 1973, s. 28
Acts Interpretation Act 1901, s. 33(3)
CORAM : KEELY J
DATE
oo
8 APRIL, 1983
PLACE MELBOURNE
- os a cae ee od
IN THE FEDERAL COURT OF AUSTRALIA
VICTORIA DISTRICT REGISTRY No. VG 95 of 1982
ee ee ee
GENERAL DIVISION
BETWEEN ROBYN MARY ACKLAND
Applicant
AND IAN BARTON CHITTICK (State
: Manager, Health Insurance
Commission, Victoria) and
HEALTH INSURANCE COMMISSION «
Respondent
8 APRIL, 1983 KEELY J.
REASONS FOR JUDGMENT ON OBJECTION TO COMPETENCY
On the material at present before the court, Robyn Mary
Ackland (the applicant} was employed by the Health Insurance
Commission (the Commission) as a claims officer grade 4 and
worked in the claims processing centre at Medibank Private at
Dandenong in Victoria. On 29 March, 1982 she was "charged with
the commission of an offence under Condition 98 of the Health
Insurance Commission Terms and Conditions of Employment", in
that, contrary to s. 130(1) of the Health Insurance Act 1973,
"she davulged confidential information with respect to the
affairs of a member of Medibank Private acquired in the
performance of her duties". The applicant by letter denied the
truth of the charge. By notice dated 8 April, 1982 the
respondent Chittick, the State Manager of the Commission,
i)
ee en ee
2.
informed the applicant that the charge had been sustained and
that she was dismissed from the staff of the Commission as from
8 April, 1982.
An appeal was lodged by the applicant. On two occasions
she was informed of a date for the hearing of her appeal but was
later notified that the hearang had been cancelled.
Her appeal
was never heard but she received a notice from the Commission,
dated 24 May, 1982, in the following terms :-
"Health Insurance Commission
Terms and Conditions of Employment
Notice of Charge under Condition 98
Robyn Mary Ackland,
29 Matthew Flinders Avenue,
Endeavour Hills. Vic. 3802.
TAKE NOTICE that you have been charged with the
commission of an offence under Condition 98 of
the Health Insurance Commission Terms and
Conditions of Employment, a copy of which charge is
annexed hereto, AND TAKE FURTHER NOTICE that in
accordance with the saad Condition, I hereby
require you to forthwith state, in writing, whether
you admit or deny the truth of the charge, and give
any explanation in writing, you may think fit AND
TAKE FURTHER NOTICE that, af a reply is not
received within seven days of your receapt of the
charge you will be deemed to deny the truth of the
charge.
Dated this 24th day of May 1982.
I.B. CHITTICK,
STATE MANAGER" . '
That notice was accompanied by the following document :-
The decision in the last paragraph of that document,
to suspend her retrospectavely from 8 April,
"Health Insurance Commission
Terms and Conditions of Employment
Charge under Condition 98
As the duly authorised officer for the purposes of
Condition 98 of the Health Insurance Commission
Terms and Conditions of Employment, I, I1.B.
Chittick, State Manager, Health Insurance
Commission, Victoria, hereby withdraw the charge
against Robyn Mary Ackland under Condition 98,
formal notice of which was dated the twenty-ninth
day of March 1982.
I have further considered reports relating to the
said offence and I hereby charge Robyn Mary Ackland
with that on or about the twenty-third day of March
1982, she did commit a most serious breach of
conduct amounting to ampropraety in that she did
divulge confideniial information wath respect to
the atfairs of a member of Medibank Pravate
acquired in the performance of her official duties
as an officer of the Health Insurance Commission.
I consider that the charge 1s of such a serious
nature that you should not continue in the
performance of your duty and you are accordingly
suspended as and from the eighth day of April 1982.
Dated this 24th day of May 1982.
I.B. CHITTICK,
STATE MANAGER"
»
to in those proceedings as "the farst decasion". '
purpor.uing
1982, was referred
en
DS
The applicant wrote to the respondent Chittick on 27 May,
1982 denying the truth of the charge. By letter dated 15 June,
1982 she was anformed that in Mr. Chattick's opinion the charge
had been sustained and that she had been dismissed from the
Commission ("the second decision"). By letter dated 21 June,
1982 the applicant gave notice of her intention to appeal
against the second decision.
The applacant has lcdged an application under s. 5 of the
Administrative Decisions (Judicial Review) Act 1977 (the
Judicial Review Act) seeking an order ef review of both the
first and the second decisions. Section 5(1) provides that a
person "who is aggrieved by a decision to which this Act applies
+e. May apply to the Court for an order of review in respect of
the decision" on a number of grounds. Section 3(1) defines
"decision to which this Act applies" to mean "a decision of an
administrative character made, ... or required to be made ...
under an enactment ...". The application also sought
interlocutory relief but that matter was not pursued.
