NATURE OF THE APPEAL TO THE COMMISSION
11It is appropriate to initially consider the nature of the appeal from the TAB to the Court. Section 23 of the Act deals with decisions on appeal and provides as follows:
(1) A Board may, in relation to an appeal, decide to allow or disallow the appeal or make such other decision with respect to the appeal is it thinks fit.
(2) Except as provided by s 23A, the decision of a Board in respect of an appeal is final and is to be given effect to by the Authority against whose decision the appeal is made.
12Section 23A of the Act is in the following terms:
A party to a promotion or disciplinary appeal may, subject to sub-section (3), appeal to the Full Bench of the Commission in Court Session against any decision of a Board in the proceedings on a question of law.
(2) On an appeal under this section, the Full Bench of the Commission in Court Session may:
(a) remit the matter to the Board for determination in accordance with the decision of the Full Bench, or
(b) make such other order in relation to the appeal as seems fit.
(3) Part 7 of Chapter 4 of the Industrial Relations Act 1996 applies to an appeal against a decision of a Board under this section in the same way as it applies to an appeal against a decision of the Commission under s 197B of that Act.
13It is apparent from the terms of s 23A of the Act that the appeal to the Industrial Court is not at large but is of a confined nature. In Maritime Services Board v Murray (1993) 52 IR 455, the Court of Appeal dealt with an appeal from the Government and Related Employees Appeal Tribunal ("GREAT") to the Supreme Court on a question of law and considered the nature of the appeal conferred by s 54 of the Government and Related Employees Appeal Tribunal Act 1980 ("GREAT Act"). Relevant to that case, s 54 of the Act provided:
A person being:
(a) an employer against whose decision an appeal is brought;
...
may, subject to this Part, appeal to the Supreme Court against any decision of the Tribunal on a question of law.
14In dealing with the issue raised in that matter, Kirby P (with whom Handley JA and Sheller JA agreed), at pp 459-460 stated as follows:
It is important to approach the appeal holding in mind the narrow basis upon which this Court has jurisdiction over matters decided by the Tribunal.
In Metropolitan Water Sewerage and Drainage Board v Histon and Ors [1982] 2 NSWLR 720 this Court held that a decision on a question of law, within s54 of the Act, arises whenever the Tribunal itself has decided a question of law. The phrase is narrower than other statutory expressions permitting appeals on legal questions to this Court or to like courts. This point was made by Sheller JA in Clisdell v Commissioner of Police (1993) 31 NSWLR 555 at 558-559:
The right of appeal is not limited to the final dispositive resolution of the appeal before the Tribunal. On the other hand decisions of the Tribunal under s48 to allow or disallow an appeal or to make such other decision with respect to the appeal as it thinks fit are, in the words of subs(3), final and 'shall be given effect to by the employer against whose decision the appeal was brought'. At 725 [in Histon ] Samuels JA pointed to the distinction between an appeal, 'on a question of law, from [a] decision', as provided for by s44(i) of the Administrative Appeals Tribunal Act 1975 and discussed in Director General of Social Services v Chaney (1980) 47 FLR 80; 31 ALR 571 and an appeal, as provided for by s54, against a decision on a question of law. Section 44(1), his Honour said, defined the nature or the ambit of the appeal, restricting it to an appeal on a question of law, whereas as a matter of grammar the words 'on a question of law' in s54 qualified the decision of the Tribunal and not the appeal to this Court. However, if in accordance with the general understanding of the expression 'appeal from a decision', one translates 'decision' to 'order' or 'Judgment' used in the sense of an act affecting adversely the rights claimed by the appellant, the qualification 'on a question of law' is meaningless. It seems to me, therefore, that 'decision' in s54 is used to include an opinion of the Tribunal on a question of law upon which its action or decision, as generally understood, is based.
Handley JA and Cripps JA concurred in Sheller JA's judgment.
