[2024] TASSC 3
General information, not legal advice.
Supreme Court of Tasmania
2024-02-15
Brett J
Original judgment source is linked above.
CITATION: Steen v Trustees of the Diocese of Tasmania [2024] TASSC 3
HEARING DATES: 12-16, 18, 20, 21, 23 September, 19, 21 October 2022
Damages - Generally - Exemplary, punitive, aggravated and like damages - Aggravated damages - Exemplary damages - Sexual abuse of child by priest - Defendant's prior knowledge of abuse - Defendant's response to abuse
Damages - Particular awards of general damages - Tasmania - Plaintiff sexually abused by priest when aged 10 to 16 - Trustees of Diocese of Tasmania - Vicarious liability - Assault and battery - Direct liability - Duty of care
Limitation of actions - Statutes of limitation generally - Operation of state statutes in particular actions - Other matters - Limitations Act 1974 - Child abuse - Plaintiff sexually abused by priest - Previously settled relevant right of action - Deed of release - Barred cause of action - Set aside
Backwell v AAA [1997] 1 VR 182
Berowra Holdings Pty Ltd v Gordon [2006] HCA 32; (2006) 225 CLR 364
BHP Billiton v Schultz [2004] HCA 61; 221 CLR 400
Carter and Another v Walker and Another [2010] VSCA 340
Carter v Walker [2010] VSCA 340, (2010) 32 VR 1
Commercial Bank of Australia Ltd v Amadio [1983] HCA 14, (1983) 151 CLR 447
Dann v Port Sorell Bowls Club Inc (No 2) [2020] TASSC 53
Erlich v Leifer [2015] VSC 499
Grant v John Grant & Sons Pty Ltd [1954] 91 CLR 112, 1954 HCA 23
Gray v Motor Accident Commission [1998] HCA 70, 1998 196 CLR 1
Horne v Wilson [1998] TASSC 17
Jadwan Pty Ltd v Middletons [2007] TASSC 74
Lamb v Cotogno [1987] HCA 47; [1987] 164 CLR 1
Landsman v R [2014] NSWCCA 328
Lawrence v Province Leader of the Oceania Province of the Congregation of the Christian Brothers [2020] WADC 27
Lonergan v Trustees of the Sisters of St Joseph & Anor [2021] VSC 651
Malec v JC Hutton Pty Ltd [1990] HCA 20, 1991 69 CLR 638
Medlin v State Government Insurance Commission [1995] HCA 5, (1995) 182 CLR 1
Nella v Kingia Pty Ltd [1989] FCA 142
PCB v Geelong College [2021] VSC 63
Planet Fisheries Pty Ltd v La Rosa [1968] HCA 62 1968 119 CLR 118
Prince Alfred College Inc v ADC [2016] HCA 37
Project Blue Sky Incorporated & Ors v Australian Broadcasting Authority [1998] HCA 28; (1998) 194 CLR 355,
Province Leader of the Oceania Province of the Congregation of the Christian Brothers v Lawrence [2021] WASCA 77
Public Trustee as Administrator of the Estate of Matthew Leonard v Atielo [2023] TASSC 33
Rixon v Star City Pty Ltd [2001] NSWCA 265 53 NSWLR 98; ZAB v ZWM
Roman Catholic Trust Corporation for the Diocese of Sale v WCB [2020] VSCA 328, (2020) 62 VR 234
RW and ME Smith Pty Ltd v Boral Resources (Vic) Pty Ltd [2023] VSCA 182
Simonious Vischer & Co v Holt [1979] 2 NSWLR 322
State of NSW v Moss [2000] NSWCA 133, (2000) 54 NSWLR 536
Thorne v Kennedy [2017] HCA 49, (2017) 263 CLR 85
TRG v The Board of Trustees of the Brisbane Grammar School [2020] QCA 190
Uren v John Fairfax and Sons Pty Ltd [1966] HCA 40; [1966] 117 CLR 118
Wardman v Macquarie Bank [2023] FCAFC 13
West Tamar Council v Leonard [2012] TASSC 68
Whitfeld v De Lauret & Co Ltd [1920] HCA 75; [1920] 29 CLR 71
ZAB v ZWM [2021] TASSC 64
Judgment Number: [2024] TASSC 3
JOHN THOMAS STEEN v TRUSTEES OF THE DIOCESE OF TASMANIA
"So, by that time in the camp, I'd had interesting conversations with Daniels, to the extent that a child of that age can be interesting, and he had paid me a lot of attention and when he came into the room, he sort of - you know, rubbing my back and I thought...that's nice but as the rubbing progressed and as it went down beneath my pyjamas...onto my penis and testicles, I had a horrible feeling that something was really wrong. That - that shouldn't happen"
"I guess initially I was pleased to see him. ... I remember him being in a short terry towel and blue bath robe, which is probably a little bit strange for later in the morning, but it didn't occur to me as being terribly out of order initially. So I went to shake his hand and greet him, as you would. He hugged me and then got me into a hug which I couldn't break free from, and - yeah, I really froze. I just - and then when he kissed me and he put his tongue into my mouth, the thing I remember about that is his really bristly moustache. It was horrible, and it didn't stop. It went for a long time."
"When you reached the river and got out of the car you were assaulted, as we've heard, are you able to talk about what happened?......I can . So the road, which is a dirt road, goes to a place which is quite close to the river and we walked down to the river where, again, grabbed me, hugged me, pulled me fully in close again, a kiss, the tongue in my mouth, and I wiggled free fairly quickly and the Meander River at that point is a fairly shallow river and as I was able to reach a couple of stepping stones and then step onto a stone that was a bit off shore an there wasn't enough room on that stone for both of us, so it was a pretty- it was a safe spot, so I could wait there until he gave in.
When you say you were able to free yourself quickly, for how long did he have you in that hold?......It would have been about a minute, I guess, I mean the hugging starts and then - then the kissing and then, you know, it - it was the shortest time period compared to the others and I wriggled free a lot faster than I did previously, and the place to be secure was on a rock that was big enough to support one person.
