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[2018] WASCA 145
Court of Appeal (WA)
2018-08-21
Martin CJ
Original judgment source is linked above.
JURISDICTION : SUPREME COURT OF WESTERN AUSTRALIA
CITATION : WESTERN AUSTRALIAN PLANNING COMMISSION -v- THE BOARD OF VALUERS [2018] WASCA 145
BETWEEN : WESTERN AUSTRALIAN PLANNING COMMISSION
Jurisdiction : SUPREME COURT OF WESTERN AUSTRALIA
Citation : WESTERN AUSTRALIAN PLANNING COMMISSION -v- THE BOARD OF VALUERS [2016] WASC 326
Administrative law - Injurious affection of land - Appellant the responsible authority under the Planning and Development Act 2005 (WA) - Valuation of land by the Board of Valuers - Board owed a duty of procedural fairness to the appellant - Whether the duty of procedural fairness was breached - Whether in any event the procedure adopted by the Board in the valuation of the land was so unreasonable as to exceed its jurisdiction
Planning and Development Regulations 2009 (WA), reg 39, reg 40
Mr H H Jackson (11 August 2017) Mr P McQueen (19 February 2018)
Apache Northwest Pty Ltd v Agostini [No 2] [2009] WASCA 231
Babalis v City of Adelaide (1985) 38 SASR 450
Carroll v Sydney City Council (1989) 15 NSWLR 541
Commissioner for Australian Capital Territory Revenue v Alphaone Pty Ltd [1994] FCA 1074; (1994) 49 FCR 576
Director of National Parks and Wildlife v Barritt [1990] NTSC 37; (1990) 102 FLR 392
Duncan v Independent Commission against Corruption [2016] NSWCA 143
Electrolux Home Products Pty Ltd v The Australian Workers' Union [2004] HCA 40; (2004) 221 CLR 309
Graham v Baptist Union of New South Wales [2006] NSWSC 818
Haoucher v Minister for Immigration and Ethnic Affairs [1990] HCA 22; (1990) 169 CLR 648
Jacob v Save Beeliar Wetlands (Inc) [2016] WASCA 126; (2016) 50 WAR 313
Kioa v West [1985] HCA 81; (1985) 159 CLR 550
Marsh v Australian Capital Territory [2014] ACTSC 81; (2014) 288 FLR 116
McKay v Commissioner of Main Roads [2013] WASCA 135
Minister for Immigration and Border Protection v Eden [2016] FCAFC 28; (2016) 240 FCR 158
Minister for Immigration and Border Protection v Stretton [2016] FCAFC 11; (2016) 237 FCR 1
Minister for Immigration and Border Protection v WZARH [2015] HCA 40; (2015) 256 CLR 326
Minister for Immigration and Citizenship v Li [2013] HCA 18; (2013) 249 CLR 332
Momcilovic v The Queen [2011] HCA 34; (2011) 245 CLR 1
Muin v Refugee Review Tribunal [2002] HCA 30; (2002) 76 ALJR 966
National Companies and Securities Commission v News Corporation Ltd [1984] HCA 29; (1984) 156 CLR 296
Plaintiff S10/2011 v Minister for Immigration and Citizenship [2012] HCA 31; (2012) 246 CLR 636
Re Minister for Immigration and Multicultural Affairs; Ex parte Miah [2001] HCA 22; (2001) 206 CLR 57
Re Minister for Immigration and Multicultural and Indigenous Affairs; Ex parte Lam [2003] HCA 6; (2003) 214 CLR 1
Re Minister for Immigration and Multicultural and Indigenous Affairs; Ex parte Palme [2003] HCA 56; (2003) 216 CLR 212
Re Refugee Review Tribunal; Ex parte Aala [2000] HCA 57; (2000) 204 CLR 82
Saeed v Minister for Immigration and Citizenship [2010] HCA 23; (2010) 241 CLR 252
Salemi v MacKellar [No 2] [1977] HCA 26; (1977) 137 CLR 396
Sharpe v Brown [1918] ArgusLawRp 103; [1918] VLR 678
Somaghi v The Minister for Immigration, Local Government and Ethnic Affairs [1991] FCA 389; (1991) 31 FCR 100
SZBEL v Minister for Immigration and Multicultural and Indigenous Affairs [2006] HCA 63; (2006) 228 CLR 152
Warkworth Mining Ltd v Bulga Milbrodale Progress Association Inc [2014] NSWCA 105; (2014) 86 NSWLR 527
West Australia Planning Commission v Navarac Pty Ltd [2009] WASC 399
Western Australian Planning Commission v The Board of Valuers [2016] WASC 326
Woollahra Municipal Council v Minister for Local Government [2016] NSWCA 380; (2016) 219 LGERA 180
(a) the lack of evidence with respect to the matters specified in par 146 of his reasons; and
(b) the fact that WAPC did not receive a copy of the Volk Report until after the Board had determined the value of the land 'as not so affected'[2]
to support his conclusion that the Board was obliged to give express notice to WAPC of the procedural course it would follow, to expressly invite WAPC to put forward any evidence and to make any submissions prior to its meeting, and to expressly invite WAPC to appear before the Board at its meeting.
(a) Ms Prestage was going to exercise her right to place evidence and submissions before the Board prior to its determination of the affected and unaffected values of the land; and
(b) the evidence and submissions that Ms Prestage would place before the Board were likely to be similar, if not identical to, the evidence and submissions she had presented to the State Administrative Tribunal in the proceedings that were discontinued; and
(c) the Board would be obliged to take into account the evidence and submissions presented on behalf of Ms Prestage; and
(d) the Board would proceed to make its determination of the affected and unaffected values of the land taking into account the evidence and submissions presented on behalf of Ms Prestage, and its own views of value formed in accordance with the procedures it was required to follow, unless WAPC exercised its right to present evidence and submissions to the Board prior to its determination of the affected and unaffected values of the land.