The present hearing is of an objection to competency,
lodged by the respondents, contending, in essence, that the
decisions were not decasions to which the Judicial Review Act
applies, that the decisions were not decisions of an
administrative character as required by s. 3(1) of that Act, and
F
that the decisions were not made or required to be made under an
enactment within the meaning of s. 3(1) of that Act.
Mr. H2ril, of counsel, on behalf of the applicant,
submitted that the decisions to suspend and dismiss her were of
an administrative character and were made under the Health
Insurance Commission Act. In *the alternative he submitted that
the decisions were made under Condation 98 of the Commission's
determination of terms and conditions of employment of its
employees and officers which was itself an "enactment" within
the meaning of s. 3(1) of the Judicial Review Act. The
definition of "enactment" will be set out later in these reasons
when dealing with that alternative argument.
Before dealing wath those submissions it is necessary to
set out in considerable detail certain factual matters relating
to the applicant's contract of employment, the content of the
Commission's determination of terms and conditions and its
method of making that determination. The applicant in her
supporting affidavit said that she had been employed by the
Commission since 5 January, 1976. The correspondence leading to
ihe commencement of her employment by the Commission consisted
of two letters. A letter dated 12 December, 1975 from the
Commission to the applicant (whose surname at that time was
Py
Angliss) was 1n the following terms :~
"Dear Miss Angliss,
I refer to your recent application and
subsequent anterview for employment wath this
Commission.
ee ene ee ee
6.
The Commission has pleasure in offering you
employment as a Data Processing Operator in
Training in the Commission's Dandenong office at a
salary of $2900 per annum.
The conditions of service of the Commission are as
determined by the Commission and approved by the
Public Service Board in accordance with section 28
(2) of the Health Insurance Commission Act, 1973.
I should be pleased to receive your formal
acceptance of this offer as soon as possible. I
trust that our essociration will be a long and happy
one.
Yours sincerely,
for D. F. Tierney,
State Manager"
By letter dated 17 December, 1975 the applicant replied as
follows :-
"Health Insurance Commission,
Victoria Branch, *
P.O. Box 22,
Box Hill. 3128.
Dear Sir,
Thank you for your letter dated 12 December
1975, and I wish to accept your offer of employment
as a Data Processing Operator, in Training at your
Dandenong office.
Yours sincerely,
Robyn Angliss."
Fy
The applicant saad in her affidavit that by March 1982 she was a
claams officer grade 4.
ee ee
we Ra ee ee eee ee
As to whether the applicant had knowledge of the terms
and conditions of her employment, she said in her affidavit
"When I first applied for and was given employment by the said
Commission, I was sixteen years of age. I was not shown a copy
of any terms and conditions of employment and the same were not
explazrned to me. The said Commission has not at any time
supp]ied to me a complete copy of the said terms and conditions
and, prior to the 29th day of March 1982, I had not seen the
same.".
It will be seen from a document set out later that the
"Terms and Conditions of Employment" determined by the
Commission deal separately with officers (section A) and
employees (section B). J. J. Bentley, Assistant General Manager
(Personnel), in an affidavit sworn 15 October, 1982 said :-
"7, Prior to the 7th day of November 1980, the
appplicant was a temporary employee of the
Commission. On the 7th day of November 1980
the applicant's appointment became permanent
and thereafter she was regarded as an officer
of the Commission."
There 2s no evadence at present before the court that the
applicant was ever informed that her "appointment became
£
permanent" or anformed that her terms and conditions of
employment had been altered by reason of that change. Her
counsel accepted (transcript pp. 145-146) that at the tame of
her dismissal she was an officer employed under the terms and
conditions determined by the Commission but did not concede that
the applicant had ever agreed to those conditions. He contended
that it was ammaterial whether she had ever agreed to them but
that in so far as it was material the facts were set out in her
own affidavit.
Condition 98, under which the applicant was charged,
appeared in "Section A -— Officers" of the "Terms and Conditions
of Employment" but did not appear in "Section B - Employees" of
that determination. Section B contained Condition 112 which
read as follows :-
"(1) Employees are engaged during the pleasure of
the Commission only.
(2) The services of an employee may be terminated
at any time by the Commission.
(3) When the employment of an employee has
extended over a period of not less than four
weeks, the employee shall be entatled to at
least one week's notice of termination of
engagement. When the notice is not given,
payment shall be made for one week in lieu of
the notice. Provided that the services of an
t
reer aa
a
employee may be terminated without notice at
any time on the ground of misconduct or
unsatisfactory service."
Mr. Bentley, in an affidavit sworn 13 August, 1982, said
"The Conditions of Employment in use by the
Commission 2n the months of March, April, May and
June 1982 were substantially the same as the
original conditions of employment determined by the
Commission on 25th September 1974 and 27th November
1974 and approved by the Public Service Board on
10th January 1974 (sic). In particular, there has
been no change in conditions 14, 15 and 19 of the
conditions of employment sance those conditions
were first determined by the Commission and
approved by the Public Service Board."
A later affidavit by the respondent Chittick stated that Mr.