I call attention to this holding so that, from the start, the restricted jurisdiction of this Court, in relation to decisions of the Tribunal, will be understood. Not a few of the submissions for the appellant were addressed to the merits of the case, as it saw them: the unacceptability of having, in a position of responsibility, with auditing functions, a person so morally blind as to seek to justify the misrepresentation and to authorise the letter to the supplier concerning sales tax; the unacceptability of his involving another employee in writing that letter; the unacceptability of the Tribunal's giving less weight to the duty statement on fraud and corruption than the employer did. These may, or may not, be legitimate arguments. But they are arguments addressed to the facts and merits of the case. Except so far as the challenge is one to a decision on a question of law by the Tribunal, this Court is not concerned in the facts and merits. It must leave such considerations to the specialist tribunal which Parliament has created, after the tripartite model, and which, in this instance, acted unanimously.
15In a subsequent case, Totalisator Agency Board (NSW) v Casey and anor (1994) 54 IR 354, Kirby P again drew attention to the limited nature of appeals to the Supreme Court under s 54 of the GREAT Act. The other members of the Court of Appeal (Priestley and Meagher JJA) did not express any opinion about the nature of the appeal and confined their judgments to the other issues raised on appeal. At p 359, Kirby P listed a number of relevant principles as governing the outcome of s 54 appeals and in so doing, stated as follows:
- Appeals to this Court from the Tribunal are controlled by
s 54 of the Act. That section has been the subject of decisions of this Court. It is now clear that it is insufficient to establish that an error of law has occurred in the course of the determination of a hearing before the Tribunal. It is necessary, instead, to show that the Tribunal has, in the terms of s54, made a "decision ... on a question of law" against which the appellant to this Court appeals. See Metropolitan Water Sewerage and Drainage Board v Histon and Ors [1982] 2 NSWLR 720 ; Clisdell v Commissioner of Police (1993) 31 NSWLR 555 at 558 (1993) 52 IR 396 at 398; Maritime Services Board v Murray (1993) 52 IR 455
16The issue of the nature of the appeal from GREAT to the Supreme Court was again considered by the Court of Appeal in Director-General, Dept of Ageing, Disability and Home Care v Lambert [2009] NSWCA 102; (2009) 74 NSWLR 523. Although reference is made to Casey in a judgment cited in the reasons, no member of the Court of Appeal directly analysed the approach in both Casey and Murray although Basten JA said that the decision in Casey appeared to adopt a "more restrictive approach."
17In the course of argument in Lambert it was submitted that the Tribunal had made erroneous decisions on a question of law by treating as relevant mitigating factors when those factors had no relevance for the exercise of the protective function being undertaken by the Tribunal. That submission was challenged as not constituting an attack on a decision made by the Tribunal on a question of law within the provisions of s 54 of the GREAT Act. In addressing the nature of the s 54 appeal, Hodgson JA stated:
24 On the first point, Mr Crawshaw referred to Hutchinson v Roads and Traffic Authority [2001] NSWCA 332, in which Giles JA (with whom Meagher and Powell JJA agreed) said, at [33]:
Section 54 of the Act enables an appeal against any decision, whether final or interlocutory, which is a decision on a question of law, and is not limited to a final determination ( Metropolitan Water Sewerage and Drainage Board v Histon (1982) 2 NSWLR 720 ; Clisdell v Cmr of Police (1993) 31 NSWLR 555; Maritime Services Board v Murray (1993) 52 IR 455). The word "decision" is important. It includes an opinion of the Tribunal on a question of law upon which its determination is based ( Clisdell v Cmr of Police at 559; Commissioner of Police v Donlan (CA, 8 August 1995 unreported)), but it is not enough that an error of law has occurred in the course of a hearing before the Tribunal ( Totalisator Agency Board of New South Wales v Casey at 359; Wijesuriya v Director-General of Conservation and Land Management (1994) 54 IR 384 at 385). In Totalisator Agency Board (NSW) v Casey Kirby P held that when the Tribunal denied procedural fairness by relying on matters not the subject of evidence or argument, it had made an error of law but had not made an error in deciding a question of law (see at 360: the other members of the Court did not think there had been a denial of procedural fairness).