Did you draw that - did he say anything to you as he had you in that hold?......He didn't say anything while I was in the hold.
Did you say anything to him once you freed yourself?......After a while he - he did make an effort to go into the river to - to step on stones and I think he realised fairly quickly that he wasn't going to be in a position where he could actually grab me and kiss me, so it was a stand off and I said 'Look, I really want to go back to my friends,' and he said, 'Okay.'
Was that the entirety of the conversation, or - ?......No, we started walking back to the car and we walked past the hut that exists at the top of that place, and he said, 'Would you like to have a look inside the hut,' and I said, 'No, I want to go home.'
What other way of getting back to the others did you have?......No other way, it's a long drive."
" John told him as much detail as John felt comfortable in doing so, that in fact something very illegal had happened and that it was against John's wishes and that John was a minor and it was in the camping - in the situation of a camp at Montgomery Park in Conningham."
The Church's prior knowledge of Daniels' misconduct
Response by the Church to the plaintiff's allegations and Daniels' ongoing involvement in Church activities.
Allegations concerning Daniels resurface in 1994
"There was a pattern emerging ......it was really obvious that something had gone very wrong in terms of what we had said, and alerting the church to Daniels and his behaviour, and then what happened next was moving, promotion, and a national recognition for contribution to CEBS. We'd built up a picture that we'd been disregarded."
(a) The vicarious liability of the Church for the acts of Daniels is unclear.
(b) That a limitation defence was applicable and that both the church and Daniels would be entitled to rely on it "as a complete defence". However, Mr Abbott advised that to do so may attract "severe adverse publicity" and "bring the Church into odium if not contempt".
(c) On the basis of conversations with Mr Smith, it seemed the matter was capable of settlement. In particular, the dismissal of Daniels was no longer not negotiable and the plaintiff was prepared to accept the advice of his solicitors as to the amount he recovered by way of damages. He noted that "their client is interested in a negotiated settlement and in avoiding publicity".
"It has further been explained to the solicitors acting for Mr Steen that the means available to Mr Daniels to satisfy the terms of settlement are limited, and that it will be necessary for him to obtain loan finance. The intention in making this plain to the solicitors acting for Mr Steen is to lower their expectations as to the amount required to settle the matter, which will affect the advice that they give to their client about the matter."
"... changes in the sense that there is a high level of criminality in my mind, a conspiracy - I wouldn't have signed it.
"Once battery is established, immediate harm and consequential damage are compensable. The boundary of entitlement is set by the conception of 'natural and probable consequence' (or 'result'). That appears to be a common control mechanism for intentional torts. See, for instance, Palmer Bruyn & Parker Pty Ltd v Parsons, a case of alleged injurious falsehood. The same limiting conception was referred to by Spigelman CJ in TCN Channel Nine Pty Ltd v Anning (a case of trespass to land) and by his Honour in Nationwide News Pty Ltd v Naidu, (a case pleaded in negligence and in the Wilkinson tort). It is not a test of reasonable foreseeability, even though the two tests might yield the same result in some, or even many, cases."
"Consequently, in cases of this kind, the relevant approach is to consider any special role that the employer has assigned to the employee and the position in which the employee is thereby placed vis-à-vis the victim. In determining whether the apparent performance of such a role may be said to give the 'occasion' for the wrongful act, particular features may be taken into account. They include authority, power, trust, control and the ability to achieve intimacy with the victim. The latter feature may be especially important. Where, in such circumstances, the employee takes advantage of his or her position with respect to the victim, that may suffice to determine that the wrongful act should be regarded as committed in the course or scope of employment and as such render the employer vicariously liable."
Does the deed, if valid, constitute a bar to this action?
"The first is that the general words of a release are to be restrained by the particular occasion referred to in the recitals. If there is 'introductory matter' in the deed, that will qualify the general words of the release. The second, related, principle is that the general words of a release are limited to those things which were in contemplation of the parties at the time when the release was given. The High Court explained that the second principle found earlier expression in the words of Taunton J in Upton v Upton, put this way:
'[T]he general words of a release may be limited by the particular matter out of which the release springs and the particular intent of the parties by whom the release is executed.'
As also explained by the High Court, the relationship between the two interpretive principles lies in the difference between controlling the general words by reference to an express recital and controlling them by reference to actual disputes which existed between the releasor and releasee."
"This first principle may be seen as an emanation of the more general principle that the words of a contract are to be construed as a whole having regard to the purpose or objects to be secured by the contract. The first principle operates on the premise that there are express objects evident from recitals.
The second and differently expressed common law principle of construction referred to in the joint judgment in Grant v John Grant Sons Pty Ltd is that the general words in a release are limited to those things which were in the contemplation of the parties at the time when the release was given -
The second principle may also be seen as an emanation of the more general principle that in the construction process regard be had to the purpose to be secured by a contract, objectively ascertained."
Section 5C of the Limitation Act 1974
(a) sexual abuse, or serious physical abuse, of a child; and
(b) any psychological abuse of the child that arises from the sexual abuse or serious physical abuse of the child -
but does not include an act that is lawful at the time at which it occurs;
previously settled relevant right of action means a relevant right of action that was settled before the day on which section 5B commenced but after a limitation period applying before that day to the right of action had expired;
relevant court, in relation to a relevant right of action, means a court which, but for an agreement settling the relevant right of action, would have jurisdiction to deal with the action;
relevant right of action means a right of action in respect of child abuse.
(2) An action may be brought on a previously settled relevant right of action if a relevant court, by order on application, sets aside the agreement effecting the settlement, on the grounds that it is in the interest of justice to do so.
(3) Without limiting the matters to which a court may have regard in determining whether it is in the interests of justice to set aside an agreement effecting a settlement in respect of a relevant right of action, the Court is to have regard to the following:
(a) the amount of the agreement;
(b) the relative strengths of the bargaining positions of the parties;
(c) any conduct, by or on behalf of the organisation to which the agreement relates, that -
(i) relates to the cause of action; and
(ii) occurred before the settlement was made; and
(iii) the court considers to have been oppressive.