Bentley had informed him that the reference, in the above
paragraph, to condition 19 was an error and should have referred
Lo condition 98. Mr. Bentley exhibited to his affidavit a copy
of the terms and conditions of employment which were in force in
the months of March, April, May and June 1982. That document
c
shows on its face that at has been amended on a substantial
"~~
10.
number of occasions including amendments in August, September
and November 1976, in March and September of 1977, in May of
1978, and an February, July and November of 1979.
At the time when the applicant became a temporary
employee s. 28 of the Health Insurance Commission Act 1973 was
in the following terms :-
"28.(1) Subject to thas section, the Commission
may appoint such offacers and engage such employees
as it thinks necessary for the purposes of this
Act.
(2) The terms and conditions of employment
(other than in respect of matters provided for
by this Act) of persons appointed or engaged under
sub-section (1) shall be as determined by the
Commission with the approval of the Public Servace
Board.
(3) ...."
That section was amended by the Health Insurance Commission
Amendment Act 1978 and in 1982, at the time of both the first
decasion and the second decision, s. 28 was in the following
terms :-
"28(1)* Subject to this section, the Commission may
engage such staff as it thanks necessary for the
purposes of this Act. ;
(2) The terms and conditions of employment
(other than in respect of matters provided for by
this Act) of persons engaged as staff under
sub-section (1) shall be as determined by the,
Commission."
ll.
The method by whach the Commission 1n 1974 exercised its
powers under s. 28(2) was set out in the following passage from
Mr. Bentley's affidavit sworn 13 August, 1982 :-
".,. The Commission on '25th September 1974 adopted
terms and conditions of employment which
corresponded as closely as possible with those
applying in the Australian Public Service. Before
approving those terms and conditions, the Public
Service Board requested a number of amendments to
the conditions of employment. The Commission
determined to make the necessary amendments on 27th
November 1974. The conditions of employment (as
amended pursuant to the Commission's determination
of 27th November 1974) were approved by the Public
Service Board on 10th January 1975.
Mr. Bentley exhzbated to his affadavit a copy of the terms and
conditions of employment approved by the Public Service Board on
10th January 1975 and determined by the Commission on 25th
September 1974 and 27th November 1974 - a determimation
consisting of approximately 130 pages. The scope of that
determination by the Commission appears from Mr. Bentley's later
affadavit, sworn 15 October, 1982 which exhibited a "document
recording the adoption on 25th September 1374, by the Heaith
€
12.
Insurance Commission of terms and conditions of employment"
persons appointed or engaged under s. 28(1). The document
in the following terms :-
"Determination by Health Insurance Commission
Terms and Conditions of Employment
In accordance with the provisions of Section
28(2) of the Health Insurance Commission Act, 1973,
the Commission determines as follows:
(i) that, for the time being, the Terms and
Conditions of Employment of persons
appointed or engaged under Sub-section
(1) of Section 28 of the Act' shall
comprise Sections and Parts as follows:-
Section A — Officers
; PART I - Preliminary
PART II - Salaries of Officers
PART III - Appointments
PART IV - Special Provisions
Relating to Female
Officers
PART V - Attendance and Duties of'
Officers
PART VI - Hours of Duty and
£
Overtime
of
was
A re
- sn aene eee eee ee a ers meee wk EE
PART VII - Leave of Absence and
Holidays
PART VIII -—- General Allowances
PART IX - Promotions and Transfers
PART X - Suspensions, Dismissals,
Retarements
PART XI - Fares on Appointment,
Removal Expenses etc.
XII - Mascellaneous f
Section B — Employees
PART I - General Conditions of
Engagement
(ii) that, for the time being, Parts V, VI,
VII, VIII, XI and XII of Section A, and
Part I of Section B, of the Terms and
Conditions shall be as contained in the
corresponding Parts and Sections of the
Terms and Conditions of Employment
determined for application to staff of
the Catires Commission; and
(aiajthat, for the time beang, Parts I, II,
III, IV, IX and X of Section A of the
Terms and Condations shall be as'
contained in Appendices (a) to (£) to
this Determination."
14.
That copy document exhibited to the affidavit did not contain
"Appendices (a) to (£) of this Determination".
"Public Service Board by a letter, dated 26 September, 1974,
That determination by the Commission was forwarded to the
the following terms :-
"Terms and Conditions of Employment
Health Insurance Commission
Ref: Board's File 73/8360
At 2ts meeting on 25 September 1974 the
Commission determined, in accordance with Section
28(2) of the Health Insurance Commission Act 1973,
that the terms and conditions of employment of
persons appointed or engaged under Section 28(1) of
the Act shall be as contained in the enclosed
Manual. For rates of pay purposes, the Commission
also issued a determination (copy enclosed) tying
its particular position classifications to selected
position classifications in the Australian
Public Servace so as to provide for automatic
adjustment of 1ts pay rates following adjustment to
the corresponding pay rates in the Public Servace.
