POSITION OF RESI APART FROM EFFECT OF CROWN PROCEEDINGS ACT
44 In my opinion, it is appropriate first to consider the position of RESI apart from the effect of the Crown Proceedings Act, and to do so historically, as suggested in the Court's memorandum of 27th March 2002; that is, to start with a consideration of the position of the Trust under the Electricity Trust of South Australia Act 1946. There may be force in Mr. Jackson's submissions concerning the employment of the opponent prior to the commencement of that Act, but that matter is outside the pleadings as they stand at present.
45 In my opinion, ss.6 and 15 of that Act sufficiently indicate an intention that the Trust be an agent of the Crown, and as such it is prima facie entitled to Crown immunities, so far as they are applicable. However, s.5 manifests a clear intention that the Trust be capable of being sued, as well as suing, in the Crown's own courts, thereby in my opinion displacing any application of the first aspect of Crown immunity, the notion that the Crown cannot be sued in its own courts. It is not necessary to consider whether or not it displaced the Crown's immunity from execution: even if it did not, that would not in my opinion preclude a litigant proceeding to obtain judgment.
46 As regards the second aspect of Crown immunity, in my opinion there is nothing to prevent the Trust being liable for torts committed directly by the Trust itself, through its five members. In that respect, as noted above, the Trust is in no different situation from any other servant of the Crown. However, there is a real question as to whether it would be vicariously liable for torts committed in the course of their employment by its officers and employees engaged under s.17 of the Act.
47 Apart from the case of Marks v. Forests Commission [1936] VLR 344, the cases relied on by Mr. Douglas have little to say on this matter.
48 Bradken (145 CLR 107) dealt with a statute which constituted the Commissioner for Railways of the State of Queensland as a corporation sole capable of suing and being sued and having "all the powers, privileges, rights and remedies of the Crown". I accept that this case, especially the judgment of Gibbs ACJ at 114-5, shows that the provision that the Commissioner could be sued, although capable of displacing the first aspect of Crown immunity if it otherwise applied, did not displace other aspects of Crown immunity; and in particular in that case, did not displace the presumption that the Crown was not bound by statutes except by express words or necessary implication. That case concerned a question whether the Commissioner was or was not bound by a statute, and involved no consideration of the Commissioner's liability in tort.
49 Similarly, Wynyard Investments (93 CLR 376) dealt only with the question whether the Commissioner for Railways (NSW) had the benefit of the rule of statutory construction. Deputy Commissioner of Taxation v. State Bank of New South Wales (174 CLR 219) dealt with a question of construction of s.114 of the Constitution, this involving the third and fourth aspects of Crown immunity, but not the second. State Authorities Superannuation Board (189 CLR 253) dealt with the rule of statutory construction. Re Residential Tenancies Tribunal (NSW) (190 CLR 410) concerned the fourth aspect.
50 Similarly, apart possibly from Sydney Harbour Trust Commissioners v. Ryan (1911) 13 CLR 358, the cases referred to by Mr. Jackson did not directly address the second aspect of Crown immunity. Chaff & Hay (74 CLR 375) dealt with the question whether an entity set up in South Australia had corporate status enabling it to be sued in New South Wales in respect of liability in contract; and Townsville Hospital Boards (149 CLR 282) concerned the rule of statutory construction.
51 Turning to the cases having some bearing on the second aspect of Crown immunity, Sydney Harbour Trust Commissioners concerned an action brought by an employee of the Sydney Harbour Trust Commissioners claiming compensation pursuant to the Employers Liability Act 1897 (NSW) for injuries received during his employment. It was argued for the Commissioners that the relation of employer and workman did not exist between the Commissioners and workmen employed under them; and that the appellants as representing the Crown were not bound by the provisions of the Employers Liability Act. The High Court held that the Commissioners were the employers of the plaintiff within the meaning of the Employers Liability Act, and on the way expressed the view that the Commissioners were in a general law sense the employers of the plaintiff. The factors relied on by the High Court (see for example per Barton J at 368-9) would all apply to the employees of the Trust. On the question whether the Employers Liability Act applied to the Commissioners, the High Court appeared to accept that they constituted an agent of the Crown, but nevertheless held, as a matter of construction, that the Employers Liability Act applied to them.