(4) If a court orders under subsection (2) that an agreement effecting a settlement be set aside, so much of the agreement, and any other agreement (apart from a contract of insurance) relating to the settlement, is, despite any Act, law or rule of law, void to the extent to which it relates to the child abuse to which the cause of action relates.
(5) A party to an agreement that is wholly or partly void under subsection (4) cannot seek to recover an amount paid by or in respect of the party under the agreement on the basis that the agreement is void to that extent.
(6) A court hearing an action on a previously settled relevant right of action may, if it is satisfied that it is just and reasonable to do so when awarding damages in relation to the action, take into account any amount, paid under an agreement that is wholly or partly void under subsection (4) , to the extent to which the amount relates to the child abuse to which the cause of action relates.
(7) For the purposes of subsection (6) , half of the total of all amounts paid under an agreement is taken to be the amount relating to the child abuse to which the cause of action relates, if the agreement -
(a) does not relate solely to the child abuse; and
(b) does not expressly indicate the extent to which the agreement and amounts paid under it relate to the child abuse.
(8) This section does not apply in relation to an agreement effecting a settlement that is an offer of redress accepted under section 42 of the National Redress Scheme for Institutional Child Sexual Abuse Act 2018 of the Commonwealth."
"26 Extension of limitation period in case of disability
(1) Subject to this section, if on the date when any right of action accrued for which a period of limitation is prescribed by this Act the person to whom it accrued was under a disability, the action may be brought at any time before the expiration of 6 years, or in the case of any action for which a less number of years is prescribed by this Act as the period of limitation then such less number of years, from the date when the person ceased to be under a disability or died whichever event first occurred notwithstanding that the period of limitation has expired.
(6) This section does not apply to such an action as is referred to in section 5 unless the plaintiff proves that he or (as the case requires) the person under the disability was not, at the time when the right of action accrued to him, in the custody of a parent."
"It is apparent from the various contexts in which the phrase 'interests of justice' is found that it will involve the balancing of various interests that are in play in the particular context in which the phrase is used. Although the 'interests of justice' will include the interests of the parties, the concept will invariably be wider than that and include larger questions of legal principle, the public interest and policy considerations: see BHP Billiton v Schultz [2004] HCA 61; 221 CLR 400."
"The Bill provides the Court with a non-exhaustive list of matters to which it may have regard in determining whether it is in the interests of justice to set aside an agreement effecting a settlement in respect of a relevant right of action.
It should be emphasised that this list of matters is not exhaustive and enables a court to regard any other factor that it determines to be relevant in the specific case. During consultation, it was suggested by some stakeholders that the 'interests of justice' test for setting aside a previous settlement should be amended to mirror the approaches of Queensland and Western Australia. These two jurisdictions allow a previously settled cause of action to be set aside by a court on the grounds that it is 'just and reasonable to do so'. In Western Australia, the 'just and reasonable' test has been interpreted narrowly as being satisfied by the existence and removal of a limitation period in relation to child sexual abuse. This interpretation of what is 'just and reasonable' for the purposes of setting aside a previous settlement is considered to be far too simplistic and may not account for other relevant factors that a Court should consider on a case by case basis. The proposed approach of setting aside a previous settlement 'if it is in the interests of justice to do so' allows a Court to maintain appropriate flexibility to take into account factors it deems to be relevant, in addition to those factors provided in the Bill."
"The statutory text considered in its context (including the extrinsic material to which the appellant referred) does not justify the claimed implication that, regardless of the kind or degree of influence of expiry of the limitation period upon the settlement, the fact that there was such an influence necessarily must be given greater weight than any factor favouring refusal of the claimed order. The use of the expression 'just and reasonable' to identify the only ground for such an order, the fact that the power is conferred upon courts, and the absence of any express identification of the material factors or the relative weight or significance to be attributed to any of them, compel the conclusion that the legislative purpose encompasses account being taken of the interests of both parties to the settlement in deciding whether it is just and reasonable to set aside the settlement agreement, the relative significance or weight to be given to the material factors in that exercise depending upon a judicial assessment of the particular circumstances of each case."
"In considering the submissions advanced on behalf of the defendant in support of grounds 1 and 2, the starting point is that ss 27QD and 27QE are expressed in clear and unambiguous terms. In essence, if the Court is satisfied that it is 'just and reasonable to do so', it may make an order setting aside the settlement agreement, and any other order it considers appropriate in the circumstances. No doubt, in reaching that stage of satisfaction, the Court may, and ordinarily should, take into account that the order that is sought, would disturb the legal rights and obligations of the parties that are contained in the settlement agreement. However, that consideration does not justify importing into the statutory provisions the requirement, contended for by the defendant, that a party seeking to set aside a settlement agreement must demonstrate 'clear and compelling reasons' for doing so. Such a gloss on, or qualification to, the discretionary power of the Court would constitute an impermissible rewriting of the clear terms of the section."
"If he did not explicitly admit responsibility and guilt he certainly acted as one who did not want to deny the allegations and who was prepared to accept my demands and discipline".
"It's a good-nice piece of drafting, if I do say so-it's a wide clause, it was intended to be a wide clause".
"A conclusion of unconscionable conduct requires the innocent party to be subject to a special disadvantage 'which seriously affects the ability of the innocent party to make a judgment as to [the innocent party's] own best interests'. The other party must also unconscientiously take advantage of that special disadvantage. This has been variously described as requiring 'victimisation', 'unconscientious conduct', or 'exploitation'. Before there can be a finding of unconscientious taking of advantage, it is also generally necessary that the other party knew or ought to have known of the existence and effect of the special disadvantage."
"It is not to be thought that relief will be granted only in the particular situations mentioned by their Honours. It is made plain enough, especially by Fullagar J, that the situations mentioned are no more than particular exemplifications of an underlying general principle which may be invoked whenever one party by reason of some condition of circumstance is placed at a special disadvantage vis-a-vis another and unfair or unconscientious advantage is then taken of the opportunity thereby created. I qualify the word 'disadvantage' by the adjective 'special' in order to disavow any suggestion that the principle applies whenever there is some difference in the bargaining power of the parties and in order to emphasize that the disabling condition or circumstance is one which seriously affects the ability of the innocent party to make a judgment as to his own best interests, when the other party knows or ought to know of the existence of that condition or circumstance and of its effect on the innocent party."
