Birdsall v Motor Trades Association of Australia Superannuation Fund Pty Ltd [2015] NSWCA 104

Court of Appeal Supreme Court New South Wales Medium Neutral Citation: Birdsall v Motor Trades Association of Australia Superannuation Fund Pty Ltd [2015] NSWCA 104 Hearing dates: 8 April 2015 Decision date: 22 April 2015 Before: Basten JA at [1]; Meagher JA at [33]; Gleeson JA at [85] Decision: Appeal dismissed. Appellant pay the respondents' costs of the appeal. Catchwords: INSURANCE – life insurance – liability under group life insurance contract held by trustee of superannuation fund – where member of fund is an insured person under contract – where insured person must satisfy definition of 'Total and Permanent Disablement' which requires insurer to form an opinion as to his or her being incapacitated – where trial judge held insurer breached obligations when doing so – whether trial judge erred in not being satisfied that appellant incapacitated within that definition

TRUSTS – powers of trustee – challenge to evaluative judgment – error established – whether trial judge may form opinion as to incapacity –whether consequential relief available against trustee – not necessary to decide Legislation Cited: Insurance Contracts Act 1984 (Cth), ss 13, 14, 48A Superannuation (Resolution of Complaints) Act 1993 (Cth), ss 6, 14, 18, 37, 41, 46 Superannuation Industry (Supervision) Act 1993 (Cth) Superannuation Industry (Supervision) Regulations 1994, reg 6.01 Supreme Court Act 1970 (NSW) Cases Cited: Attorney General (Cth) v Breckler [1999] HCA 28; 197 CLR 83 Birdsall v Motor Trades Association of Australia Superannuation Fund Pty Ltd [2014] NSWSC 632 Butcher v Port (1985) 3 ANZ Ins Cas ¶60-638; [1985] 1 NZLR 491 Chammas v Harwood Nominees Pty Ltd (1993) 7 ANZ Ins Cas ¶61-175 Doyle v City of Glasgow Life Insurance Co (1884) 53 LJ Ch 527 Edwards v The Hunter Valley Co-op Dairy Co Ltd (1992) 7 ANZ Ins Cas ¶61-113 Erzurumlu v Kellogg Superannuation Pty Ltd [2013] NSWSC 1115 Fernance v Wreckair Pty Ltd (No 2) (1992) 43 IR 300 Finch v Telstra Super Pty Ltd [2010] HCA 36; 242 CLR 254 Halloran v Harwood Nominees Pty Ltd [2007] NSWSC 913; 16 ANZ Ins Cas ¶90-142 Hannover Life Re of Australasia Ltd v Colella [2014] VSCA 205; 18 ANZ Ins Cas ¶62-036 Hannover Life Re of Australasia Ltd v Dargan [2013] NSWCA 57; 83 NSWLR 246 Hannover Life Re of Australasia Ltd v Sayseng [2005] NSWCA 214; 13 ANZ Ins Cas ¶90-213 Karger v Paul [1984] VR 161 McArthur v Mercantile Mutual Life Insurance Co Ltd [2001] QCA 317; [2002] 2 QdR 197 New Zealand Shipping Co Ltd v Societe des Ateliers [1919] AC 1 Rapa v Patience (NSWSC, McLelland J, 4 April 1985, unrep) Sayseng v Kellogg Superannuation Pty Ltd [2003] NSWSC 945 Suttor v Gundowda Pty Ltd (1950) 81 CLR 418 Warren v Coombes [1979] HCA 9; 142 CLR 531 Category: Principal judgment Parties: Robert Birdsall (Appellant) Motor Trades Association of Australia Superannuation Fund Pty Ltd (First Respondent) Metlife Insurance Limited ABN 75 004 274 882 (Second Respondent) Representation: Counsel: B Walker SC with J Anderson (Appellant) J E Sexton SC with S J Walsh (Respondent)