25 Mr Crawshaw also referred to Donlan , in which Clarke JA (with whom Handley JA agreed) said there is an error of law which enables an appellant to appeal against a decision of the Tribunal where the Tribunal has asked itself the wrong question. Mr Crawshaw submitted that, even if the Tribunal did have regard to irrelevant factors, this did not amount to asking itself the wrong question, and did not amount to an opinion on a question of law on which its decision was based.
26 Mr Crawshaw also submitted that although the factors set out in the third, fifth and sixth sentences of para [36] of the Tribunal's judgment did not ameliorate the seriousness of Mr Lambert's conduct in 2006, they could ameliorate the seriousness of his lying to the investigator, which was being relied on by DADHC; and thus they could be relevant to what was appropriate to protect the public interest.
27 Mr Crawshaw also submitted that it was not irrelevant to the exercise of discretion under s 48 of the GREAT Act to take into account personal circumstances of the employee. Written submissions on behalf of Mr Lambert referred to Rich v Australian Securities and Investments Commission [2004] HCA 42; (2004) 220 CLR 129 at [28] - [33], which contains a criticism of a sharp distinction between punitive and protective proceedings.
28 In my opinion, there is here a challenge to a decision on a question of law. It is not necessary that the question of law be explicitly stated and decided by the Tribunal. It is sufficient if a decision of the Tribunal is such that a resolution of a question of law is manifested by it: see Scicluna v NSW Land and Housing Corporation [2008] NSWCA 277 at [3] - [4], and Douglas v NSW Land and Housing Corporation [2008] NSWCA 315 at [17] - [18]. Here, the Tribunal's identification of mitigating circumstance in para [36] manifested a resolution of the question of law whether such circumstances were relevant to the decision it should make in discharge of its jurisdiction.
Tobias JA generally agreed with the reasons of Hodgson JA but specifically raised a quite separate matter as to the scope of the s 54 appeal to the Supreme Court.
18Basten JA considered at some length the scope of the statutory appeal provided by s 54:
58 The extraordinary growth of tribunals in this country over the past 30 years has seen an equivalent growth in the statutory appeal provisions with respect to decisions of those tribunals. In many cases such statutory appeals are limited in some way to questions or points of law. The variations achieved by Parliamentary counsel, even within New South Wales, in expressing such a limited right of appeal must almost have exhausted the range of possibilities. The variations give rise to questions of construction. For example, is the grant of an appeal "on a question of law, from a decision of the Tribunal" different from an appeal "against any decision of the Tribunal on a question of law"? (The former language is to be found in s44(1) of the Administrative Appeals Tribunal Act 1975 (Cth) ("AAT Act"); the latter is the language of the GREAT Act, s 54 set out above.) The former language is more common than the latter: see the discussion in the judgment of Allsop P in B & L Linings Pty Ltd v Chief Commissioner of State Revenue [2008] NSWCA 187 at [41]-[46].) The Federal Court (Bowen CJ, Fisher and Lockhart JJ) stated in relation to s 44(1) of the AAT Act, in Brown v Repatriation Commission (1985) 7 FCR 302 at 304:
The existence of a question of law is not merely a qualifying condition to ground an appeal from a decision of the Tribunal; rather, it and it alone is the subject matter of the appeal, and the ambit of the appeal is confined to it.
59 The language in Brown made the point that an appeal on a question of law was narrower than an appeal "involving a question of law", being the language of the Income Tax Assessment Act 1936 (Cth), s 196 where the subject-matter of the appeal is not limited to the question of law: see Ruhamah Property Co Ltd v Federal Commissioner of Taxation [1928] HCA 22; 41 CLR 148 at 151 and Krew v Commissioner of Taxation (1971) 45 ALJR 324, 325-326 (Walsh J). As noted in B & L Linings at [47], that contrast was expressly identified by Gummow J in TNT Skypak International (Aust) Pty Ltd v Commissioner of Taxation (1988) 82 ALR 175 at 178; see also Re Minister for Immigration and Multicultural Affairs; Ex parte Applicant S20/2002 [2003] HCA 30; 77 ALJR 1165 at [56] (McHugh and Gummow JJ).