52 In Marks v. Forests Commission, the decision went the other way. However, Lowe J in the Supreme Court of Victoria seemed to approach the matter simply by asking whether the Forests Commission was an agent of the Crown within the meaning of the rule conferring immunity, without considering the principle that even an agent of the Crown is liable for its own torts and escapes vicarious liability for the torts of its personnel only where those personnel are properly considered servants of the Crown rather than employees of the agent. Lowe J relied on express provisions in the relevant statute making the Forests Commission liable in the case of contracts into which it had entered, and applied the expressio unius maxim to infer that liability for tort was excluded. He did at 353 distinguish the view expressed by Atkin LJ in Mackenzie-Kennedy v. Ayre Council [1927] 2 KB 517 at 533 that a corporation that is an agent of the Crown is liable for torts actually committed by it, on the ground that in the case before him the liability alleged was one to be imputed to the Commission for the negligence of a servant. However, as I have noted, he did not go on to consider the rationale for the exclusion of vicarious liability, namely the notion that personnel of agents of the Crown are often considered to be servants of the Crown and not employees of the agent.
53 There is a useful review of authorities on Crown immunity in Skinner v. Commissioner for Railways (1937) 37 SR(NSW) 261. At 270, Jordan CJ makes the point that, whether a body is found to represent or not to represent the Crown, the extent of its liabilities or immunities may depend to some extent upon particular provisions contained in the Statute by which its functions are regulated.
54 Returning to the 1946 Act that created the Trust, I note that there appears to be no provision in the original Act for direct control of the Trust by a Minister. It is plainly contemplated that the Trust should have separate finances from the general finances of the State. It is plainly contemplated that it should have its own separate employees, under its own control and direction, and not subject to the Public Service Act. In my opinion, the Sydney Harbour Trust case strongly supports the view that the employees of the Trust are not Crown servants, but are employees for whose torts committed in the course of employment the Trust would be vicariously liable. This is sufficient to distinguish Marks, assuming it was correctly decided. The 1985 amendment, introducing control by the Minister, did not in my opinion affect this position; and, in any event, could not discharge a liability that had already arisen. The 1988 amendment likewise did not affect this position.
55 Thus, in my opinion, the Trust would be vicariously liable for the torts of its employees committed in the course of their employment. In any event, it seems clear that the Trust would be liable for its own torts, committed by its constituent members acting as the Trust. The allegations in the Statement of Claim in this case seem to be directed to liability arising from the actions and inactions of the Trust itself in relation to the provision of a safe working place, rather than vicarious liability through torts of the Trust's employees committed in the course of their employment. It may well be that the Trust would have had the immunity of the Crown in relation to the rule of statutory construction, but for the reasons I have given, I do not think it had the immunity of the Crown in relation to the commission of torts.
56 The passing of the Crown Proceedings Act in 1992 in my opinion had no effect on this position. The Trust is within the definition of "the Crown" within s.4 of that Act; but the Act does not purport to give to the Crown or any instrumentality of the Crown any immunities which it did not otherwise have.
57 The combined effect of the Public Corporations Act 1993 and the Electricity Corporations Act 1994 was to make it clear that ETSA, being the same body corporate as the Trust, was subject to control and direction by its Minister. After 1999, this comment applied also to RESI. However, the body in question continued to operate independently in a financial sense, and had its own staff, appointed on terms fixed by the body corporate (RESI after 1999). These Acts also confirmed that the body corporate could be sued in the courts.
58 The provision for direct control by the Minister confirmed that the body corporate was an instrumentality of the Crown and prima facie entitled to immunities of the Crown, notably that concerning statutory construction. However, there was express provision that the body corporate could be sued in the courts, confirming that the first aspect of Crown immunity did not apply. As regards the relevant aspect of Crown immunity, the one I have considered second, these provisions in my opinion made no difference. Accordingly, RESI would be liable for its own torts and vicariously liable for torts committed by its employees in the course of their employment, and it would also retain such liability as the Trust had in respect of the Trust's torts and torts for which the Trust was vicariously liable.