"The defendant and/or DMA included in, clause 1.2 of the deed a statement that Father Daniels 'has denied and continues to deny the sexual assault allegations', in circumstances where, the defendant and DMA were each aware that Father Daniels had admitted allegations of sexual assault relating to the plaintiff."
"The importance of the deed is not the importance that the defendant relies on it for, in terms of the plaintiff not reading the deed at the time he signed it, the importance of the deed is that it operates as evidence of the fraudulent misrepresentation that was made and then your Honour has the plaintiff's own evidence that he was told those things."
"When he kissed me and he put his tongue into my mouth, the thing I remember about that is his really bristly moustache. It was horrible, and it didn't stop. It went on for a long time... I was pretty paralysed, really. I mean, his - there's a size advantage, but -
Explain that?......Well, you know, I'm 14. You know, if I look at my son who is 15 now, he's about a foot below - he would have been a foot below me when I'm 14. So there's a size disadvantage, there's a weight disadvantage, but also he's the Reverend Lou Daniels, he's the man who represents God. It was confusing, but it was very - it was really scary, but that - just that feeling of the moustache on the mouth that he had was, you know -"
"It was really obvious that something had gone very wrong in terms of what we had said, and alerting the church to Daniels and his behaviour, and then what happened next was moving, promotion, and a national recognition for contribution to CEBS. We'd built up a picture that we'd been disregarded."
"Despite numerous reminders and concern John is still not making sufficient effort with his work...his examination result was below his ability. He must revise carefully in the future."
"John must become more thorough with all aspects with his work. He needs to complete exercises between lessons.... John must spend more time on his homework...John has not completed all assignments set this term, he needs to plan his study time more thoroughly".
"But for the subject/claimed childhood sexual abuse, Mr Steen would not have gone on to develop his (claim related) psychiatric conditions and mental injuries below and, on the balance of probabilities, would not now be suffering from his (claim related) psychiatric conditions and mental injuries below."
"Well, they're extremely emotionally distressing and traumatic events that occurred at a very sensitive and pivotal stage of development, say, eight to 10, up until 14 to 15 or thereabouts, whether male or female, it doesn't matter, boy or girl. And they greatly impact one's developing sense of self‑esteem and confidence, concept, identity, mood state, interactions with others, cognitive performance, and therefore schooling performance. I could go on."
"Is the effect or impact felt at the time the assaults are occurring, as well as there being an effect that continues?......Absolutely, because the lines of development build on each other, and development is in a state of flux, particularly up until, really, late teenage years, late adolescence. And so in his case, the other important thing to dovetail into it is that the abuse occurs at what I would call a very egocentric stage of development, whereby one sees themselves in some ways as the centre of the world, not always. And then if there's no‑one to really talk to, mother, father, for whatever reasons - perhaps there were reasons with his mother I could go into, that he couldn't speak to her, that perhaps there were reasons for his father, again, you haven't asked me about that. So then he's more likely to internalise his thoughts and feelings, and that really has a flow‑on effect to later life, and I can discuss later on how I think, based upon my clinical experience and expertise, that has impacted various relationships he's had. But that's in the future. In terms of mood state, depression, anxiety, stress, post‑traumatic stress, impact upon attention, concentration, focus, being preoccupied with thoughts and flashbacks, bad dreams, sleep disturbance, all those sorts of things impact schooling performance and aspects of schooling performance. And in his case I think that his schooling was greatly affected from year 8 onwards, if I'm not incorrect, 1984 onwards, particularly with the maths and geology later on. And then it continued on into university, but again, I'll stop there."
"There's certainly periods of time where, and particularly, superficially and externally, he appears to be functioning reasonably well, performing reasonably well, and, when you couple that with his superior intellect, his motivation when he's well, his determination, his stoicism, all those sorts of things, he can achieve things. There's no doubt about that. But, there are periods of time, and many periods of time, and his symptoms fluctuate where he is significantly depressed and where he has significant post-traumatic stress symptoms and those sort of periods of times - during those periods of times he isn't able to achieve and perform as well. I will go back to the first part and say that even when he appears to be performing well externally, it usually - and I see this often, it usually seems to be when there's, sort of, the environment, if you like, is favourable or comfortable for someone. So, even when they're performing well at those times it still - there are still symptoms that eat away at them and that do affect their enjoyment of work, sometimes their capacity for work and sometimes not their capacity for work."
Mr Steen is currently having difficulties coping with his current role as an Associate Professor at the University of British Colombia, Vancouver, Canada, which includes lecturing in business, economics and mining and being the director of the research institute. He has lost interest, motivation and drive to lecture. This is out of character for him. He is not coping with his role. He feels 'burnt out' and emotionally and mentally drained.
This is significantly impacted by and associated with his claim-related/incident-related psychiatric conditions and mental injuries above."
Non-economic loss - pain, suffering and loss of enjoyment of life
"The formal distinction is, I take it, that aggravated damages are given to compensate the plaintiff when the harm done to him by a wrongful act was aggravated by the manner in which the act was done: exemplary damages, on the other hand, are intended to punish the defendant, and presumably to serve one or more of the objects of punishment - moral retribution or deterrence."
"Aggravated damages however are 'compensatory in nature, being awarded for injury to the plaintiff's feelings caused by insult, humiliation and the like': Lamb v Cotogno [1987] HCA 47; (1987) 164 CLR 1 at 8. They can be awarded in respect of the "high-handed, malicious, insulting or oppressive manner", in which a defendant commits a tort: State of Western Australia v Cunningham (No 3) [2018] WASCA 207; Crampton v Nugawella [1996] NSWSC 651; (1996) 41 NSWLR 176 at 188-189; Henry v Thompson [1989] 2 Qd R 412 at 415-416; Lackersteen v Jones (1988) NTSC 60; (1988) 92 FLR 6 at 39-42. Aggravated damages may be awarded in respect of a defendant's conduct not just in the commission of a tort or torts, but also during the period up to the trial of the action: Broome v Cassell & Co Ltd [1972] UKHL 3; [1972] AC 1027 at 1071; De Reus v Gray [2003] VSCA 84, 9 VR 432 at [28]."