60 An appeal on a question of law may bear comparison with other forms of judicial review. It was in relation to a provision of that kind that the High Court (Gaudron, Gummow and Hayne and Callinan JJ) stated in Roy Morgan Research Centre Pty Ltd v Commissioner of State Revenue (Vic) [2001] HCA 49; 207 CLR 72 at [15]:
Section 148 of the VCAT Act is concerned with the invocation of judicial power to examine for legal error what has been done in an administrative tribunal. ... [I]t is important to recognise that the essential character of s 148 is that it provides for the institution of proceedings in the Supreme Court, by leave, in which the legal correctness of what the Tribunal has done can be challenged.
61 Thus a statutory right of appeal limited to questions of law may be seen to reflect the broad dichotomy drawn by principles of judicial review, namely that the administrative decision-maker or tribunal is to be the final adjudicator of the facts and the merits of the case, so long as he or she acted within the limits prescribed by law (which may involve a range of procedural and substantive constraints: see Craig v South Australia [1995] HCA 58; 184 CLR 163 at 175-176 and Applicant S20/2002 at [53]-[58] (McHugh and Gummow JJ)). Whether an appeal from 'a decision on a question of law' was intended to have similar effect is no longer a question which can be asked. It is clear from the authorities that it has a more limited operation. Given the linguistic distinction, such a differential operation is clearly justifiable and perhaps inevitable.
62 It is necessary, therefore, to note that a number of quite distinct questions have arisen in the course of construing provisions such as s 54, an incomplete list of which might read as follows:
(a) may an appeal be brought from an interlocutory decision of the tribunal, or only from a final decision?
(b) must the tribunal itself identify a question of law requiring a decision, or can the question be inferred from the relevant decision of the tribunal?
(c) are there legal errors which may be identified in the approach taken by the tribunal to its task which do not fall within the statutory right of appeal, such as:
(i) a failure to accord one party procedural
fairness;
(ii) failing to apply legal criteria correctly identified;
(iii)misconceiving the scope of relevant and irrelevant considerations;
(iv) exercising a discretion in a manifestly unreasonable manner, and
(v) failing to give reasons for its decision?
(d) is the subject matter of the appeal limited to the question of law?
(e) are the powers of the appellate court limited to a remittal to the tribunal in the case of material legal error?
63 As a number of the cases discussed in B & L Linings demonstrate, the answers to these questions may require consideration of the broader context in which the statutory right of appeal is conferred: see also authorities referred to in Seltsam Pty Ltd v Ghaleb [2005] NSWCA 208; 3 DDCR 1 at [150] and [159]. For example, this may include reference to the power conferred on the court hearing the appeal. It may also require reference to procedural provisions which give colour to the context. Thus, in relation to an appeal under the GREAT Act, s 55 provides that the appeal shall be made "within 21 days after the date of the Tribunal's decision on the question of law the subject of the appeal ... ". Such a provision might be thought to give weight to the view that the decision was either a final decision or one separately identified by the Tribunal as involving a question of law. However, although there is some vacillation in the jurisprudence in this Court on the question, it has now been broadly accepted that, in the words of Sheller JA in Clisdell v Commissioner of Police (1993) 31 NSWLR 555 at 559C (Handley and Cripps JJA agreeing):
It seems to me, therefore, that 'decision' in s 54 is used to include an opinion of the Tribunal on a question of law upon which its action or decision, as generally understood, is based.
64 The reference by Sheller JA to an action or decision "as generally understood" was a reference to the view that an appeal from a decision is a challenge to a final or operative decision or order, being an act adversely affecting rights claimed by the appellant. The idea that a decision may be based on an answer to a particular question of law does not necessarily mean that the tribunal itself must have expressly so identified the question.
65 In Totalisator Agency Board (NSW) v Casey (1994) 54 IR 354 Kirby P took what appears to have been a restrictive view of the subject matter of an appeal under s 54 of the GREAT Act, as determined by Clisdell and earlier authorities: at 359. It was not, however, a matter on which the other members of the Court (Priestley and Meagher JJA) commented as they found the only possible basis of challenge was a claim of procedural unfairness and that had not been made out on the facts.