2. As the Board will be aware from earlier
discussions, the terms and conditions as now
determined are largely based on the terms and
conditions approved for application to staff of the
Caties Commission. As soon as resources become
available, a revaew of the satuation will be
undertaken with a view tc producing a set of terms
and conditions designed specifically for the
Commission's needs. In the meantime, however, it
is believed the terms and conditions as now
determined will provide a basis on = whach
the Conmission can operate. The need to proceed
with the appointment and engagement of staff is
particularly urgent, having in mind that the date
set for implementation of the Health Insurance
Scheme 21s 1 July 1975. '
3. In accordance with the provisions of Section
28(2) of the Health Insurance Commission Act 1973,
the enclosed set of terms and conditions, as
an
The Public Service Board by letter to the Commission,
15.
determined by the Commission on 25 September 1974,
is submitted for the approval of the Public Service
Board.
(R. G. Williams)
General Manager"
October, 1974, replied as follows :-
"Terms and Conditions of Employment
The Manual of terms and conditions of
employment for persons appointed or engaged by the
Health Insurance Commission, which was forwarded to
this Office under cover of your memorandum of 26
September 1974, has been examined.
26 Prror to receipt of the Manual you will be
aware that there had been discussion between
officers of the Commission and the Board on a draft
set of conditions made available in August. These
Giscussions ultimately led to mutually agreeable
adjustments to the draft which have now
been incorporated into the Manual. There are,
however, further variations which are considered to
be appropriate before submission of the Manual of
terms and conditions of employment of the
Commission to the Board for forma] approval under
section 28(2) of the Health Insurance Commission
Act 1973. These are listed in the Attachment to
this memorandum.
3. Subject to your agreement to these further
adjustments a formal approach will be made to the
Board recommending approval of the terms and
conditions of employment for the staff of the
Commassion. '
(K.F. FAUL)
Acting Secretary" ,
dated 30
16.
The attachments to that letter were headed "Proposed Adjustments
to Staff Rules of the Health Insurance Commission" and included
proposed amendments to Condition 98 of the Commission's
determination.
The Commission Secretary's minute of a meeting of the
Commission held on 27 November, 1974 recorded the following :~
"Subject: Terms and Conditions of Employment -
Adjustments
1. The General Manager stated that it was the
Commission's prerogative to lay down terms and
conditions of service, subject to approval of the
Public Service Board.
2. The Public Service Board has agreed to the
Commission's terms and conditions subject to the
minor amendments under discussion. The proposed
adjustments were quate simple and of little
significance.
3. The Commission approved the amendments."
The determination by the Conmission, as amended by it in
accordance with the suggestions made by the Public Servace
Board, was formally approved by the Public Service Board in the
following terms :-
"Health Insurance Commission
Terms and Conditions of Employment
In pursuance of the provisions of sub-section
(2) of section 28 of the Health Insvrance
Commzssion Act 1974, I, Robert John Young, for and
on behalf of the Public Service Board, Mereby
ee et re
17.
Approve the determination of the Health Insurance
Commission in the matter of terms and conditions of
employment of officers and employees appointed or
engaged by the Health Insurance Commission.
Notafacation of the determination of the
Health Insurance Commission is contained ain the
Commission's advices dated 26 September 1974 and 10
December 1974.
Dated this tenth day of January 1975.
(n.d. YOUNG)
Deputy of a Commissioner"
Condition 98 of the Terms and Conditions of Employment so
determined by the Commission included the following provisions
"Condition 98
{1) An officer who - ...
(e) is guaity of any disgraceful or improper
conduct, either in his official capacity or
otherwise; or
(£) commits any breach of the Health Insurance
Commission Act 1973 or any Regulations made
thereunder, or these Conditions; or
(g) ee
shall be gualty of an offence, and shall be liable
to such punishment as is determined under the
provasions of this Condation.
(2) wee
(3) Where there is reason to believe that an *
officer has committed an offence, other than a minor
offence punishable under the provisions of the
preceding sub-condition -
18.
(a) the officer may be charged by the General
Manager, or any officer so authorised, and
may, if it as considered that the charge is
of such a serious nature that the charged
officer should not continue in the
performance of his duty, be suspended;
(b) ee
(c) eee
(a) if the General Manager, or any officer so
authorised, after consideration of reports
relating to the offence and charge and the
reply and explanation if any, of the offacer
charged, and any further reports that may be
considered necessary 1s of the opinion that
the charge has been sustained, he may - ...
(v) dismiss the officer from the staff of
the Commission ..."
Mr. Hill's first submission raised matters sim2lar
to those dealt with in the decision of Ellicott J. 1n Burns v
Australian National University 40 A.L.R. 707 and by the Full
Court on appeal (Australian National University v Burns 43
A.L.R. 25) which reversed the decision of Ellicort J.. Mr.
Neil Young of counsel, who appeared for the respondents,
relied upon the Full Court decision in addition to submitting
other arguments.