In these circumstances there is no practical injustice arising from the Board's failure to expressly advise WAPC of matters which the Board was entitled to assume WAPC knew.
(a) the land is first sold following the date of the reservation; or
(b) the responsible authority refuses an application made under the planning scheme for approval of development on the land or grants approval of development on the land subject to conditions that are unacceptable to the applicant.
(a) the value of the land as so affected by the existence of such reservation; and
(b) the application for approval of development on the land is refused; or
(c) the approval is granted subject to conditions that are unacceptable to the applicant.
(1) For the purposes of section 183(1) an application by an owner of land for a valuation of the land must be made by posting or delivering a written application to the Board at the office of the Commission.
(2) The application must -
(a) describe the land to which it relates; and
(b) state whether the owner wants to be heard by the Board on the making of the valuation.
(1) On receiving an application made under section 183(1) the Board's chairperson must -
(a) appoint a member of the Board (other than the chairperson) to -
(ii) prepare and summarise the data necessary for the making of a valuation; and
before the day fixed for the making of the valuation; and
(b) give the applicant written notice of the day and time fixed for the making of the valuation.
(2) Any evidence presented to the Board by an applicant must be in the form of a statutory declaration.
(3) An applicant is entitled to be heard by the Board, either in person or by counsel.
(4) The Board may adjourn its proceedings from time to time and from place to place.
(5) Proceedings of the Board shall not be impugned for want of formality.
Land to be acquired under s. 187, valuing
(1) The value of the land referred to in section 187(3) is to be -
(a) the value of the land on the date the responsible authority elects to acquire the land under that section; and
(b) determined without regard to any increase or decrease, if any, in value attributable wholly or in part to the planning scheme.
(2) Subject to subsection (4), the value of the land referred to in section 187(3) is to be determined -
(a) by arbitration in accordance with the Commercial Arbitration Act 2012; or
(b) by the State Administrative Tribunal on the owner of the land applying to it for a determination of that value; or
(c) by some other method agreed upon by the responsible authority and the owner of the land.
(3) If arbitration has not commenced under subsection (2)(a), an application has not been made under subsection (2)(b), and no method has been agreed under subsection (2)(c), within 12 months of the date on which the responsible authority elected to acquire the land, the responsible authority may -
(a) refer the matter for determination by arbitration in accordance with the Commercial Arbitration Act 2012; or
(b) apply to the State Administrative Tribunal for a determination of that value,
and the value determined under this subsection is to be the value of the land for the purposes of section 187.
(4) Where a dispute is referred for determination under subsection (3)(a) there is to be taken to be, for the purposes of the Commercial Arbitration Act 2012, an arbitration agreement to refer the dispute, and the parties to the agreement are to be taken to be the owner of the land and the responsible authority.
(b) an affidavit of Stephen Willey sworn 31 March 2016;
(b) an affidavit of Robert Ferguson sworn 6 May 2016; and
(c) an affidavit of Timothy Hillyard sworn 10 June 2016.
WAPC's grounds of appeal before the primary judge
(a) a responsible authority is bound to pay compensation under pt 11 of the PD Act;
(b) the amount of the compensation is the difference between the affected value and the unaffected value; and
(c) consequently, the Board of Valuers' determination of the unaffected value, which is made final by s 183(2), sets one of two integers for determining the amount payable by WAPC [44].
(a) the fact that the PD Regulations provide for a right on the part of a landowner to be heard and no such right on the part of the responsible authority; and
(b) the fact that the PD Act permits the responsible authority to waive the requirement for a landowner to proceed under s 183, in which event the unaffected value, like the affected value, is to be determined by arbitration,
were to be borne in mind in assessing what procedural fairness requires [45] - [46].
(a) WAPC did not contend that, in every case, the Board of Valuers' duty to accord procedural fairness required it to invite submissions from the responsible authority;
(b) rather, WAPC contended that the circumstances of the particular case 'gave rise to a duty to alert ... WAPC and to invite it to make submissions' [50].
(a) before the Board of Valuers, Mrs Prestage proposed to rely on the expert planning, environmental and valuation reports on which she had relied in the proceedings before the Tribunal; and
(b) the Board of Valuers knew that the proceedings before the Tribunal had been contentious, and that issue had been joined in the Tribunal between Mrs Prestage and WAPC [51].
In short, that is because the Board of Valuers was entitled to act on the basis that the WAPC knew that the Board of Valuers was proceeding to determine the unaffected value of the land, and would do so on the basis of material relied on by the landowners unless the WAPC chose to make submissions. The WAPC did not take any step to make submissions to the Board of Valuers.
It is an element of the statutory scheme that the responsible authority will know of a landowner's intention to sell the land, as the landowner is required to give notice to that effect to the responsible authority. The responsible authority can also be taken to know that the landowner must, in that circumstance, unless the responsible authority waives the requirement, apply to the Board of Valuers for an unaffected value valuation. The responsible authority has the power to waive that requirement. Further, the prescribed form contains both the notice of intention to sell and the request for valuation.