66 Some five weeks later, the Court handed down judgment in Wijesuriya v Director-General, Department of Conservation and Land Management (1994) 54 IR 384. The Court was constituted by Kirby P, Clarke and Handley JJA. Relevantly for present purposes, the Court was unanimous as to the appropriate orders, but each member of the Court gave separate reasons. In the course of his reasons, Kirby P stated at 385:
The appeal to this Court from the Tribunal is limited to an appeal on matters of law. Moreover, the appeal must be, as the Act provides, 'against the decision of the Tribunal on a question of law'. That phrase has been given a narrow construction in this Court. Effectively, it has been held that the Tribunal must identify a question of law and decide it as such. See Metropolitan Sewerage and Drainage Board v Histon [1982] 2 NSWLR 720 at 724; Clisdell v Commissioner of Police (1993) 31 NSWLR 555 at 558; 52 IR 395 at 397; and Totalisator Agency Board of New South Wales v Casey (1994) 54 IR 354. ... Thus, it is not enough that a question of law may arise in the course of the Tribunal's deliberations and its determination of an appeal. It is necessary that the Tribunal should have made a decision on a question of law which the appellant wishes to challenge in this Court.
67 The other members of the Court confined themselves to upholding the appeal on the basis that the Tribunal had asked itself a legally wrong question.
68 The Court returned to the construction of s 54 in August 1995 in Commissioner of Police v Donlan [1995] NSWCA 468. In that case, Clarke JA, with whom Handley JA agreed, noted that Samuels JA in Histon had concluded that a decision was not limited to the final or operative order of the Tribunal and included "any decision of the Tribunal which is a decision on a question of law". His Honour identified Hutley JA as in agreement with that view: at [11]. His Honour then noted the submission that "an appeal only lies when the Tribunal expressly refers to a question of law which it proceeds to determine". His Honour identified the high point of that submission as the judgment of Kirby P in Wijesuriya . After reference to the reasons of Handley JA in that case and the judgment of Sheller JA in Clisdell , Clarke JA concluded at [14]:
Accordingly, I would reject the submission that it is necessary for GREAT expressly to identify a point of law and then furnish its answer to that point before an appeal will lie under s 54. In my opinion the section, properly construed, enables an appellant to appeal against the decision of GREAT whenever an error of law, as explained in Azzopardi , is raised. That will occur, as I have previously indicated, where the Tribunal has asked itself the wrong question.
69 The reference in Donlan to Azzopardi was a reference to the reasoning of Glass JA in Azzopardi v Tasman UEB Industries Ltd (1985) 4 NSWLR 139 at 156:
A finding of fact ... may nevertheless reveal an error of law where it appears that the trial judge has misdirected himself, i.e., has defined otherwise than in accordance with law the question of fact which he has to answer.
70 The approach accepted in Donlan is consistent with that adopted in relation to other provisions having structural similarity to s 54. Thus, under s 67 of the Consumer, Trader and Tenancy Tribunal Act 2001 (NSW) a right of appeal is conferred where the Tribunal "decides a question with respect to a matter of law". The structural similarity is that the phrase "question of law" qualifies the decision of the Tribunal and not the appeal: see also, with respect to s 57(1) of the Land and Environment Court Act 1979 (NSW), ISPT Pty Ltd v Valuer General [2009] NSWCA 31, at [3] (Allsop P). In that context, the Court held in Grygiel v Baine [2005] NSWCA 218 at [29], after referring to authority that an appeal was permitted from interlocutory decisions of the Tribunal:
Further, as the judgment of Bryson JA in Kalokerinos [ v HIA Insurance Services Pty Ltd [2004] NSWCA 312 at [38]-[58]] demonstrates, the terms of s 67(1) require that an appellant must identify with precision a decision of the Tribunal with respect to a matter of law, in order to invoke the jurisdiction of the Court. It is not necessary that the matter of law be separately identified by the Tribunal and expressly addressed as such: it is sufficient that the Tribunal reaches a conclusion with respect to some matter which requires for its determination the identification of a relevant matter of law and that error is alleged with respect to that matter of law. However, as noted by Handley JA ... in Smith v Collings Homes Pty Ltd [2004] NSWCA 75 at [61]:
It does seem clear, on any view, that the section prevents a new point of law being taken for the first time on appeal.