Mr. Young submitted that, although it may be
convenient to divide an examination of the relevant words of
s. 3(1) into two issues, namely, whether the decision was of
an administrative character and whether it was made under an
£
enactment, the definition must be read as a whole because
the legislation is only constitutionally valid in so far as
ed eee aee ee -_- - ie ee we eee
ce ce eee ee
13.
it confers jurisdiction on the court to review decisions made
under an enactment. In this connection he cited Ex parte
Barrett (1945) 70 C.L.R. 141 at 154, Felton v Mulligan (1971)
124 C.L.R. 367 at 387~388 and Evans v Friemann (1981) 35
A.L.R. 428. I agree with Mr. Young's submission that it is
necessary to read the provision as a whole but it is
nonetheless necessary to consider the word "administrative".
In Burns v Australian National University, (supra),
Ellicott J. dealt with the question of whether the decision
there at issue was of "an administrative character". He
said :~
{at p. 714) "It is obviously unwise to attempt a
comprehensive definition but, in my opinion, it is
at least apt to describe all those decis2ons,
neither judicial nor legaslative in character,
which Minasters, public servants government
agencies and others make in the exercise of
statutory power conferred on them, whether by Act
of the Parliament or by delegated legislation. In
other words it at least covers the decisions made
in executing or carrying into effect the laws of
the Commonwealth. Such decisions, as the
definition indicates, may or (may) not requ2re the
exercise of a discretion. Usually they will.
Quite often, they will, in the exercase of a
dascretion, involve the application of the general
to the particular, e.g. a general rule or broadly
framed power to partacular carcumstances: Compare
Commonwealth v Grunseit (1943) 67 C.L.R. 58;,
Tooheys Lid. v Manister for Business and Consumer
Affairs (1981) 36 A.L.R. 64 at 72-4. As to the
meaning of ""adminastrative action" under the
Ombudsman Act 1973 (Vic) see Booth v Dillon (No. 1)
(1976) V.R. 291; Booth v Dillon (No. 2) (1976) V.R,
434 and Glenister v Dillon (1976) V.R. 550.
A decision appointing a person to or removing a
person from a particular office or employment made
in the exercise of a, power conferred by legislation
20.
is, in my opinion, clearly administrative in
character. It is one made in the course of
executing or carrying into effect the law from
which the power springs....
In previous decisions of this court under the Act,
at has been held or acknowledged that decisions
relating to employment, e.g- promotion in the
public service, are decisions "of an administrative
character": see Hamblin v Duffy (1981) 34 A.L.R.
333; Fanch v Goldstein (1981) 36 A.L.R. 287. In my
opinion a decision to remove or dismiss a person
from a particular employment an the exercise of a
power conferred by an enactment 1s likewise a
decision of an administrative character."
On the appeal before the Full Court (supra - at p. 29) the
appellant Unaversity conceded that if the decision was made
under the University Act it was a deciszon of an administrative
character. In my opinion the two decisions made by the
Commission in respect of the applicant were "of an
administrative character".
Mr. Young submitted that s. 3({1) required that the
decision making power arise out of the legislation or be
conferred by the legislation, and that without such a "nexus"
the decision could not properly be said to be "made under an
enactment". Ile said thai 1f the nexus does not exist "you have
a decision under a contract of employment with a statute lurking
an the background ". ,
He also submitted that the letter offering the applicant
x
employment incorporated by reference the terms and conditions
determined by the Commission, that the determination did not
oan Ss nee Cee ee ee
21.
have any legal force and effect of and by atself and that the
applicant's rights resided entirely in the contract. Relying on
A.B.C. v Industrial Court of South Australia (1977) 138 C.L.R.
399 he submatted that the determination did not bind the
Commission in respect of its employees and that the terms of the
determination only applied if the contract included its terms.
Mr. Hill contended that the terms and conditions of
employment became applicable to the applicant only by virtue of
the statute, that they were made under an enaciment (the Health
Insurance Commission Act) and that decisions made under those
terms and conditions are decisions made under an enactment.
In Evans v Friemann (supra) Fox A.C.J. heid that the word
"under" in s. 3(1) of the Judicial Review Act means "in
pursuance of" or "under the authority of". In the present case
at is possible to say in one sense that every decision made with
respect to the engaging of staff under s. 28 of the Health
Insurance Commission Act is made in pursuance of or under the
authority of that Act. However, as Bowen C.J. and Lockhart J.
said in Burns case (supra) :-
(at p. 33) "Tf the making of a contract is'
authorised by an enactment, and such a contract,
when made, in fact provides for the making of
certain decasions, it does not necessar2ly follow
ihat those decisions, when made, are not made under
the enactment. This must depend on the language
and operation of the particular enactment and
contract."
statutory provisions under consideration in Burns case.
22.
{at p. 34) "... we accept the correctness of the
proposition that the same decision may be made both
under a contract and 'under an enactment' for the
purposes of the Judicial Review Act. The
difficulty lies, not with the acceptance of that
proposition, but in deciding whether it applies in
a particular case. This must depend on the
circumstances of each case."