In the circumstances of this case, the Board of Valuers was entitled to believe, and it was the fact, that the WAPC was well aware that the Board of Valuers would proceed to make a valuation of the unaffected value of the land, and would, unless the WAPC made submissions to it, proceed to do so on the basis of the submissions and material relied upon by the landowner. The WAPC received a copy of the notice of intention to sell and application to the Board of Valuers for a valuation. The Secretary of the Board of Valuers requested advice as to whether the WAPC wished to waive the requirement. The WAPC responded by saying that the notice of intention to sell should take its course and that that would determine the unaffected value. Ms Johnson's email of 30 July 2015 and the WAPC's email of 17 July 2015 reinforce that the WAPC knew the process was underway and that the result of the process would be that the Board of Valuers would provide advice as to the unaffected value of Lot 1610.
In these circumstances, procedural fairness did not require the Board of Valuers to invite submissions from the WAPC [53] - [56].
(a) the Board of Valuers was undertaking a valuation of Lot 1610;
(b) Mrs Prestage had a right to be heard in that process and had indicated that she wanted to be heard;
(c) in the proceedings before the Tribunal, Mrs Prestage had filed and served expert planning and environmental reports;
(d) in the proceedings before the Tribunal, the parties had exchanged statements of facts, issues and contentions which revealed that planning and environmental issues were in dispute, and that there was an issue between the parties as to whether policies and documents earlier than the Bush Forever Amendment were to be disregarded; and
(e) in the proceedings before the Tribunal, Mrs Prestage asserted that, but for the reservation, Lot 1610 would have been zoned urban and ripe for residential subdivision [59].
(a) it was reasonably to be anticipated by a party in WAPC's position that:
(i) in the proceedings before the Board of Valuers, Mrs Prestage may rely on the material she had relied on in the proceedings before the Tribunal, or the substance of that material, without reference to the material relied on by WAPC in the proceedings before the Tribunal;
(ii) the Board of Valuers may proceed to determine the value of Lot 1610 having regard to the material put forward by Mrs Prestage; and
(iii) if WAPC, as the responsible authority, wanted to make a submission to the contrary, it should do so; and
(b) the Board of Valuers was entitled to act on that basis [61].
(a) failing to inform WAPC that Mrs Prestage relied on the material she had relied on in the Tribunal;
(b) failing to inform WAPC that the Board may determine the value of Lot 1610 by reference to that material; and
(c) failing to invite WAPC to make submissions to the Board.
As I explained in dealing with ground 1, in my view the Board of Valuers was entitled to act on the basis that the WAPC would reasonably have anticipated that Mrs Prestage may rely on the materials she relied on in [the Tribunal], and that the Board of Valuers may proceed to determine the value having regard to that material, and that if it wished to make a submission or put material before the Board of Valuers it should do so [66].
Ground 1 before this court: counsel for WAPC's submissions
(a) while a matter is before a decision-maker, the content of procedural fairness does not turn on what the decision-maker is entitled to assume about the affected person's knowledge;
(b) that 'thought process' by the decision-maker will always risk making a false conclusion;
(c) the risk arises because notice is not given and the affected person is not invited to be heard; and
(d) the 'thought process' endorsed by his Honour in the present case cannot be allowed to supplant fair procedure.
Generally speaking in litigation, the parties must anticipate combinations and permutations of various findings and adduce evidence and make submissions at the trial on all the potential findings of fact on the issues litigated. Any gap in the evidence on an issue will generally operate to the detriment of the party carrying the burden of proof on that issue. Nevertheless, procedural fairness may require the judge to hear the parties further if certain matters emerge in the judge's consideration of the case after trial which the judge regards as potentially dispositive but in relation to which, in all the circumstances, it is to be inferred that the parties did not have a proper opportunity to address at trial.
In this context the observations of the Full Court in Commissioner for Australian Capital Territory Revenue v Alphaone Pty Ltd [1994] FCA 1074; (1994) 49 FCR 576, 591 - 592 to which both parties referred, are pertinent:
'Within the bounds of rationality a decision-maker is generally not obliged to invite comment on the evaluation of the subject's case ...
The general propositions set out above may be subject to qualifications in particular cases. Two such qualifications were enunciated by Jenkinson J in Somaghi at 108-109:
"1 The subject of a decision is entitled to have his or her mind directed to the critical issues or factors on which the decision is likely to turn in order to have an opportunity of dealing with it: Kioa v West at 587 (Mason J); Sinnathamby at 348 (Burchett J); Broussard v Minister for Immigration and Ethnic Affairs (1989) 21 FCR 472 (Burchett J).
His Honour observed that those qualifications may be no more than an application of the general requirement of procedural fairness in particular cases ...'
Questions of procedural fairness ultimately involve matters of degree and judgment. They are not susceptible to hard and fast rules and the forensic context in which such questions fall to be determined is relevant.
WAPC is a person whose interests may be adversely affected by a valuation by the Board, and was entitled to be heard in the circumstances of controversy. The Board's decision has adversely affected the interests of WAPC without WAPC being heard, and the decision should be set aside [23].
