Collins v Insurance Australia Ltd [2022] NSWCA 135

Court of Appeal Supreme Court New South Wales Medium Neutral Citation: Collins v Insurance Australia Ltd [2022] NSWCA 135 Hearing dates: 15 June 2022 Date of orders: 2 August 2022 Decision date: 02 August 2022 Before: Meagher JA at [1]; Kirk JA at [2]; Basten AJA at [43] Decision: (1) Set aside the judgment and orders 1 and 2 made in the District Court on 2 August 2021. (2) In place thereof, (a) Give judgment for the plaintiff against the defendant in an amount of $200,000. (b) Direct that the judgment take effect on 2 August 2021. (c) Order that the defendant pay the plaintiff's costs of the trial. (3) Order that the respondent pay the appellant's costs in this Court. Catchwords: INSURANCE – motor vehicle – compulsory third-party insurance – collision causing stationary traffic on highway – driver injured avoiding stationary traffic – whether stationary traffic a "situation" – whether original collision caused "dangerous situation" –Motor Accidents Compensation Act 1999 (NSW), s 3A(1)(d) NEGLIGENCE – duty of care – scope of duty – whether negligent driver owed duty of care to road users not involved in collision – injury to second driver distant in time and place from original collision NEGLIGENCE – breach – whether risk "not insignificant" – levels of risk – error to focus on precise mechanism by which harm occurs NEGLIGENCE – defences – contributory negligence – speed not excessive – no failure to keep lookout – driver injured in avoiding stationary cars on highway – whether contributorily negligent Legislation Cited: Civil Liability Act 2002 (NSW), ss 5B, 5C, 5D, 5R Interpretation Act 1987 (NSW), s 33 Motor Accidents Amendment Act 1995 (NSW) Motor Accidents Compensation Act 1999 (NSW) ss 3, 3A, 5, 6, 113 Motor Accidents Compensation Amendment Act 2006 (NSW), Sch 1[3] Motor Accidents Compensation Amendment Act 2010 (NSW) Road Rules 2014 (NSW), r 126 Cases Cited: Allianz Australia Insurance Ltd v GSF Australia Pty Ltd (2005) 221 CLR 568; [2005] HCA 26 Benic v State of New South Wales [2010] NSWSC 1039 Bourhill v Young [1943] AC 92 Bunnings Group Ltd v Giudice [2018] NSWCA 144; (2018) Aust Torts Rep 82-402 Burnie Port Authority v General Jones Pty Ltd (1994) 179 CLR 520; [1994] HCA 13 Caltex Refineries (Qld) Pty Ltd v Stavar (2009) 75 NSWLR 649; [2009] NSWCA 258 Chapman v Hearse (1961) 106 CLR 112; [1961] HCA 46 Czatyrko v Edith Cowan University (2005) 214 ALR 349; [2005] HCA 14 D'Orta-Ekenaike v Victoria Legal Aid (2005) 223 CLR 1; [2005] HCA 12 Harriton v Stephens (2006) 226 CLR 52; [2006] HCA 15 Imbree v McNeilly (2008) 236 CLR 510; [2008] HCA 40 Kimber v Chief Executive, Department of Treasury and Finance, for Chief Executive, Department for Health and Wellbeing (SA Ambulance Service) [2021] SASCA 133 Kozarov v Victoria (2022) 96 ALJR 405; [2022] HCA 12 Kuhl v Zurich Financial Services Australia Ltd (2011) 243 CLR 361; [2011] HCA 11 March v Stramare (E & MH) Pty Ltd (1991) 171 CLR 506; [1991] HCA 12 Modbury Triangle Shopping Centre Pty Ltd v Anzil (2000) 205 CLR 254; [2000] HCA 61 Palsgraf v Long Island Railway Co (1928) 162 NE 99 Perre v Apand Pty Ltd (1999) 198 CLR 180; [1999] HCA 36 Prouten v Chapman [2021] NSWCA 207 Roads and Traffic Authority of New South Wales v Dederer (2007) 234 CLR 330; [2007] HCA 42 South Western Sydney Local Health District v Gould (2018) 97 NSWLR 513; [2018] NSWCA 69 Stojan v Kenway [2009] NSWCA 364 Sullivan v Moody (2001) 207 CLR 562; [2001] HCA 59 Sutherland Shire Council v Heyman (1985) 157 CLR 424; [1985] HCA 41 Sydney Water Corporation v Turano (2009) 239 CLR 51; [2009] HCA 42 Tapp v Australian Bushmen's Campdraft & Rodeo Association Limited (2022) 399 ALR 535; [2022] HCA 11 Vairy v Wyong Shire Council (2005) 223 CLR 422; [2005] HCA 62 Wallace v Kam (2013) 250 CLR 375; [2013] HCA 19 Waller v James (2015) 90 NSWLR 634; [2015] NSWCA 232 Woolcock Street Investments Pty Ltd v CDG Pty Ltd (2004) 216 CLR 515; [2004] HCA 16 Zotti v Australian Associated Motor Insurers Ltd [2009] NSWCA 323; 54 MVR 111 Texts Cited: Explanatory Memorandum, Motor Accidents Compensation Amendment Bill 2010 NSW NSW Legislative Council, Parliamentary Debates (Hansard), 9 November 2010, p 27261 Hon Justice Roger Giles, "Duty of Care, Scope and Breach" (2009) 9 The Judicial Review 165 Category: Principal judgment Parties: Lisa Collins (Appellant) Insurance Australia Ltd (Respondent) Representation: Counsel: Mr D Higgs SC / Mr J Wilson (Appellant) Mr A J Stone SC / Ms O J Dinkha (Respondent)