In this connection it may be desirable to refer to the
23 of the Australian National University Act 1946 provided
Section 27(1) of that Act empowered the University Council to
make,
"Subject to this Act and the Statutes, the Council
may from time to time appoint deans, professors,
lecturers, examiners and other officers and
servants of the University, and shall have the
entire control and management of the affairs and
concerns of the Unaversity, and may act in all
matters concerning the University in such manner as
appears to at best calculated to promote the
interests of the University."
alter and repeal statutes from time to time with respect
to a number of matters includang :-
No statute pursuant to s. 27(1)(g) had been made with respect to
the
Accordingly, the power of the Council to appoint a professor was
"(g) The number, stipend, manner of appointment
and dismissal of deans, professors, lecturers,
examiners and other officers and servants of the
University."
manner of appointment and dasmissal of professors.
£
that conferred by s. 23.
Section
23.
In thas connection Bowen C.d. and Lockhart J. said :
(at p. 32) "Aithough s. 23 confers no power in
express terms to remove or suspend professors and
others, such power arises from the more general
powers conferred by the section on the Council
after the express reference to the powers of
appointment. In our opinion the control and
Management of the affairs of the appellant must
include the suspension or removal of its deans,
professors and others.
Notwithstanding that s. 23 was the source of the
Councal's power to appoint and dismiss the
respondent an 1966, it does not follow that the
decision to dismiss him was made under the
University Act. The answer to the question lies in
the true characterization of the decision itself.
It was mot a decisizon to dismiss the respondent
sampliciter. It was a decision to dismiss him on a
particular ground namely, that he had become
permanently ancapacitated from performing the
duties of his office. This was one of the grounds
expressly provided for un condition 2(b)(a1) of the
conditions of appointment which formed part of the
respondent's contract of engagement. The
University Act prescribes no essential procedural
requirements to be observed before a professor is
dasmissed and lays down no incidents of a
professor's employment.
In our opinion the raghts and duties of the parties
to the contract of engacement were derived under
the contract and not under the University Act.
Section 23 empowered the Council to enter into the
contract on behalf of the appellant. Even if the
Council, in considering the position of the
appellant under the contract, might be said to be
acting under s.23, the effective decision for
dismissal taken and notified to the respondent was
directly under the contract." ,
Although the question of whether a decision is madé under :
&
an enaciment will depend on the circumstances of each case, and
"on the language and operation of the particular enactment and
tte een a eee ee
= meee
woe ee eee oe -- --
24.
contract" (Burns case (supra) at p. 33), in my opinion the two
decisions the subject of the present application were made under
Condition 98 of the determination made by the Commission and
were not made under s. 28 of the Health Insurance Commission
Act. Accordingly, I reject Mr. Hill's first submission, that
the decisions to suspend and dismiss the applicant were made
under the Health Insurance Commission Act.
Mr. Hill's alternative argument was that the Terms and
Conditions of Employment, determined by the Commission under s.
28(2), constituted an "instrument" within the meaning of s. 3(1)
of the Judicial Review Act. That section provides :-
""enactment" means -
(a) an Act ....
(b) an Ordinance ....
(c) an instrument (including rules, requlations
or by-laws) made under such an Act or under
such an Ordinance.
(a) sees
and, foc the purpose of paragraphs (a), (b) or (c),
includes a part of an enactment;"".
Mr. H1r1l1 submitted that the definition of "enactment" in s. 3(1)
*
",.. literally covers the position of these conditions of
employment. They are rules or regulations that govern the
employment; they are made under the statute, they could not
possibly be made any other way, and they come into existence
by virtue of the statute". Mr. Hill relied upon passages in
arene nena nee
25.6
Halsbury and upon the definitions in The Shorter Oxford English
Dictionary of ""anstrument" as including the following : "Ss.
Law. A formal legal document whereby a right is created or
confirmed, or a fact recorded; a formal writing of any kind, as
an agreement, deed, charter, or record, drawh up and executed in
technical form". The definition in The Oxford English
Dictionary (1901) is the same except that it adds at the end the
words "so as to be of legal validity".
Mr. Young conceded that the word "anstrument" is a word
of very wide import when looked at apart from its particular
context but submitted that, in its particular context in s.
3(1), the word should be more narrowly construed. He submitted
that the word "anstrument" must be construed ejusdem generis
with the words "(including rules, regulations or by-laws)"
appearang immediately after it, that the definition of the word
"anstrument" was anserted for the purpose of establishing the
constitutional foundation of the legaslation and that the word
"anstrument" must be interpreted as being confined to
instruments of a legislative character.
The words "instrument (including rules, regulations or
by-laws)" appear also in s. 33(3) of the Acts Interpretation Act
1901 as amended by s. 6 of the Acts Interpretation Act 1941.
The meaning of the words in that Act and the effect of the 1941
£
amendment were considered by Brennan J., as President of the
Administrative Appeals Tribunal, in Re Brian Lawlor Automotive
I~
26.