"The difficulty of distinguishing between aggravated damages and exemplary damages has been acknowledged by this Court. To some extent compensatory, aggravated and exemplary damages overlap. Thus, compensatory damages themselves may, to some degree, fulfil the purposes for which exemplary damages exist. These are ambiguous concepts and, at least in part, anomalous. However, it is clear that, by Australian law, compensatory damages may be enlarged to include a component for the aggravated circumstances in which a wrong to the plaintiff has occurred. It is perhaps because of the lack of complete clarity of the differentiating features of aggravated damages, and doubts as to what they involve, that legal practitioners often fail to claim them and persons wronged often fail to recover them. This is doubtless why it has been proposed that the 'misleading phrase', aggravated damages, should be replaced by a specific component of damages for mental distress. The danger of double counting in the provision of aggravated damages is an ever present one. The differentiation between 'aggravated damages' and 'exemplary damages' became more marked following Rookes v Barnard. It assumes critical importance in those jurisdictions where exemplary damages, as such, have been abolished by statute.
Aggravated damages are given for conduct which shocks the plaintiff and hurts his or her feelings. Exemplary damages are awarded for conduct which shocks the tribunal of fact, representing the community. Obviously the two affronts will often coincide and overlap. But in awarding an additional element in the plaintiff's compensatory damages as aggravated damages for such affront, the attention of the decision-maker must be concentrated upon the impact which the wrong had on the plaintiff and the particular injury done to his or her feelings."
"In contrast to exemplary damages, aggravated damages are compensatory in nature, and are 'awarded for injury to the plaintiff's feelings caused by insult, humiliation and the like'. Because they are compensatory in nature attention is therefore focused on the harm to the plaintiff caused by the manner in which the harm has been inflicted. However, because such damages, albeit awarded to compensate the plaintiff, are to be measured by the manner in which the wrong was done - and indeed by the defendant's attitude down to the time of trial - the distinction between aggravated and exemplary damages has often been characterized by looseness of expression to the point where it is, perhaps, more easily conceptualized than described. Indeed, it is because aggravated damages are awarded for the increased hurt to the plaintiff caused by the manner in which the defendant has committed the wrong that Windeyer, J. was constrained to acknowledge in Uren v. John Fairfax & Sons Pty. Ltd.] that there is an element of the punitive in aggravated damages. This is particularly so in defamation cases where the extent of the defendant's malice is relevant to an award of aggravated compensatory damages. As McHugh, J. pointed out in Carson v. John Fairfax & Sons. Ltd.
'To say that no element of punishment enters into the assessment of aggravated compensatory damages and that the effect of such an award is merely to compensate the plaintiff for the increased harm which that person suffers is to resort to fiction in many cases.':"
(a) The nature and circumstances of the sexual abuse. The invasive and damaging nature of sexual abuse, particularly of a child, cannot be overstated. In this case, there is ample evidence of the real harm and damage experienced by the plaintiff both at the time of the abuse and subsequently. The damage caused by the abuse is aggravated by the very real impact on the plaintiff's personal integrity and dignity, and his foreseeable and understandable experience of several, sometimes conflicting, emotions arising from such conduct. These include his confusion, sense of betrayal, and fear, both during the commission of the abuse and subsequently, and with further reflection, understandable although not deserved, feelings of shame and guilt. All of this arises from the highhanded and reprehensible conduct involved in such abuse. Daniels' reliance on his access and opportunity to commit these crimes, arising from the position of authority and trust placed in him as a priest, is also relevant to this assessment.
(b) The Church's prior knowledge of Daniels' propensity to commit sexual abuse against children, and its negligence in leaving him in a position in which he had direct access to children and the opportunity to commit sexual abuse, particularly in his role in CEBS, is also relevant to the assessment. It was submitted that when assessing the conduct of the Church, and its representatives, particularly the bishops, that I should have regard to the fact that when this abuse was committed and in respect of the Church's reaction thereafter, there was not the same understanding of the impact of sexual abuse as there is now. I have no difficulty with that general statement and indeed, better knowledge and understanding of the impact of such abuse is reflected in a significant increase in both the assessment of compensatory damages and criminal sanctions for such conduct, as time has gone on. However, in this case, that argument does not assist the defendant. The real danger posed by a male in a position of power such as Daniels, to children in his care, in circumstances where there was prior knowledge of his propensity to commit sexual abuse against children, was as obvious and repugnant then as it is now. The concern demonstrated by Bishop Newell concerning the potential public reaction if the conduct of Daniels became known publicly, makes it clear that such conduct was a matter of grave concern then as it is now. Any suggestion that the risk of sexual abuse of children by a priest should in some way be regarded less seriously because it was being committed in the 1980s, rather than now, must be rejected. Hence, leaving Daniels in CEBS, rather than removing him from contact with children, which was always the primary concern of the plaintiff in reporting the conduct to Bishop Newell, and further rewarding him with promotions and other appointments over a period of several years, constituted highhanded and reprehensible acts and conduct, which were bound to increase the damage experienced by the plaintiff as a result of Daniels' abuse. This is particularly so when seen in the context of the meetings in 1987 between the plaintiff and Bishop Newell. I accept the plaintiff's evidence that he left those meetings with the belief that he had done what he could to prevent Daniels from abusing other children and he trusted Bishop Newell to take appropriate action. It was extremely clear from his evidence that Bishop Newell's failure to take this action, but rather his promotion of Daniels, was a factor which clearly aggravated the impact of the abuse.
(c) A further factor in my view was the failure of Bishop Newell to arrange or put in place any personal support or counselling for the plaintiff. As I have already stated, it is clear to me that Bishop Newell was focused on the protection of the Church. He demonstrated little regard or concern for the personal welfare of Daniels' victims.
