HEADNOTE
[This headnote is not to be read as part of the decision]
The appellant was seriously injured when her horse was startled and fell whilst warming up for an event at a show in Wagga Wagga in September 2012. At the time of the appellant's injury, there were children playing on a fence surrounding a track in the centre of the show ground. The children made contact with a metal sign on the fence, causing a very loud noise. The appellant's horse, which was in the warm-up area nearby, was startled and fell while the appellant was in the saddle. On the previous day, the appellant had signed an "Indemnity and Waiver" form, which stated that it constituted a "risk warning" for the purposes of the Civil Liability Act 2002 (NSW).
The appellant sued the respondent in negligence and pursuant to the statutory guarantee imposed by s 60 of the Australian Consumer Law. It was not disputed that the respondent owed a duty of care to people entering and competing in events at the show. However, the respondent relied on a number of statutory defences under the Civil Liability Act, as well as denying breach of duty in respect of the claim in negligence, and also submitted that those statutory limitations of liability qualified the federal statutory guarantee. The primary judge held that the appellant's injury was a result of the materialisation of an obvious risk of a dangerous recreational activity, such that the respondent was not liable in negligence, pursuant to s 5L of the Civil Liability Act. The primary judge also rejected the allegation that the respondent contravened s 60 of the Australian Consumer Law, on the basis that, pursuant to s 275 of the Australian Consumer Law, s 5L of the Civil Liability Act operated to defeat the federal claim as well. The primary judge further held that, in any event, the respondent had not breached its duty of care to the appellant, applying s 5B of the Civil Liability Act.
At trial, the appellant sought to adduce evidence in the form of a report authored by a person with extensive experience as a horse trainer, riding instructor, and competitor and judge in agricultural shows. The report expressed opinions to the effect that the respondent should have stationed marshals in the warm-up area, and should have taken steps to prevent the presence of children. The primary judge excluded much of the report on the basis that its author was not properly qualified to opine on legal matters or on matters outside her specialist knowledge, such that the evidence did not comply with s 79 of the Evidence Act 1995 (NSW).
The issues in the appeal were:
i) Whether the primary judge erred in characterising the risk as an "obvious risk", and in finding that the appellant was engaged in a "dangerous" recreational activity, such that s 5L of the Civil Liability Act applied to defeat her claim.
ii) Whether the primary judge erred in rejecting the expert evidence called by the appellant at trial.
iii) Whether the primary judge erred in finding that the respondent had not breached its duty under s 5B of the Civil Liability Act by failing to station marshals.
The Court (Leeming JA, Payne and White JJA agreeing) held, dismissing the appeal:
As to issue (i):
- Reading the Civil Liability Act as a whole points towards a degree of generality in the formulation of risks in connection with recreational activities: at [55]-[59], [70]. However, the specification of the obvious risk must be sufficiently precise as to capture the harm which resulted from its materialisation on the facts of the particular case: at [71]. The words "as a result of" in s 5L require a causal connection between the harm and the risk which materialises. As this causal connection can only be satisfied after the risk has materialised, determining the appropriate level of particularity in formulating the risk requires hindsight: at [72]-[73].
- It was no answer to the respondent's reliance on s 5L of the Civil Liability Act to point to a different characterisation of what occurred which would fall outside of s 5L, unless that different characterisation defeated the respondent's reliance on that section: at [68]-[69].
- In the present case, the appellant's harm was caused as a result of the fall: at [75]. It was appropriate to characterise the harm as the materialisation of the obvious risk of her horse being spooked by some stimulus, and it was not necessary to provide the additional particularity that the noise made by children spooked the horse: at [78]-[79].
Fallas v Mourlas (2006) 65 NSWLR 418; [2006] NSWCA 418; Campbell v Hay [2014] NSWCA 129; and Alameddine v Glenworth Valley Horse Riding Pty Ltd [2015] NSWCA 219; 324 ALR 355 referred to.
- In characterising the activity in which the appellant was engaged, the warm-up should not be separated from the competition. Even if the warm-up were treated as a different activity from the competition, the warm-up was still "dangerous" for the purposes of the defence in s 5L, because of the ever-present risk of a fall from the horse's unexpected reaction to some stimulus: at [81]-[88].
Falvo v Australian Oztag Sports Association [2006] NSWCA 17; [2006] Aust Tort Rep 81-831; Stewart, Vickery and Stewart v Ackland [2015] ACTCA 1; Ohlstein v E & T Lloyd t/as Otford Farm Rides [2006] NSWCA 226; and Fallas v Mourlas (2006) 65 NSWLR 418; [2006] NSWCA 418 referred to.
As to issue (ii):
- The primary judge was correct to exclude the evidence in the report. The report did not explain how the author's opinions derived from her specialised knowledge or explain the reasoning process underlying her conclusions that marshals should have been present and children prevented from being present: at [105].
- In order to comply with s 79 of the Evidence Act, an expert's opinion should expose his or her process of reasoning in a way that shows the opinion is based on particular specialised knowledge: at [108].
Rolleston v Insurance Australia Ltd [2017] NSWCA 168; and Roads and Maritime Services v Grant [2015] NSWCA 138 applied.
As to issue (iii):
- On a prospective assessment of what reasonable steps a person in the respondent's position would have taken for the purposes of s 5B(1)(c) of the Civil Liability Act, the appellant had not established that the respondent had breached its duty of care: [128]. This was in circumstances where additional marshals might have reduced some, but not all, stimuli which might startle horses, and where evidence was absent as to the dimensions of the warm-up area or the number of horses, riders and marshals at the show ground: at [110]-[115].
Streller v Albury City Council [2013] NSWCA 348 referred to.