Pty. Ltd. and Collector of Customs (New South Wales) (1978) 1
Administrative Law Decisions 167. In that case his Honour had
to consider whether, under the Customs Act, the Collector was
empowered to revoke a licence under s. 78 of the Customs Act.
"That section provided that dutiable goods "may be warehoused in
warehouses licensed by the Minister". In that conneciion
Brennan J. said :-
(at pp. 171-2) "The respondent submits that the
power of revocation is to be found within s 78
atself, when it is construed ain the extended sense
which s 33(3) of the Acts Interpretation Act 1901
is said to require. That sub-section reads as
follows: -
"Where an Act confers a power to make,
grant or issue any instrument (including
rules, regulations or by-laws) the power
shall, unless the contrary intention
appears, be construed as including a
power exercisable in the like manner and
subject to the like condations (if any)
to repeal, rescind, revoke, amend, or
vary any such instrument."
Section 33(3) is prayed an aid by the respondent
because it is said that a licence is an
"instrument", and that the power to grant or issue
an instrument of that kind under s 78 of the
Customs Act is therefore to be construed as
including a power to revoke it.
When s 33(3) was first enacted, it was expressed to
apply only to a power "to make any rules,
regulations or by-laws". A power to make rules,
regulations or by-laws is a power to bring
subordinate legislation into existence - it is not
an administrative power. "Rules, regulations or
by-laws" are terms used to describe, perhaps
without precision, various kinds of subordinate
legislation (see Pearce, Delegated Legislation,
(1977) p2:; CK Allen, Law and Orders (3rd ed), pp
91-5), and ain the Rules Publacation Act 1903, the
Parliament used the same terms in prescribing the
statutory rules - prancrpally. 1f not exclusively,
rules of a legislative character - which are to be
27.
pranted and published. There 1s much to he said
for the view that s 33(3), as it was first enacted,
was limited in ats appiication to the power to
create subordinace legislation. The applicant
submits that it 1s now so limited.
By s 6 of the Acts Interpretation Act 1941 (No 7 of
1941) s 33(3) was amended to its present form. The
words "any rules, regulations or by-laws" were
omztted and in their stead were inserted the words:
"grant or issue any instruments (including rules,
regulations or by~laws)". The instruments to which
s 33(3) now relates are instruments which are not
necessarily rules, regulations or by-laws, and they
are instruments which might be "granted" or
"assued" rather than "made". Where, pursuant to a
statutory power, an authority grants or issues an
anstrument other than a rule, regulation or by--iav,
the exercise of the power may well be an executive
or administrative act rather than a legislative
act. At all events, the granting or issuing of an
instrument other than a rule, regulation or by-law
is not necessarily an act of a legislative kind,
and the granting or making of an executive or
administrative instrument falls within the natural
ambit of s 33(3).
An effect of the 1941 amendment is to extend the
. power of repeal, rescission, revocation, amendment
and variation to statutory powers for the creation
of anstruments when the power is of an executive or
administrative rather than a legislative
character."
An appeal from that decision was dasmassed by the Full Court
((1979) 24 A.L.R. 307). I adopt, with respect, that statement
of Brennan J. which in my opinion 21s equally applicable to the
words in paragraph (c) of the definition of "enactment" an s.
3(1) of the Judicial Review Act. Accordingly I am unable to
accept Mr. Young's submission that the word "instrument" must be
confined to instruments of a Legislative character.
meet
28.
In Lawlor's case Brennan J. held that the power under s.
78 of the Customs Act to grant a licence was not a power to
grant or assue an instrument within the meaning of s. 33(3) of
the Acts Interpretation Act. However, in my opinion, neither
the reasons for decision of Brennan J. nor the reasons for
judgment of the members of the Full Court support the
proposition that the power of the Health Insurance Commission
under s. 28(2) of the Health Insurance Commission Act, to
determine the terms and conditions of employment of persons
appointed or engaged under s. 28(1), is not "a power to make,
grant or assue any instrument".
In any event the words in s. 3(1) of the Judic2zal Review
Act do not anclude the words "a power to make, grant or issue".
Brennan J. placed considerable emphasis upon the fact that s.
33(3) of the Acts Interpretation Act applied to "a power" and
not to "any instrument", saying :-
(at p. 172-3) "Section 33(3) applies to "a power",
not to "any instrument". It operates to add powers
of repeal, etc, to the power to which it applies,
that is, to a power to make, grant or issue an
instrument: a power which may be exercised without
making, granting or issuing an instrument is not a
power to which s 33(3) applaes.
Ts the power vested in the Minister under s 78 of,
the Customs Act a power which may be exercised
without creating an instrument? There are some
features of the warehouse Licensing scheme which
point to the desirability, indeed to the practical
necessity, of a written warehouse licence.
€
ey
29.
But s 78 does not in terms require that the
licensing power be exercised in wrating and the
practical need can be met either by a written
certificate of the exercise of the Licensing power,
or by the licence atself if the Minister or his
delegate should choose to exercise the power in
writing.