Ground 1 before this court: counsel for Mrs Prestage's submissions
A person to whom procedural fairness must be accorded is, ordinarily, `entitled to have brought to his or her attention the critical issues or factors on which the decision is likely to turn, if and to the extent that those issues or factors are not apparent from the nature or terms of the inquiry or decision-making process, so as to give the person an opportunity to deal with them. This entitlement ordinarily includes the right to comment on adverse material from third parties which is before the decision-maker and is credible, relevant and significant to the decision in question. See Commissioner for Australian Capital Territory Revenue v Alphaone Pty Ltd [1994] FCA 1074; (1994) 49 FCR 576, 591 - 592 (Northrop, Miles & French JJ); Re Minister for Immigration and Multicultural and Indigenous Affairs; Ex parte Palme [2003] HCA 56; (2003) 216 CLR 212 [22] (Gleeson CJ, Gummow & Heydon JJ); Minister for Immigration and Multicultural and Indigenous Affairs v Lat [2006] FCAFC 61; (2006) 151 FCR 214 [47] (Heerey, Conti & Jacobson JJ). Further, the person is, ordinarily, entitled to put relevant information or material before the decision-maker and to make submissions on the critical issues or factors. See Annetts, 600 - 601 (Mason CJ, Deane & McHugh JJ). (emphasis added)
(a) the primary judge did not impute to WAPC the knowledge that the Board of Valuers 'would decide the valuation by accepting the opinions of Mrs Prestage's witnesses unless [WAPC] applied to be heard';
(b) his Honour did not proceed on the basis that the Board was obliged to accept the evidence of Mrs Prestage's witnesses in the absence of other material from WAPC;
(c) WAPC's knowledge, and the Board's awareness of what WAPC knew, were relevant to the content of the Board's obligation to accord procedural fairness to WAPC; and
(d) his Honour's findings at [53] and [55] of his reasons were consistent with the law of procedural fairness and the evidence before his Honour as to the knowledge of WAPC and the awareness of the Board.
It is in this sense that one may state that 'the common law' usually will imply, as a matter of statutory interpretation, a condition that a power conferred by statute upon the executive branch be exercised with procedural fairness to those whose interests may be adversely affected by the exercise of that power (Re Refugee Review Tribunal; Ex parte Aala [2000] HCA 57; (2000) 204 CLR 82 at 100 - 101 [39] - [41]). If the matter be understood in that way, a debate whether procedural fairness is to be identified as a common law duty or as an implication from statute proceeds upon a false dichotomy and is unproductive [97].
(b) the practical context in which the decision-maker is to exercise the power.
Fairness is not an abstract concept. It is essentially practical. Whether one talks in terms of procedural fairness or natural justice, the concern of the law is to avoid practical injustice [37].
See also Warkworth Mining Ltd v Bulga Milbrodale Progress Association Inc.[24]
Where the exercise of a statutory power attracts the requirement for procedural fairness, a person likely to be affected by the decision is entitled to put information and submissions to the decision-maker in support of an outcome that supports his or her interests. That entitlement extends to the right to rebut or qualify by further information, and comment by way of submission, upon adverse material from other sources which is put before the decision-maker. It also extends to require the decision-maker to identify to the person affected any issue critical to the decision which is not apparent from its nature or the terms of the statute under which it is made. The decision-maker is required to advise of any adverse conclusion which has been arrived at which would not obviously be open on the known material. Subject to these qualifications however, a decision-maker is not obliged to expose his or her mental processes or provisional views to comment before making the decision in question (591 - 592).
It is not, in my opinion, a sufficient compliance with an implied statutory obligation to give an owner or occupier a hearing that he is free to put in a submission if he chooses to do so on his own initiative. The authority's obligation is to notify him expressly of his rights in that respect. It should not just leave him to discover the position for himself. There is no reason to suppose that requiring a local board to give reasonable notice to the person concerned before proceeding under s 58 would involve it in much trouble or delay (463).
I think that at the present time obligations imposed by the rules of natural justice are not fulfilled simply because the person affected, if he knew his rights, could make representations. For a public authority to comply with its statutory duty to give a person affected by the exercise of its powers the opportunity to be heard, the authority, as Cox J pointed out in Babalis, must expressly inform the person affected 'of his rights in that respect' (549).
[T]he preponderance of authority favours a rule or principle that an administrative decision-maker's evaluative conclusions on the material before him do not have to be communicated to an applicant so that considerations influencing the decision-maker's mind adversely to the applicant's interest may be reviewed before the decision is made in the light of any submission or evidentiary material the applicant may desire to tender in response to the communication. But there are observations, which may be thought to constitute a gloss on the general rule, that favour a requirement that the applicant have his mind directed to the critical issue or factor on which the administrative decision is likely to turn so that he may have an opportunity of dealing with it: see Kioa v West [1985] HCA 81; (1985) 159 CLR 550 at 587, per Mason J; Sinnathamby v Minister for Immigration and Ethnic Affairs (1986) 66 ALR 502 at 517, per Burchett J; Broussard v Minister for Immigration and Ethnic Affairs (1989) 21 FCR 472 at 481 - 482. There are other observations, which may be thought to constitute another gloss on the general rule, that an unfavourable animadversion, by the decision-maker or expressed by a departmental officer to the decision-maker, upon the conduct of an applicant, or even of another person whose interest in a decision favourable to the applicant is to be weighed by the decision-maker, should be disclosed to the applicant so that he may respond, if the animadversion is not an obviously natural response to the circumstances which have evoked it: see Minister for Immigration, Local Government and Ethnic Affairs v Kumar (unreported, Federal Court, Davies, Foster and Hill JJ, 31 May 1990); Kioa v West (supra) (at 573, 588, 634), where two members of the High Court treated such an animadversion, in par 21 of a submission to the decision-maker, as discoverable to the applicants. I do not stay to consider whether these observations are better regarded as the glossing of a rule or as discoveries of what procedural fairness requires in particular circumstances, that which was called a rule being conceived as but another such discovery. Either way those observations have to be taken into account in determining what procedural fairness required in this case (108 - 109).
However, in a particular case, fairness may require the applicant to have the opportunity to deal with matters adverse to the applicant's interests which the decision-maker proposes to take into account, even if the source of concern by the decision-maker is not information or materials provided by the third party, but what is seen to be the conduct of the applicant in question (119).
(a) an appreciation as to the nature and extent of the reservation and the steps taken to effect the reservation, in order to determine the value of the land without regard to the reservation and the relevant steps; and
(b) an assessment as to the highest and best use of the relevant land on the basis that the reservation had not been made.