(d) The oppressive factors I have noted around the negotiation of the 1994 settlement and deed are also relevant to the assessment of aggravated damages. In particular, the failure of the Church to stand behind Daniels, and to accept its own responsibility for Daniels' conduct, was a factor which impacted the plaintiff.
(e) There is no question that as time has gone on, the defendant's response to childhood sexual abuse perpetrated by clergy and officers of the Church, has improved to a considerable extent. I will discuss this in more detail, particularly in the context of Bishop Jones' evidence, when considering the question of exemplary damages. However, the plaintiff gave evidence of the impact on him of a number of occasions when representatives of the defendant said one thing and did another. An example of this is the aggressive cross-examination of Sue Clayton by the Anglican Church's counsel during the Royal Commission. He also discovered for the first time during the Royal Commission that the recitals in the deed of release in 1994 had actually, and falsely, asserted denials by Daniels of the sexual abuse. All of this is relevant to the assessment of aggravated damages because of the ongoing feeling by the plaintiff that the serious nature of Daniels' conduct against him, and its ongoing effects, has not been properly appreciated by the defendant, and the defendant has put its own interests ahead of his. I take all of the plaintiff's evidence about that question into account, but will now discuss two specific matters which Ms Whalan submitted were significant in this regard.
(f) The first concerns statements made by Bishop Jones in an interview with a journalist, Airlie Ward, on an ABC program, Stateline Tasmania. The interview was broadcast publicly on 10 June 2005. The interview specifically concerned Daniels' abuse of children, including the plaintiff, and the Church's reaction to it. Bishop Jones, who was not in that office at the time, but was still speaking on behalf of the Church about this matter as a senior member of the clergy, was taken to the promotion of Daniels after the disclosures made by the plaintiff and CD to Bishop Newell in 1987. He was asked specifically why "senior clergy...did nothing", including telling the police. His explanation was that the plaintiff and CD "were very concerned about maintaining their confidentiality and the files say that they didn't even want their parents informed". He was also asked about the 1994 settlement and the deed, including its content of the confidentiality clause. His answer included this:
"What we're aware of is that there was an agreement reached between certain parties back then. It was between Louis Daniels and a victim. It certainly wasn't anything that the Church had particular involvement with. We didn't pay any money over and it certainly wasn't something that we maintained any confidentiality about in our own right, but certainly the victims that went first forward in 1987 wanted it to be kept confidential. And, certainly, the Church has all the time tried to make sure that we maintain confidentiality with victims. If that's what they request of us, we seek to maintain that."
The plaintiff's concern was that Bishop Jones' statements blamed the ongoing silence and confidentiality around Daniels, including the failure to report his conduct to police, as attributable solely to "the victims". There was no acceptance of responsibility in that interview of the Church's role in that regard. There is no question that the plaintiff did not want his disclosures to Bishop Newell reported to the police or his parents. CD, of course, had a different view. The plaintiff's reasons for this were completely understandable, he was embarrassed, he had confused emotions including guilt and shame and he had a difficult relationship with his parents at that time. However, it is clearly apparent that this suited Bishop Newell perfectly. He made no attempt to discuss this with the plaintiff in a way that pointed out the positive aspects of disclosing these matters to the police and his parents, and in fact left the plaintiff with the sole understanding that he would discuss the matter with other senior members of the Church hierarchy with a view to taking positive action to protect children in the future. It is clear from Bishop Newell's subsequent actions in promoting Daniels to higher office and not informing others about what he did, even at the point of Daniels' resignation in 1994, that his primary concern was to avoid public disclosure of Daniels' actions.
Further, Bishop Jones' description of the Church's role in the settlement and the confidentiality agreement completely misrepresented the actual situation. Clearly, the Church was heavily involved in brokering the settlement and obtaining the benefit of a full release of liability, without actually paying over any money. The evidence of Mr Abbott establishes that the confidentiality agreement was carefully drafted by him for the protection of his client, the defendant. Whether or not Bishop Jones was aware of this detail, a simple reading of the deed would have disclosed the Church's role as party to it, and the nature of the release received by it. The statement made in the interview did not suggest a lack of knowledge of the circumstances but rather asserted a position that involved a significant and public misrepresentation of these questions. The plaintiff's perception that the Church was minimising its responsibility and blaming him and his friends for its own failure to properly respond to Daniels' sexual abuse, is an understandable and reasonable reaction to that public statement. I have no doubt that this compounded the ongoing impact of the original abuse, and the inadequate response of the Church which followed the plaintiff's 1987 disclosures.
(g) The second matter concerns a statement made by the incumbent Bishop of the Diocese, Bishop Condie, during an interview with a clergy member, which was published on the internet in the form of a YouTube video in 2018, and was first seen by the plaintiff in 2019. During the course of the interview, a response to a question concerning the Diocese's proposal for participation in a redress scheme, Bishop Condie said this:
"Redress is a payment to survivors of sexual abuse and an acknowledgement that they have suffered abuse. We know that in the 1960's and 70's there were a number of terrible incidences of child sexual abuse in Anglican Churches and organisations and our Diocese tried to start getting their act together about this in the 90's and Bishop Harrower began his ministry with an apology to survivors of sexual abuse."
The earlier context to this was conversations by email and in person between the plaintiff and Bishop Condie concerning his case and the Church's response. The plaintiff initiated the conversation and sought a meeting with Bishop Condie, primarily because of his concerns about how Sue Clayton had been treated at the Royal Commission. The conversations had a positive outcome. He received a clear apology from the Bishop and felt that he "had been listened to and that the apology was genuine." He believed Bishop Condie's "efforts to reform the practices and try to hold people to justice, I thought they were real."
However, when he heard Bishop Condie's statement in the YouTube video, in particular that the sexual abuse had occurred in the 1960's and 70's, and that the Church had started to get its act together in the 90's, he was furious and concluded "that Bishop Condie was trying to re-write history." There was no reference to the conduct of Daniels or the Church in the 1980's and 90's, which, of course, was the period during which Daniels abused the plaintiff and others.
