HIH Claims Support Limited v Insurance Australia Limited [2011] HCA 31

HIGH COURT OF AUSTRALIA

GUMMOW ACJ,

HAYNE, HEYDON, CRENNAN AND KIEFEL JJ

HIH CLAIMS SUPPORT LIMITED APPELLANT

AND

INSURANCE AUSTRALIA LIMITED RESPONDENT

HIH Claims Support Limited v Insurance Australia Limited [2011] HCA 31

22 August 2011

M24/2011

ORDER

Appeal dismissed with costs.

On appeal from the Supreme Court of Victoria

Representation

B W Walker SC with P Kulevski for the appellant (instructed by TressCox Lawyers)

D F Jackson QC with M W Thompson SC and C M Harris for the respondent (instructed by Norris Coates)

Notice: This copy of the Court's Reasons for Judgment is subject to formal revision prior to publication in the Commonwealth Law Reports.

CATCHWORDS

HIH Claims Support Limited v Insurance Australia Limited

Equity – Doctrine of contribution – Requirement of co-ordinate liabilities – Sub-contractor insured under insurance policy ("HIH policy") issued by member of HIH corporate group ("HIH") and under insurance policy issued by respondent's predecessor in title – Sub-contractor held liable for damage caused to third party by collapse of scaffold – HIH accepted sub-contractor's claim for indemnity under HIH policy and paid portion of sub-contractor's legal costs – After collapse of HIH corporate group, sub-contractor assigned rights against HIH to appellant as trustee under government assistance scheme and appellant paid 90 per cent of amount HIH would have paid under HIH policy in satisfaction of sub-contractor's liability and defence costs, excluding amounts already paid by HIH – Whether appellant could claim equitable contribution from respondent – Whether liabilities of appellant and respondent co-ordinate.

Words and phrases – "co-ordinate liabilities", "common burden", "common interest", "of the same nature and to the same extent".

Appropriation (HIH Assistance) Act 2001 (Cth), ss 3, 4.