(a) Mrs Prestage had asked the Board of Valuers to value Lot 1610 as not so affected by the reservation. See attachment SJW12 to Mr Willey's affidavit sworn 31 March 2016 and attachment RJF4 to Mr Ferguson's affidavit sworn 6 May 2016.
(b) The Board was required to perform that task upon written request unless WAPC waived the requirement. See s 183(1) of the PD Act and attachment SJW13 to Mr Willey's affidavit.
(c) WAPC had a right to waive the requirement for the Board to make the valuation, but it had informed the Board that it had decided not to do so. WAPC told the Board that the notice of intention to sell should take its course and that that would determine the unaffected value of Lot 1610. See attachment SJW13 to Mr Willey's affidavit; his Honour's reasons at [55].
(d) The Board was obliged to allow Mrs Prestage the opportunity to put material before it on which she relied and to appear before it and make submissions either in person or by counsel. See reg 39(2)(b) and reg 40(3) of the PD Regulations and attachment RJF4 to Mr Ferguson's affidavit.
(e) Mrs Prestage had given notice of her intention to be heard by the Board in relation to the valuation of Lot 1610. See attachment SJW12 to Mr Willey's affidavit and attachment RJF4 to Mr Ferguson's affidavit.
(f) The valuation of Lot 1610 would affect WAPC's interests.
(g) After it received Mrs Prestage's request, the Board was obliged to and did appoint a valuer (namely Mr Volk) to prepare a report, determine a date on which it would make its valuation and communicate that date to both Mrs Prestage and the appointed valuer. See reg 40(1) of the PD Regulations and attachments RJF4 and RJF13 to Mr Ferguson's affidavit.
(h) Mr Volk, as the appointed valuer, was obliged to summarise the relevant data (which included anything provided in advance by Mrs Prestage) and the preliminary report had to be given to the Board prior to the date fixed by the Board for the making of the valuation. See reg 40(1) of the PD Regulations.
(i) WAPC knew that the process was underway and that the result of the process would be that the Board would provide advice as to the unaffected value of Lot 1610. See his Honour's reasons at [55].
(a) the primary judge did not impute to WAPC the knowledge that the Board of Valuers would value Lot 1610, as not so affected by the reservation, by accepting the opinions of Mrs Prestage's witnesses unless WAPC applied to be heard;
(b) his Honour did not proceed on the basis that the Board was bound to accept the evidence of Mrs Prestage's witnesses in the absence of other material from WAPC;
(c) his Honour's reasons, at [53] and [55], merely asserted that the Board would, in making its valuation, take into account the material that Mrs Prestage put before it; unless WAPC put its own material before the Board, the Board would not have any such material before it; the Board would proceed to determine the unaffected value of the land on the basis of material relied on by Mrs Prestage; and the Board was entitled to proceed on the basis that WAPC knew that that was the case;
(d) his Honour's reasons, at [61], noted that it was reasonably to be anticipated by a party in WAPC's position that the Board may proceed to determine the value having regard to the material that Mrs Prestage put before it;
(e) his Honour observed, at [62] of his reasons, that it was open to the WAPC to advise the Board that it wanted to make a submission and that the Board did not do anything to preclude or discourage that course of action; and
(f) his Honour found, in effect, that the Board was not obliged to invite WAPC to make submissions because WAPC already knew that the Board was making its valuation, that Mrs Prestage intended to put material before the Board and that, unless WAPC put its own material before the Board, the Board would not have anything upon which WAPC relied.
(a) whether, in previous cases, the Board of Valuers had invited WAPC to put forward any evidence or to make any submissions that WAPC might wish the Board to take into account in making valuations;
(b) whether, in previous cases, WAPC had, without an invitation from the Board, put forward evidence or made submissions that WAPC wished the Board to take into account in making valuations;
(c) whether WAPC believed that, in the present case, it was entitled to put forward any evidence or to make any submissions that WAPC might wish the Board to take into account in making its valuation;
(d) whether WAPC knew that the Board was to meet on 21 September 2015; or
(e) whether WAPC knew that the Board intended on 21 September 2015 to determine the value as not so affected of Lot 1610.
(a) to give express notice to WAPC that the Board would meet on 21 September 2015 to determine the unaffected value of Lot 1610;
(b) to expressly inform WAPC that on 21 September 2015 the Board would hear oral representations from the valuers engaged by Mrs Prestage, namely Mr Ferguson and Mr Miller, as to the unaffected value of Lot 1610;
(c) to expressly invite WAPC to put forward any evidence and to make any submissions prior to the meeting on 21 September 2015 that WAPC might wish the Board to take into account in making its valuation; and
(d) to expressly invite WAPC to appear, by a representative or representatives, before the Board at the meeting on 21 September 2015 to hear and respond to the oral representations from Mr Ferguson and Mr Miller.
Ground 2 before this court: counsel for WAPC's submissions
(a) the Board of Valuers' duty is 'to value objectively, as an independent expert valuation body', the Board 'must not decide only upon the evidence admitted from an interested party' and '[f]aced with the Ferraro report, originating in [the proceedings before the Tribunal], the Board should have taken its own independent planning advice'; and
(b) those propositions 'remain correct whether WAPC had a right to be heard or not'.
(a) if the primary judge found that the Board of Valuers had in fact considered the point and had in fact assumed that WAPC anticipated or knew that the Board would decide the valuation by accepting the opinions of Mrs Prestage's witnesses in the proceedings before the Tribunal unless WAPC applied to be heard, and the Board acted accordingly without inviting WAPC to be heard, 'then the Board thereby openly departed from objectivity'; and
(b) if his Honour only relied on the Board being entitled to make that assumption (regardless of whether the Board considered the point) 'then, still, the Board has departed from objectivity'.