There are other provisions relating to licences or
permits granted under the Customs Act where the
Parliament has been astute to requare writing: for
example, ss 37(2A)(c), 40AA(1) and (2), 60(2)(b),
7iB(1), $7(1), 132B(3), 132c(1) and 183B(6). Had
the power conferred by s 78 been a power which was
intended by Parliament to be exercised only in
writing, s 78 could have been framed in like manner
to those sections, but it was not so framed. Thus,
there as no legal necessity for the power to be
exercised in writing, and the Minister may without
writing lawfully license a warehouse."
(See also the judgments of the Full Court (supra) - per Bowen
C.J. (at p. 313) with whom Deane J. agreed on this aspect (at p.
344) and Smithers J. (at p. 323)). It will be noted that
Brennan J. in the passage quoted, after referring to the way in
which the practical need for a written licence could be met,
said that "the Manister may without writing lawfully license a
warehouse". Bowen C.J. (supra at p. 313) said :-
"Indeed, it would seem that ... the power to grant
a warehouse licence might be exercised either
orally or in writing."
.
The Manister's power to lawfully license a warehouse
"without writing" or "orally" may be contrasted with the power
of the Commission to determine the "terms and conditions of
employment ... of persons appointed or engaged under" s. 28(i}
which, in my opinion, could only be exercised in writing. The
ova
30.
Commission 1S a body corporate established by statute and
consists of seven Commissioners and the statute makes provision
for such meetings of the Commission as the chairman "considers
necessary for the efficient conduct of its business".
The opinion that the power could only be exercised in
writing is reinforced when regard is had to the fact that, at
the time in 1975 when Condition 98 was determined, the
Commission's power to make that determination was a power which
could only be exercised "with the approval of the Public Service
Board". Condition 98 was not amended at any time before the
dismissal in June 1982. In my opinion the Commission's
statutory power to determine, with the approval of the Public
Service Board, the terms and conditions of employment of persons
appointed or engaged by it could only be exercised by initially
specifying, in a written instrument, the terms and conditions
proposed by the Commission, then considering any written
alterations to them suggested by the Public Service Board and
lastly specifying, in a written instrument, 'the Commission's
acceptance of any such alterations. In my view it was necessary
for those steps to be taken by the Conmission ain exercising its
statutory power to determine those "terms and conditions of
employment ... with the approval of the Public Service Board".
In other words the Commission could only exercise its statutory
power 1n a manner substantially the same as that used by it in
fa
ft
b -
wee ee
31.
1974 and 1975 when determining the terms and conditions of
employment, as set out in some devail earlier in these reasons,
quoting from Mr. Bentley's affidavit, sworn 13 August, 1982.
I agree with respect with the statement by Fox A.C.J. in
Evans v Friemann (supra - at p. 435) that :- "The Act is a
remediat one, and should so far as reasonably possible be given
a wide construction and application." - a passage cited by
Ellicott J. an Burns v A.N.U. (1982) 40 A.L.R. 707 at 716. In
my opinion Condition 98 of the terms and conditions of
employment determined by the Commission with the approval of the
Public Service Board in 1975, under whach the applicant was
dismissed, was a part of an instrument made under an Act and
accordingly came within the definition of "enactment" in s. 3{1)
of the Judici1al Review Act.
I accept Mr. Young's submission that the contract between
the Commission and the applicant incorporated by reference the
terms and conditions of employment which had been previously
determined by the Commission. It was submitted by Mr. Young
that the applicant also contracted to be bound by any variation
made to those terms and conditions from tame 10 time by the
Commission - albeit made unilaterally and without ever' being
communicated to her. I do not find it necessary to determine
that matter.
32.
Nor do I find 1t necessary to decide whether Condition 98
(under which the Commission purported to act) was one of the
terms of the applicant's contract. The evidence on that point
1s not entirely clear and I referred earlier to certain
"statements made by her counsel as to that aspect.
She became a temporary employee of the Commission in 1976
and was treated by the Commission as being an officer from 7
November, 1980. In this connection the terms and conditions of
employment determined by the Commission and approved by the
Public Service Board an 1975 provided that :-
officer" means a male or female person appointed
in acordance with the provisions of Section 28(1)
of the Act, but does not include an employee
"employee" means a male or female person, other
than an officer, engaged in accordance with Section
28(1) of the Act."
Those definitions appeared an the same form in the terms and
conditions of employment which were in force at the time of the
decisions to suspend and dismiss in May and June 1982.
However, even assuming - without decadang - that
Condation 98 was incorporated into the applicant's contraét, in
the Light of the circumstances of this case, which I have set
out earlier in considerable detail, I have come to the
"
ta
33.
conclusion that the two decisions were made under Condition 998
as an enactment and not made under it as a term of the contract.
(cp. Burns case (supra - at p. 34)).
The notice of objection to competency is dismissed with
liberty to apply for costs.
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