RELEVANT LEGISLATIVE PROVISIONS AND LEGAL PRINCIPLES
8The applications concerning Drs Keys, Lees and Yuen proceeded upon the assumption that any loss suffered by Mr Cox as a result of their alleged negligence was suffered at the time the negligence occurred, that is, in 1986 in the case of Drs Keys and Lees and in 1998 in the case of Dr Yuen.
9In the case of Drs Keys and Lees the claimed causes of action therefore accrued, if at all, prior to 1 September 1990, resulting in a six-year limitation period for commencement of action against them from 1986 (see ss 14(1) and 57A). The Court's power to extend the limitation period under s 58 is applicable to those causes of action (see s 57A). That power, which is exercisable even if the relevant limitation period has expired, was conferred in the following terms:
"(2) Where, on application to a court by a person claiming to have a cause of action to which this section applies, it appears to the court that:
(a) any of the material facts of a decisive character relating to the cause of action was not within the means of knowledge of the applicant until a date after the commencement of the year preceding the expiration of the limitation period for the cause of action, and
(b) there is evidence to establish the cause of action, apart from any defence founded on the expiration of a limitation period,
the court may order that the limitation period for the cause of action be extended so that it expires at the end of one year after that date and thereupon, for the purposes of an action on that cause of action brought by the applicant in that court, and for the purposes of paragraph (b) of subsection (1) of section 26, the limitation period is extended accordingly."
10The parties accepted that the pre-condition stated in s 58(2)(a) was satisfied in respect of the claims against Drs Keys and Lees. The only issue on appeal concerning the satisfaction of the pre-condition in s 58(2)(b) arose on a draft Notice of Contention relied upon by Dr Keys.
11The claimed cause of action against Dr Yuen only accrued, if at all, after 1 September 1990, rendering inapplicable the power conferred by s 58 (see s 57A). Instead the powers conferred by subdivisions (2) and (3) of Part 3 of the Limitation Act (ss 60A to 60J) were applicable (see ss 60B and 60G(1)). Exercise of the power contained in s 60C would not have availed Mr Cox in the present case as it only permits an extension for a period not exceeding five years (s 60C(2)). As a result it was necessary for Mr Cox to rely upon s 60G which is in the following terms:
"(2) If an application for an order under this section is made to a court by a person claiming to have a cause of action to which this section applies, the court, after hearing such of the persons likely to be affected by the application as it sees fit, may, if it decides that it is just and reasonable to do so, order that the limitation period for the cause of action be extended for such period as it determines."
12Section 60I specifies a number of pre-conditions to the making of an order under s 60G. Dr Yuen did not contend that any of those pre-conditions had not been satisfied.
13Exercise of the power under s 60G(2) is expressly conditioned upon the court deciding that it is "just and reasonable" to grant the extension sought. This Court held in Certain Lloyds Underwriters v Giannopoulos [2009] NSWCA 56 that "appellate review of a decision whether extension of a limitation period is just and reasonable, is conducted in the same way as Warren v Coombes requires an appellate court to review a decision whether there has been a breach of a duty of care" (at [110]). Accordingly such a decision is not discretionary and the following principles stated in Warren v Coombes [1979] HCA 9; 142 CLR 531 apply:
" ... in general an appellate court is in as good a position as the trial judge to decide on the proper inference to be drawn from facts which are undisputed or which, having been disputed, are established by the findings of the trial judge. In deciding what is the proper inference to be drawn, the appellate court will give respect and weight to the conclusion of the trial judge, but, once having reached its own conclusion, will not shrink from giving effect to it" (at 551).
14Although the phrase "may ... order" in s 60G(2) suggests that even when it believes it is just and reasonable to order an extension, the court retains a residual discretion as to its making, there can be little doubt that an order would be made virtually as of course once it had been determined that it was just and reasonable to do.
15In the case of Drs Keys and Lees, the power conferred by s 60G(2) is applicable as well as that under s 58, as a result of the transitional provisions contained in Schedule 5 Clause 4(4) to the Limitation Act. Nevertheless the primary judge referred to the applicable section as s 58 only (Judgment [8]) and on appeal Mr Cox did not rely on s 60G as an alternative to s 58.
16Unlike the power conferred by s 60G, that conferred by s 58 is not conditioned upon a finding of the court that it is just and reasonable to extend the limitation period. Rather, subject to other conditions precedent which are not presently relevant, it is an unqualified discretionary power. As a result, the principles stated in House v R [1936] HCA 40; 55 CLR 499 are applicable to appellate review of its exercise. In large measure these principles confine appellate review to cases where extraneous factors have been taken into account, material matters have been left out of account, there has been an error of law or the judge has misunderstood the facts.
17As is apparent from a comparison of the House v R and Warren v Coombes principles identified above (see [13], [16]), the hurdle for Mr Cox to surmount in challenging the primary judge's decisions in relation to Drs Keys and Lees is higher than that concerning Dr Yuen.
18Guidance as to the proper exercise of the discretion conferred by a legislative provision in relevantly identical terms to s 58 was provided in Brisbane South Regional Health Authority v Taylor [1996] HCA 25; 186 CLR 541, in which Toohey and Gummow JJ said:
"The real question is whether the delay has made the chances of a fair trial unlikely. If it has not there is no reason why the discretion should not be exercised in favour of the respondent" (at 550).
19McHugh J (with the concurrence of Dawson J) said:
"Once the learned judge had made a finding of actual prejudice, his decision to dismiss the application was inevitable. Besides the proved prejudice, the long delay gave rise to a general presumption of prejudice" (at 556).