Ground 2 before this court: counsel for Mrs Prestage's submissions
(1) Subject to this Part any person whose land is injuriously affected by the making or amendment of a planning scheme is entitled to obtain compensation in respect of the injurious affection from the responsible authority.
(2) Despite subsection (1) a person is not entitled to obtain compensation under this section on account of any building erected, or any contract made, or other thing done with respect to land included in a planning scheme after the date of the approval of a planning scheme or amendment, or after such other date as the Minister may fix for the purpose, being not earlier than the date of the approval of the scheme or amendment.
(3) A responsible authority may make agreements with owners for the development of their land during the time that the planning scheme or amendment is being prepared. (emphasis added)
(1) Subject to this Division, the compensation payable for injurious affection due to or arising out of the land being reserved under a planning scheme, where no part of the land is purchased or acquired by the responsible authority, is not to exceed the difference between -
(a) the value of the land as so affected by the existence of such reservation; and
(b) the value of the land as not so affected.
(2) The values referred to in subsection (1)(a) and (b) are to be assessed as at the date on which -
(a) the land is sold as referred to in section 178(1)(a); or
(b) the application for approval of development on the land is refused; or
(c) the approval is granted subject to conditions that are unacceptable to the applicant. (emphasis added)
(1) A Board of Valuers is established.
(2) The Board consists of the following members appointed by the Governor -
(a) a chairperson nominated by the Commission; and
(b) 3 other members nominated by the body known as The Real Estate Institute of Western Australia, an incorporated association under the Associations Incorporation Act 2015.
(3) Each of the persons appointed to the Board is to be an Associate or a Fellow of the Australian Property Institute, an association incorporated under the laws of South Australia.
(4) Judicial notice is to be taken of the signature of the chairperson on any finding of the Board.
(5) Schedule 9 has effect.
Board means the Board of Valuers established under section 182.
Subject to clause 4 a member of the Board holds office for a term of 2 years and is eligible for reappointment.
The Board is constituted by the chairperson of the Board and any 2 other members of the Board and may meet despite there being a vacancy on the Board.
(1) A member of the Board may resign by written notice.
(2) The Governor may remove a member of the Board from office if the member -
(a) misbehaves or is incompetent; or
(b) is suffering from a permanent physical or mental incapacity that impairs the performance of the member's functions.
(1) The members of the Board are entitled to such fees and expenses, in respect of attendances at meetings of, or while engaged in the business of, the Board, as the Minister may from time to time determine.
(2) In determining under subclause (1) fees to which members of the Board are entitled while engaged in the business of the Board, the Minister may adopt -
(a) wholly or in part; and
(b) with or without alteration,
all or any of the maximum amounts of remuneration fixed under section 25 of the Land Valuers Licensing Act 1978 for the various kinds of services rendered by licensed valuers and those maximum amounts of remuneration, if so adopted are to be taken to be fees determined under subclause (1) as fees to which the members of the Board are entitled while engaged in the business of the Board.
(3) An adoption made under subclause (2) may be made by reference to the citation of the relevant notice published in the Gazette under section 25 of the Land Valuers Licensing Act 1978 and to any provisions of that notice, and it is not necessary to set out in the relevant determination made under subclause (1) the full text of that notice or of any provision of the notice.
(1) The owner of land that is subjected to injurious affection due to, or arising out of, the land being reserved under a planning scheme for a public purpose who gives notice of intention to sell the land and claim compensation is to, unless the responsible authority waives the requirement, apply to the Board of Valuers in the prescribed manner for a valuation of the land as not so affected and the Board is to make the valuation.
(2) Subject to subsection (4), a valuation made by the Board under subsection (1) is to be communicated to the applicant and to the responsible authority and, for the purposes of this Division, a valuation so made is final.
(3) Upon receipt of a valuation made by the Board under this section, the responsible authority is to advise the owner of the subject land of the minimum price at which the land may be sold without affecting the amount of compensation (if any) payable to him or her under this Division.
(4) Where any land with respect to which a valuation has been made under this section is not sold within a period of 6 months from the making of the valuation, the Board may, at the request of the owner of the land, if in the circumstances of the case it thinks it just to do so, review the valuation and either confirm the valuation or vary it.
(5) Where the Board reviews a valuation under subsection (4), it is to notify the owner of the land and the responsible authority accordingly and upon that notification subsection (3), with such modification as circumstances require, applies to the valuation as reviewed by the Board. (emphasis added)
responsible authority, except as provided in regulations made under section 171A(2)(a), means -
(a) in relation to a local planning scheme or local interim development order, the local government responsible for the enforcement of the observance of the scheme or order, or the execution of any works which under the scheme or order, or this Act, are to be executed by a local government; and
(b) in relation to a region planning scheme, regional interim development order or planning control area, the Commission or a local government exercising the powers of the Commission; and
(c) in relation to an improvement scheme, the Commission[.] (emphasis added)
(1) For the purposes of section 183(1) an application by an owner of land for a valuation of the land must be made by posting or delivering a written application to the Board at the office of the Commission.
(2) The application must -
(a) describe the land to which it relates; and
(b) state whether the owner wants to be heard by the Board on the making of the valuation.
(1) On receiving an application made under section 183(1) the Board's chairperson must -
(a) appoint a member of the Board (other than the chairperson) to -
(ii) prepare and summarise the data necessary for the making of a valuation; and
before the day fixed for the making of the valuation; and
(b) give the applicant written notice of the day and time fixed for the making of the valuation.