Bishop Condie was not called to respond to this, but clearly the statement was made publicly and subsequent to a number of Church Inquiries as well as the Royal Commission, in which Daniels' conduct and Bishop Newell's response in particular had been fully examined and documented. The statements made in this video were inconsistent with the information available to the Bishop. The plaintiff believes that it was a deliberate rewriting of history, but whether it was deliberate or resulted from carelessness, it was inexcusable, in my view, to publicly misrepresent the history of the events relevant to the plaintiff in that way.
There is no question in my mind that the impact of such a statement on the plaintiff would have been significant, and compounded and aggravated the ongoing harm resulting from the sexual abuse by Daniels.
"Exemplary damages are damages over and above those necessary to compensate the plaintiff. They are awarded to punish the defendant. They are intended to act as a deterrent to the defendant, and to others minded to behave in a like manner. They are also intended to demonstrate the Court's disapprobation and denunciation of such conduct. Such damages may be awarded in respect of any tort that is committed in circumstances involving a deliberate, intentional, or reckless disregard of the plaintiff's rights."
"We do not think it necessary to revisit that debate. No question arises here of an intentional wrong being committed by inadvertence. For present purposes, it is enough to note two things. First, exemplary damages could not properly be awarded in a case of alleged negligence in which there was no conscious wrongdoing by the defendant. Ordinarily, then, questions of exemplary damages will not arise in most negligence cases be they motor accident or other kinds of case. But there can be cases, framed in negligence, in which the defendant can be shown to have acted consciously in contumelious disregard of the rights of the plaintiff or persons in the position of the plaintiff. Cases of an employer's failure to provide a safe system of work for employees in which it is demonstrated that the employer, well knowing of an extreme danger thus created, persisted in employing the unsafe system might, perhaps, be of that latter kind. No doubt other examples can be found."
"The final submission may be disposed of shortly. Even if the act of leaving the plaintiff lying on a darkened road, when viewed separately, constituted no compensable wrong, there is no reason why it should be so viewed. Indeed, it is at least arguable that, having caused the plaintiff's injuries through what was held to be a tortious act, the defendant was under a duty to take reasonable steps to alleviate the effect of his wrongdoing. It was open to the master to regard the conduct of the defendant in abandoning the plaintiff in the manner in which he did as displaying a cruel or reckless disregard for the welfare of the plaintiff and an indifference to his plight and as colouring the whole of the conduct of the defendant, including the assault which was found to have been made upon the plaintiff. So regarded, the tort of which the defendant was guilty was committed in circumstances amounting to an insult to the plaintiff. The master, having seen the witnesses and heard their evidence, formed the view that the circumstances justified the exercise of his discretion in favour of an award of exemplary damages."
"It is true that the master expressly found the actions of the defendant to be without malice, although it is not entirely clear whether that finding extended to the abandonment of the plaintiff. That act was described by the master as callous and although it was submitted that mere callousness, involving no element of intent or recklessness, would not support an award of exemplary damages, the use of the word is, we think, sufficient in its context to indicate that the master saw the defendant as having behaved in a humiliating manner and in wanton disregard of the plaintiff's welfare. Elsewhere in his reasons he described the whole incident as "horrendous". In those circumstances, the absence of actual malice did not disentitle the plaintiff to exemplary damages. Whilst there can be no malice without intent, the intent or recklessness necessary to justify an award of exemplary damages may be found in contumelious behaviour which falls short of being malicious or is not aptly described by the use of that word."
"The question in each case is, therefore, what is the appropriate sum by which the defendant should be punished where jury or judge has determined that an award of exemplary damages is appropriate. In this respect there seems nothing in the authorities which would deny consideration of the amount which the defendant will have to pay by way of compensatory damages, if they are sufficient to inflict adequate punishment. Such a principle may be seen to be more apposite where the damages are wholly or in part at large, such as in defamation, trespass, false imprisonment and the like and it may be less easy to apply where the ordinary damages are not at large, as in the present case. But in each case the question emphasised in all the authorities is that exemplary damages must be calculated by considering what is appropriate to punish the defendant, whereas compensatory damages are calculated upon the basis of what is sufficient to satisfy the plaintiff's claim. It is recognised that the plaintiff obtains a windfall benefit but that that is not inappropriate if it is necessary to punish the defendant for his or her conduct. It is said to act as a general deterrent but nevertheless a deterrent which is appropriate to the defendant's own behaviour and situation. If the ordinary damages already awarded are sufficient to impose a punishment, then the plaintiff cannot fairly complain if no more is added. For if the defendant's behaviour was of a kind which should have inflated the damages payable as compensation to the plaintiff, then it is appropriate to award aggravated damages which are now seen as different in nature from exemplary damages. Of course these considerations would not deny that in certain cases the amount of compensatory (and aggravated) damages might not be considered any or any sufficient punishment for a defendant who had acted in a contumelious way.
For the purpose of fixing exemplary damages both the nature of the non-exemplary damages sought and awarded and the capacity of the defendant to pay will be relevant considerations, although in the present case one knows little about the appellant's means other than that she was at the time of trial a retired medical practitioner."
"A plaintiff in an action in negligence is not entitled to recover damages for loss of earning capacity unless he or she establishes that two distinct but related requirements are satisfied. The first of those requirements is the predictable one that the plaintiff's earning capacity has in fact been diminished by reason of the negligence-caused injury. The second requirement is also predictable once it is appreciated that damages for loss of earning capacity constitute a head of damages for economic loss awarded in addition to general damages for pain, suffering and loss of enjoyment of life. It is that 'the diminution of ... earning capacity is or may be productive of financial loss' (Graham v. Baker [1961] HCA 48; (1961) 106 CLR 340 at 347, per Dixon CJ, Kitto and Taylor JJ)."
"Evaluation of the worth of a loss of capacity to earn - of a lost chance to earn - is of its nature a more imprecise inquiry than calculation of a lost income. It rests on the hypothesis - that the plaintiff will have undiminished capacity - which has been rendered false by events. It does not depend on calculating the income from a particular career which is no longer possible, but in calculating the damage to a capacity to carry on various careers. It is an exercise in estimation of possibilities, not proof of probabilities."