71 It seems well-established that this approach is the appropriate approach to be adopted in respect of the appeal available under s 54. That approach is relevant to the determination of the present appeal. The issue raised during argument was whether questions as to errors with respect to relevant and irrelevant considerations fell within the terms of the statutory appeal. Because such questions involve assessment of the proper scope of the Tribunal's power and jurisdiction, there is an implicit decision on a question of law with respect to any consideration which is deemed relevant or irrelevant. Such a conclusion involves the view that a consideration is mandatory (relevant) or prohibited (irrelevant) as a matter of law. It follows that it was not necessary for the Director-General to invoke the judicial review jurisdiction of this Court in order to present such arguments.
...
74 In the course of his judgment in Totalisator Agency Board v Casey , Kirby P expressed the view that a failure to accord procedural fairness involved an error of law, but not one coming within the statutory appeal provisions as identified in Clisdell : at 359.
75 There is something to be said for the view that, where a tribunal has exceeded the bounds of its legal authority by failing to accord procedural fairness, such an error does not constitute a decision of the tribunal on a question of law: see Seltsam at [159] and, in relation to a failure to give reasons, Campbelltown City Council v Vegan [2006] NSWCA 284; 67 NSWLR 372 at [130].
19The appeal to the Industrial Court pursuant to s 23A of the TAB Act is in almost identical terms to the appeal to the Supreme Court under s 54 of the GREAT Act. This is not surprising as both pieces of legislation deal with promotion and disciplinary appeal rights of public sector employees. The appeal provided by s 23A is, therefore, to be distinguished from the type of appeal available under s 142N of the District Court Act 1973 ("DC Act") as highlighted in the judgment of Commissioner of Police v Dalziel [2011] NSWCA 290. In that case, however, the Court of Appeal noted the distinction between a question of law and a question of fact in circumstances where s 142N provided to an aggrieved party an appeal "in point of law." The judgment of Handley AJA in particular focused upon the distinction between errors of law and errors of fact noting that the central issue in the appeal was whether the conclusions of the judge below evidenced any error "in point of law" - a more general right of appeal. Although the DC Act itself confined the right of appeal, as acknowledged by Basten JA at [17], that is not the same type of appeal as is available under s 23A of the TAB Act.
20An appeal under s 23A is not an exercise involving a search for any errors in point of law that arise in the proceedings but requires attention to a more precise issue, requiring the identification of a decision of the TAB in the proceedings "on a question of law." In this respect the judgment of Basten JA in Lambert at [70] is of particular relevance where his Honour quotes from the judgment of the Court in Grygiel v Baine [2005] NSWCA 218 at [29] citing the judgment of Bryson JA in Kalokerinos v HIA Insurance Services Pty Ltd [2004] NSWCA 312 at [38]-[58] that the terms of the Act there under consideration required "that an appellant must identify with precision a decision of the Tribunal with respect to a matter of law, in order to invoke the jurisdiction of the Court." We would respectfully agree with that statement, as relevant to the operation of s 23A.
21The cases considered above dealing with provisions similar to s 23A provide the following guidance in identifying the scope of the appeal available under the Act:
(a) an appeal from a decision on a question of law is a more limited appeal than that available on a question of law or involving a question of law;
(b) it is not sufficient, therefore, to merely establish that an error of law has occurred in the course of the appeal;
(c) while it must be shown that the Tribunal has made a decision on a question of law that is challenged on appeal, it is not necessary for the Tribunal to have, itself, expressly identified that question. It will be sufficient if the appeal identifies any decision of the Tribunal that is a decision on a question of law. Thus, where the Tribunal reaches a conclusion with respect to some matter that requires for its determination the identification of a relevant matter of law and error is alleged with respect to that matter of law, the jurisdiction of this Court under s 23A is invoked;
(d) the appellant, nevertheless, is required to identify with some precision the decision of the Tribunal on a matter of law in order to invoke the jurisdiction of the Court under s 23A;
(e) where the questions raised on appeal involve an assessment of the proper scope of the Tribunal's power and jurisdiction, there is an implied decision on a question of law.