(2) Any evidence presented to the Board by an applicant must be in the form of a statutory declaration.
(3) An applicant is entitled to be heard by the Board, either in person or by counsel.
(4) The Board may adjourn its proceedings from time to time and from place to place.
(5) Proceedings of the Board shall not be impugned for want of formality. (emphasis added)
It has long been established that the statutory framework within which a decision-maker exercises statutory power is of critical importance when considering what procedural fairness requires. It is also clear that the particular content to be given to the requirement to accord procedural fairness will depend upon the facts and circumstances of the particular case. As Kitto J said in Mobil Oil Australia Pty Ltd v Federal Commissioner of Taxation:
'[T]he books are full of cases which illustrate both the impossibility of laying down a universally valid test by which to ascertain what may constitute such an opportunity ["to correct or contradict any relevant statement prejudicial to their view"] in the infinite variety of circumstances that may exist, and the necessity of allowing full effect in every case to the particular statutory framework within which the proceeding takes place. ...
In the present case, attention in argument, both in this Court and in the courts below, was directed more to the particular circumstances of the case than to the relevant statutory framework, but it is necessary to notice some aspects of that framework. Unless that is done, the argument proceeds at too high a level of abstraction and may proceed upon assumptions that are ill founded. (footnote omitted) (emphasis added)
Gaudron and Gummow JJ pointed out in Re Refugee Review Tribunal; Ex parte Aala:
'[T]he conditioning of a statutory power so as to require the provision of procedural fairness has, as its basis, a rationale which differs from that which generally underpins the doctrine of excess of power or jurisdiction. The concern is with observance of fair decision-making procedures rather than with the character of the decision which emerges from the observance of those procedures.'
The concern of procedural fairness, which here operates as a condition of the exercise of a statutory power, is with procedures rather than with outcomes. It follows that a failure on the part of an assessor or reviewer to give the opportunity to be heard which a reasonable assessor or reviewer ought fairly to give in the totality of the circumstances constitutes, without more, a denial of procedural fairness in breach of the implied condition which governs the exercise of the Minister's statutory powers of consideration.
Such a breach of the implied condition which governs the exercise of the Minister's statutory powers of consideration is material, so as to justify the grant of declaratory relief by a court of competent jurisdiction, if it operates to deprive the offshore entry person of 'the possibility of a successful outcome'.
That approach to the determination of the existence and consequence of a breach of an implied condition of procedural fairness governing the exercise of a statutory power is wholly consistent with the often-repeated observation of Gleeson CJ in Re Minister for Immigration and Multicultural and Indigenous Affairs; Ex parte Lam that the concern of procedural fairness is to 'avoid practical injustice', and with his Honour's conclusion in that case that there was no denial of procedural fairness where '[n]o practical injustice ha[d] been shown'. The absence of practical injustice in Lam lay in the fact that '[t]he applicant lost no opportunity to advance his case'; it was not 'shown that he lost an opportunity to put any information or argument to the decision-maker, or otherwise suffered any detriment'.
... What must be shown by a person seeking to establish a denial of procedural fairness will depend upon the precise defect alleged to have occurred in the decision-making process. (footnotes omitted) (emphasis added)
[The landowner] has submitted the attached Notice of Intention to Sell for the Board ... to determine the unaffected value of the [land].
The WAPC previously elected to purchase the whole of the property from her late husband with a negotiating range of $1,635,000 to $1,665,000. [The landowner and WA Land Compensation] referred the matter to the [Tribunal]; however, [the action was discontinued].
...
Before I refer the Notice to the Board, could you please advise whether the WAPC (as responsible authority) wishes to waive the requirement for the Notice and negotiate the purchase of the property.[70]
As [the landowner] withdrew her previous compensation claim and the WAPC election to purchase is no longer effective, the Notice of Intention to Sell should take its course. This will establish the unaffected value ...
Please discuss with the A/LDC to see if he has a contrary view on the approach the [Department of Planning] should recommend to the WAPC.[71]
One may observe that most people would regard it as a distinct disadvantage to be given the opportunity of putting their case only at a time when it was a matter of persuading a public authority to change an opinion it had already formed and to countermand or modify a course of action it had already authorised. Besides, there is nothing provisional or contingent, let alone appealable, about a notice issued under s 58. If the person to whom it is addressed does not comply with it, he commits an offence and the local board may prosecute him. Some of the judicial statements that may be thought to support the view that it is enough to hear the owner or occupier after the authority has made up its mind were made in cases that were decided when the principle in question was in its formative stage. More is required of administrative bodies now. It is noteworthy that in Twist v Randwick Municipal Council Mason J was inclined to think that, despite the earlier cases to which I have referred, the Randwick Municipal Council's duty to act fairly might well involve it in giving an owner the opportunity to present his case before proceeding to the making of an order, although as it happened the existence of the appeal provision in that case offered the owner no redress in the event of the Council failing to do so. I do not think that the contrary reasoning in Knuckey v Peirce should be applied in this case. It is not, in my opinion, a sufficient compliance with an implied statutory obligation to give an owner or occupier a hearing that he is free to put in a submission if he chooses to do so on his own initiative. The authority's obligation is to notify him expressly of his rights in that respect. It should not just leave him to discover the position for himself. There is no reason to suppose that requiring a local board to give reasonable notice to the person concerned before proceeding under s 58 would involve it in much trouble or delay. (footnotes omitted)
In the present case Brownie J ... held that the Council was not in breach of the rules of natural justice because it had given a copy of the [relevant resolution] to the defendant and informed him that, unless he made an application for a licence, legal proceedings would be commenced against him. However, I think that at the present time obligations imposed by the rules of natural justice are not fulfilled simply because the person affected, if he knew his rights, could make representations. For a public authority to comply with its statutory duty to give a person affected by the exercise of its powers the opportunity to be heard, the authority, as Cox J pointed out in Babalis, must expressly inform the person affected 'of his rights in that respect'.
