Port Kembla Coal Terminal Ltd v Braverus Maritime Inc [2004] FCA 1211

FEDERAL COURT OF AUSTRALIA

Port Kembla Coal Terminal Ltd v Braverus Maritime Inc [2004] FCA 1211 SHIPPING AND NAVIGATION – compulsory pilotage – negligent navigation by pilot – liability of shipowner for damage caused by collision with berth – pilot employed by port corporation – vicarious liability of shipowner for default of pilot – pilot deemed to be shipowner's servant by s 410B of Navigation Act 1912 (Cth) and s 85 of the Ports Corporatisation and Waterways Management Act 1995 (NSW) – shipowner vicariously liable for negligence of servant – entitlement to contribution from port corporation – no entitlement to contribution – statutory immunities operate to defeat contribution claim SHIPPING AND NAVIGATION – licensing of pilots – no valid licence issued to pilot – statutory scheme operates despite absence of licence TORT – vicarious liability – employers – employee exercising independent duties – pilot employed by port corporation but deemed by statute to be servant of shipowner – duty imposed by statute operative to exclude vicarious duty of employer TORT – contributory negligence – causation – insufficient causative link between increased risk of damage and damage ultimately suffered – no contributory negligence CONTRACT – formation – alleged existence of standing offer on the part of port corporation for provision of pilotage services – pilotage services offered pursuant to statutory obligation – no voluntary assumption of duty – no contract where duty imposed by statute – imperfect performance of statutory duty does not give rise to a contract CONSTITUTIONAL LAW – just terms – Navigation Act alleged to have effect of removing cause of action and imputing incontestable liability without provision of just terms – Navigation Act not a law with respect to the acquisition of property – in any event, no liability or cause of action had accrued at the relevant time TRADE PRACTICES – misleading or deceptive conduct – pilot carrying out statutory function – pilotage not an activity bearing a trading or commercial character – pilotage not 'in trade or commerce' Law Reform (Miscellaneous Provisions) Act 1946 (NSW) s 5(1)(c) Law Reform (Miscellaneous Provisions) Act 1965 (NSW) s 8, 9 Marine Pilotage Licensing Act 1971 (NSW) s 3, 6, 7, 7(2)(a), 8, 12, 12(1), 14, 50A Marine Pilotage Licensing Regulations 1974 (NSW) Merchant Shipping Act 1854 (17 & 18 Vic) Merchant Shipping Act 1894 (57 & 58 Vic) s 633 Navigation Act 1912 (Cth) s 2(1)(a), 6, 410B, 410B(1), 410B(2) Navigation Act 1920 (Cth) Navigation Act 1958 (Cth) Navigation (Maritime Conventions) Act 1934 (Cth) Pilotage Act 1812 (52 Geo III) Pilotage Act 1825 (6 Geo IV) s 55 Pilotage Act 1913 (Imp) s 15, 15(1) Ports Corporatisation and Waterways Management Act 1995 (NSW) s 3, 7, 9, 11, 53, 54(2), 67, 68, 70, 77, 78, 84(1), 85, 86 Ports Corporatisation and Waterways Management Regulation 1997 (NSW) Regs 10, 11 State Owned Corporations Act 1989 (NSW) s 20F, 20ZB(1) Trade Practices Act 1974 (Cth) s 45, 52, 74, 82, 87 Constitution s 51(i), 51(xxxi), 98, 109 International Convention for the Unification of Certain Rules of Respecting Collisions between Vessels (signed 23 September 1910; generally in force 1 March 1913; entered into force in Australia 24 October 1930)Article 5 Canada Shipping Act 1952 Australia, House of Representatives, Debates, 22 October 1912, pp 4481-4482 Explanatory Notes on Clauses of Draft Navigation Bill 1958 (7th March 1958) A Aronson, B Dyer & M Groves Judicial Review of Administrative Action, LBC, Sydney, 3rd Ed, 2004 R P Balkin & J L R Davis, Law of Torts, Butterworths, 3rd Ed, 2004 D A Butler & W D Duncan, Maritime Law in Australia, Legal Books, Sydney, 1992 R Douglas, P Lane and M Pete, Douglas & Geen on the Law of Harbours Coasts and Pilotage, LLP, London, 5th ed, 1997 R G Marsden A Treatise on the Law of Collisions at Sea, Stevens and Sons, London,6th Ed, 1910 F Trindade & P Cane, The Law of Torts in Australia, OUP, 3rd Ed, 1999 The Nautical Institute on Pilotage and Shiphandling, The Nautical Institute, London, 1990 Amarantos