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[2008] NSWDC 210
District Court of NSW
2008-08-22
Original judgment source is linked above.
CITATION: Sandra Ellen Mills v Perpetual Trustee Limited & Ors [2008] NSWDC 210
DECISION: Application to extend the limitation period is refused.
CATCHWORDS: Personal injury - Limitation period - Application to extend the limitation period
LEGISLATION CITED: ss 60G, 60I Limitation Act 1969
Andresakis & Skouteris trading as Andresakis & Associates v Alexus Holdings Pty Ltd (2006) 68 NSWLR 507 Brisbane South Regional Health Authority v Taylor (1996) 186 CLR 541 Commonwealth of Australia v Smith [2005] NSWCA 478 CASES CITED: Drayton Coal Pty Ltd v Drain NSWCA, unreported, 22 August 1993 Harris v Commerical Minerals Ltd (1996) 186 CLR 1 State of NSW v Young [2004] NSWCA 204 Telstra Corporation v Rea [2002] NSWCA 49
PARTIES: Sandra Ellen Mills Perpetual Trustee Limited & Ors
Ms Wall for the Plaintiff (Mrs Mills) COUNSEL: Mr Gruzman for the 1st Respondent/2nd Defendant (Savills) Mr Grant for the 2nd Respondent (Glad Cleaning)
" Thus s 60I(1)(b) imports for the first time a notion of constructive awareness or knowledge ."
His Honour had observed in the previous paragraph that s 60I(1)(a) was concerned with actual knowledge. 38. Returning to [102], after reference to another authority his Honour observed:
" The fact that the plaintiff had the means of knowledge at his disposal would be a highly relevant matter for consideration, in deciding whether the application succeeded or failed under s 60I(1)(b). "
Smith's case was a case concerning the accident between the HMAS Melbourne and HMAS Voyager on 16 February 1964. Santow JA observed, relevant to his earlier comment about the means of knowledge, that in that case there was a question about whether the plaintiff had the capacity to have recourse to the means of knowledge unimpaired by an adverse mental condition. There was also in that case evidence that the plaintiff had been instructed not to talk about the matter by his superiors. There was also evidence that the plaintiff for some time lacked sufficient insight to utilise the means of knowledge at his disposal. In that context I observe that, in my opinion, there is no evidence that Mrs Mills suffered any relevant inhibitions to her means of knowledge about the role of the cleaners and the operators of the mall so far as her accident was concerned. 39. Returning to Smith's case, Santow JA went on to observe at [103]: " The capacity to take action to utilise a means of knowledge, while based on what is reasonable in the circumstances, must be judged by reference to the actual qualities of the person concerned, rather than by reference to the qualities of the hypothetical reasonable man. " His Honour referred to other authority for the proposition:
" What a person 'ought' to know or be aware of for the purposes of s 60I(1)(b) must necessarily take account of the circumstances of the particular applicant. "
His Honour then referred to an earlier Court of Appeal decision in Telstra Corporation v Rea [2002] NSWCA 49 from which he quoted from the judgment of Foster AJA. His Honour adopted the following passage from Foster AJA's judgment: " The question for the learned primary judge, in the present case, was whether the plaintiff himself, not the hypothetical reasonable man, should have become aware of the existence and relevance of the document. " 40. Basten JA delivered a dissenting judgment in Smith's case. But in my opinion his observation about the operation of s 60I(1)(b) is not inconsistent with the majority view. At [187] Basten JA said that the
" circumstances and characteristics of an applicant may well explain why he or she did not ask a question or seek advice at a particular time. The term 'ought' requires more than explanation - it requires justification. That additional element requires a standard, not a mere description of the characteristics and circumstances of the individual which led to the failure to inquire. "
" She is continually paying legal fees for that case and she is considering settlement offers from the plaintiff, and rejecting them and preparing documentation to substantiate a counter-offer. The transcript also demonstrates that she is unhappy with her legal team who wanted to settle for what she considers a paltry amount. She is aware of subpoenas on her experts, agreements between the parties about the contents of experts' reports, familiar with specific contents of experts' reports ".
" The effect of the decision of the High Court in Brisbane South Regional Health Authority is that an application for an extension of time under limitation legislation should be refused if the effect of granting the extension would result in significant prejudice to the potential defendant. " Santow JA went on at [128]:
" Significant prejudice' means 'such prejudice as would make the chances of a fair trial unlikely' ."
Against this background, I do not see any warrant for treating provisions that provide for an extension of time for commencing an action as having a standing equal to or greater than those provisions that enact limitation periods. A limitation provision is the general rule; an extension provision is the exception to it. The extension provision is a legislative recognition that general conceptions of what justice requires in particular categories of cases may sometimes be overridden by the facts of an individual case. The purpose of a provision such as s 31 is "to eliminate the injustice a prospective plaintiff might suffer by reason of the imposition of a rigid time limit within which an action was to be commenced." But whether injustice has occurred must be evaluated by reference to the rationales of the limitation period that has barred the action. The discretion to extend should therefore be seen as requiring the applicant to show that his or her case is a justifiable exception to the rule that the welfare of the State is best served by the limitation period in question.
Accordingly, when an applicant seeks an extension of time to commence an action after a limitation period has expired, he or she has the positive burden of demonstrating that the justice of the case requires that extension."
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Sandra Ellen Mills
Perpetual Trustee Limited & Ors
(2006) 68 NSWLR 507
(1996) 186 CLR 541
(1996) 186 CLR 1