"One of the things that was quite significant is that unlike a lot of my peers from the advanced mathematic classes in grade 9 and 10, who had done level 3 mathematics in grade 11, and then gone on to do the advanced course analysis and statistics in grade 12, I did not do analysis and statistics, I barely struggled - barely got through with level 3 maths. The advice I had received from teachers was that - doing the hard sciences or something with -like computer science or the hard sciences was a risky proposition and so the general idea was a life sciences focus.
Does that mean that geology was not part of the science degree you were studying in first year at university?......That's correct, and there's a couple of reasons for that. To go on with geology requires more mathematics. Usually with these first‑year science subjects, they're open to many people, they're not too mathematically oriented."
"With due respect, however, the question whether a sixty year old man who has sustained permanently incapacitating injuries of the kind sustained by the plaintiff 'should' continue in his employment or is 'acting reasonably' in accepting premature retirement was not the appropriate one. As has been mentioned, the evidence established and the trial judge found, that the injuries sustained by the plaintiff caused him chronic and sometimes intense pain and that the combined effect of the pain and consequent loss of sleep was to reduce the plaintiff's intellectual energy to an extent which prevented him from discharging the duties of his office to the standards which he considered appropriate. As has also been mentioned, the plaintiff's evidence supported a finding that the effects of the accident were that his routine administrative and teaching work used up all his energy with the consequence that he was incapable of doing the research and creative work which he desired to carry out and which, one would think, would be and should be expected of the holder of the Chair of Philosophy in a major university. In these circumstances, the relevant question was not whether the plaintiff 'should' have continued in his University post or whether his decision to retire was not 'reasonable' but whether, in the context of what was reasonable between the plaintiff and the defendant in determining the defendant's liability in damages, the premature termination of the plaintiff's employment was the product of the plaintiff's loss of earning capacity notwithstanding that it was brought about by his own decision to accept voluntary retirement."
"If, in such a case, it can be seen that the necessary causal connection would exist if the intervening act or decision be disregarded, the question of causation may often be conveniently expressed in terms of whether the intrusion of that act or decision has had the effect of breaking the chain of causation which would otherwise have existed between the breach of duty and the particular loss or damage. The ultimate question must, however, always be whether, notwithstanding the intervention of the subsequent decision, the defendant's wrongful act or omission is, as between the plaintiff and the defendant and as a matter of common sense and experience, properly to be seen as having caused the relevant loss or damage. Indeed, in some cases, it may be potentially misleading to pose the question of causation in terms of whether an intervening act or decision has interrupted or broken a chain of causation which would otherwise have existed. An example of such a case is where the negligent act or omission was itself a direct or indirect contributing cause of the intervening act or decision.
The necessary causation between a defendant's negligence and the termination of a plaintiff's employment, in the sense that the termination of the employment is the product of an accident-caused loss of earning capacity, can exist notwithstanding the fact that the immediate trigger of the termination of the employment was the plaintiff's own decision to retire prematurely. If, for example, it appears that a plaintiff's decision to retire prematurely would not have been made were it not for the fact that the effect of accident-caused injuries is that continuation in employment would subject him or her to constant pain and serious risk of further injury, it may well be that common sense dictates the conclusion that the plaintiff's decision to retire prematurely was a natural step in a chain of causation which suffices to designate, for the purposes of the law of negligence, the termination of the employment as a product of those injuries."
" The power to award pre-judgment interest is designed to assist the Court to do more complete justice between the parties.
"The legislature left it to the court, in the exercise of a discretion, to deal with the whole period. However, the substantive nature of an award [of interest], and ordinary principles of fairness, make it difficult to contemplate that the discretion would ever be exercised in respect of the period prior to the commencement of the Act. No such award should be made in the present case."
"In Dann (No 2), at [28] Wood J said she could not see how a retrospective order fulfilled the purpose of s 35A of achieving fairness between the parties, and determined that the fair result in that case was to make an award calculated from the time when the section commenced. Her Honour referred to the decision in Simonius v Vischer [1979] 2 NSWLR 322 in which Moffitt P, in the same context, said it would be difficult to contemplate the discretion would ever be exercised in respect of the period before the commencement of the Act. That seems to be established practice, at least in New South Wales: Aussems v Commonwealth of Australia [2005] NSWSC 217 at [65]."
"Section 32 operates retrospectively in the sense that interest may be awarded in relation to causes of action that arose and periods of time that elapsed before it came into operation - Foyster v Goynich (No. 2) (1984) WAR 91, 93 (Burt CJ); Harper v Phillips (1985) WAR 100, 104 (Burt CJ); Brasser v Graham (1985) WAR 180, 181 (Brinsden J.). Whether or not interest should be awarded in respect of a period prior to the coming into operation of the section is a matter of discretion. Ordinary principles of fairness suggest that that discretion will not readily be exercised in favour of the award of interest - Australian National Airlines Commission v Commonwealth [1975] HCA 33; (1975) 6 ALR 433, 437 (Mason J.); Simonius Vischer & Co. v Holt (1979) 2 NSWLR 322; Clybucca Holdings Pty Ltd v Hill (1984) WAR 44, 46 (Brinsden J.). No compelling reason has been advanced and I am not persuaded in the circumstances of this case that interest should be awarded in respect of the period prior to the coming into effect of the amended s.32 on 20 June 1983."
Pain, suffering and loss of enjoyment of life $ 275,000
Steen
Trustees of the Diocese of Tasmania [2024] TASSC 3
(2006) 225 CLR 364
(2010) 32 VR 1
(1983) 151 CLR 447
(1995) 182 CLR 1
(1998) 194 CLR 355
(2020) 62 VR 234
(2000) 54 NSWLR 536
(2017) 263 CLR 85
(1987) 164 CLR 1
(1996) 41 NSWLR 176
(1988) 92 FLR 6
(1961) 106 CLR 340
(1975) 6 ALR 433
(1979) 2 NSWLR 322