Shipping Co Ltd v South Australia (2004) 87 SASR 528 cited Astley v Austrust Ltd (1999) 197 CLR 1 applied Australian Coastal Shipping Commission v O'Reilly (1962) 107 CLR 46 cited Australian Tape Manufacturers Association Ltd v Commonwealth (1993) 176 CLR 480 discussed Australian Woollen Mills Pty Ltd v Commonwealth (1954) 92 CLR 424 followed Branir Pty Ltd v Owsten Nominees (No 2) Pty Ltd (2001) 117 FCR 424 followed Caswell v Powell Duffryn Associated Collieries Ltd [1940] AC 152 cited Chapman v Luminis (No 4) (2001) 123 FCR 62 followed Chelfco Ninety-Four Pty Ltd v Road Traffic Authority [1985] VR 1 cited Clark (or Thom) v J & P Hutchinson Ltd [1925] SC 386 cited Concrete Constructions (NSW) Pty Ltd v Nelson (1990) 169 CLR 594 applied Dare v Pulham (1982) 148 CLR 658 referred to Dovuro Pty Ltd v Wilkins (2003) 77 ALJR 1706 cited Esso Petroleum Co Ltd v Hall Russell & Co Ltd [1989] 1 AC 643 ('The Esso Bernicia') applied Fowles v Eastern and Australian Steamship Co Ltd (1913) 17 CLR 149 cited Fowles v Eastern and Australian Steamship Co Ltd [1916] 2 AC 556 cited Fox v Percy (2003) 214 CLR 118 followed Georgiadis v Australian and Overseas Telecommunications Corporation (1994) 179 CLR 297 cited Harbutt's Plasticine Ltd v Wayne Tank and Pump Co Ltd [1970] 1 QB 447 cited Henville v Walker (2001) 206 CLR 459 applied Holman v Irvine Harbour Trustees (1877) 4 Sess Cas (4th series) 406 explained Hyder Consulting (Australia) Pty Ltd v Wilth Wilhelmensen Agency Pty Ltd [2001] NSWCA 313 followed Johnson v Perez (1988) 166 CLR 351 applied Johnston v Frazer (1990) 21 NSWLR 89 applied Jones v Livox Quarries [1952] 2 QB 608 discussed Joslyn v Berryman (2003) 77 ALJR 1233 applied Leotta v Public Transport Commission of New South Wales (1976) 9 ALR 437 referred to Lismore County Council v Stewart (1989) 18 NSWLR 718 applied Norweb PLC v Dixon [1995] 3 All ER 952 cited Oceangas (Gibraltar) Ltd v Port of London Authority [1993] 2 Lloyd's Rep 292 ('The Cavendish') referred to Oceanic Crest Shipping Co v Hamersley Iron Pty Ltd [1986] WAR 88 discussed Oceanic Crest Shipping Co v Pilbara Harbour Services Pty Ltd (1986) 160 CLR 626 applied Optus Networks Pty Ltd v Leighton Contractors Pty Ltd [2002] NSWSC 450 followed Otago Harbour Board v Cates (1884) 2 NZLR 123 discussed Owners of the Dredger "Liesbosh" v Owners of the Steamship "Edison" [1933] AC 449 cited Pfizer Corporation v Ministry of Health [1965] AC 512 referred to Puntoriero v Water Administration Ministerial Corporation (1999) 199 CLR 575 distinguished Purcell v Watson (1979) 26 ALR 235 followed R W Miller & Co Pty Ltd v Shortland County Council (1988) 83 ALR 225 cited Re DPP; ex parte Lawler (1994) 179 CLR 270 applied Re Maritime Union of Australia; ex parte CSL Pacific Shipping Inc (2003) 77 ALJR 1497 cited Rockhampton Harbour Board v Ocean Steamship Co Ltd [1930] QSR 343 cited Southampton Container Terminals Ltd v Hansa Schiffartsgesellschaft mbH [1999] 2 Lloyd's Rep 491 ('The Maersk Columbo') distinguished Smith v ANL Ltd (2001) 204 CLR 493 cited SS Alexander Shukoff v SS Gothlard [1921] 1 AC 244 cited Stirling Harbour Services Pty Ltd v Bunbury Port Authority [2000] FCA 1381 cited Suatu Holdings Pty Ltd v Australian Postal Corporation (1989) 86 ALR 532 cited Texada Mines Pty Ltd v The Ship 'Afovos' [1974] 2 Lloyd's Rep 168 cited The Andoni [1918] P 14 cited The Arum [1921] P 12 cited The Christiana (1850) 7 Moore's PC Cases 160; 13 ER 841 discussed The Eden (1846) 2 Wm Robb 442 ; 166 E.R. 822 discussed The Gazelle (1884) 2 Wm Robb 279; 166 ER 759 discussed The Guy Mannering (1882) 7 PD 132 discussed The Maria (1839) 1 Wm Robb 95; 166 ER 508 discussed The Oregon 158 US 186 (1895) cited The Peerless (1860) Lush. 30 ; 167 ER 16 cited The Prinses Juliana [1936] P 139 cited The Tactician [1907] P 244 discussed Tiwi Barge Services Pty Ltd v Stark (1997) 78 FCR 218 cited Wood v Smith (1874) LR 5 PC 451 ('The City of Cambridge') discussed Workington Harbour and Dock Board v Towerfield (Owners) [1951] AC 112 ('The Towerfield') discussed PORT KEMBLA COAL TERMINAL LTD v BRAVERUS MARITIME INC N 1397 OF 2002 HELY J 17 SEPTEMBER 2004 SYDNEY