...
In my opinion the decision in Woollahra Municipal Council v Clarke should not be followed in so far as it held that the rules of natural justice are complied with if a person had the opportunity to make representations even though he was not informed of his right to do so and did not make any representations.
By issuing a valuation which was decided in a manner that was so irrational that no reasonable tribunal could have done so, in that the valuation was based on planning opinion evidence and environmental opinion evidence presented by [the landowner], and originating as evidence to be called by [the landowner] in earlier contentious proceedings in the ... Tribunal on the same issue of valuation, without regard to planning opinion evidence and environmental opinion evidence filed and served by [the WAPC] in the ... Tribunal. (emphasis added)
The complaint made by ground 2 is that the Board ... acted so unreasonably as to exceed its statutory powers in that it valued [the land] based on planning opinion evidence and environmental opinion evidence presented by [the landowner] which had its origins in the contentious proceedings in [the Tribunal], and did so without regard to the planning opinion evidence and environmental opinion evidence filed by the WAPC in [the Tribunal].
For the reasons I have given in relation to ground 1, I would reject ground 2. As I explained in dealing with ground 1, in my view the Board ... was entitled to act on the basis that the WAPC would reasonably have anticipated that [the landowner] may rely on the materials she relied on in [the Tribunal], and that the Board ... may proceed to determine the value having regard to that material, and that if it wished to make a submission or put material before the Board ... it should do so.
I certify that the preceding paragraph(s) comprise the reasons for decision of the Supreme Court of Western Australia.
[3] Babalis v City of Adelaide (1985) 38 SASR 450.
[4] Carroll v Sydney City Council (1989) 15 NSWLR 541.
[5] Somaghi v The Minister for Immigration Local Government and Ethnic Affairs [1991] FCA 389; (1991) 31 FCR 100.
[7] McKay v Commissioner of Main Roads [2013] WASCA 135 [156] - [158] (Murphy JA; Martin CJ & Buss JA agreeing).
[8] Apache Northwest Pty Ltd v Agostini [No 2] [2009] WASCA 231 [215] (Buss JA; Wheeler & Newnes JJA relevantly agreeing).
[9] Saeed v Minister for Immigration and Citizenship [2010] HCA 23; (2010) 241 CLR 252.
[10] Electrolux Home Products Pty Ltd v The Australian Workers' Union [2004] HCA 40; (2004) 221 CLR 309 [21].
[11] Momcilovic v The Queen [2011] HCA 34; (2011) 245 CLR 1 [43] (French CJ).
[12] Plaintiff S10/2011 v Minister for Immigration and Citizenship [2012] HCA 31; (2012) 246 CLR 636.
[13] Re Minister for Immigration and Multicultural Affairs; Ex parte Miah [2001] HCA 22; (2001) 206 CLR 57 [31] (Gleeson CJ & Hayne J).
[14] Minister for Immigration and Border Protection v WZARH [2015] HCA 40; (2015) 256 CLR 326 [55] (Gageler & Gordon JJ).
[15] Salemi v MacKellar [No 2] [1977] HCA 26; (1977) 137 CLR 396, 401 (Barwick CJ).
[16] National Companies and Securities Commission v News Corporation Ltd [1984] HCA 29; (1984) 156 CLR 296, 326 (Brennan J).
[17] Kioa v West [1985] HCA 81; (1985) 159 CLR 550, 612 (Brennan J).
[19] Duncan v Independent Commission against Corruption [2016] NSWCA 143 [693] (Basten JA; Bathurst CJ & Beazley P relevantly agreeing).
[20] Sharpe v Brown [1918] ArgusLawRp 103; [1918] VLR 678, 685 (Hood J).
[21] Graham v Baptist Union of New South Wales [2006] NSWSC 818 [31] - [37] (Young CJ in Eq).
[22] Marsh v Australian Capital Territory [2014] ACTSC 81; (2014) 288 FLR 116 [134] (Refshauge J).
[23] Re Minister for Immigration and Multicultural and Indigenous Affairs; Ex parte Lam [2003] HCA 6; (2003) 214 CLR 1.
[24] Warkworth Mining Ltd v Bulga Milbrodale Progress Association Inc [2014] NSWCA 105; (2014) 86 NSWLR 527 [34] (Bathurst CJ, Beazley P & Tobias AJA).
[25] Kioa v West (587) (Mason J).
[26] Commissioner for Australian Capital Territory Revenue v Alphaone Pty Ltd [1994] FCA 1074; (1994) 49 FCR 576, 590 - 591 (Northrop, Miles & French JJ).
[27] Ex parte Lam [81], [83] (McHugh & Gummow JJ).
[28] SZBEL v Minister for Immigration and Multicultural and Indigenous Affairs [2006] HCA 63; (2006) 228 CLR 152 [32] (Gleeson CJ, Kirby, Hayne, Callinan & Heydon JJ).
[30] Re Minister for Immigration and Multicultural and Indigenous Affairs; Ex parte Palme [2003] HCA 56; (2003) 216 CLR 212 [22].
[31] Ex parte Miah [142] (McHugh J).
[32] Muin v Refugee Review Tribunal [2002] HCA 30; (2002) 76 ALJR 966 [128] - [134] (McHugh J).
[34] Woollahra Municipal Council v Minister for Local Government [2016] NSWCA 380; (2016) 219 LGERA 180 [143] (Beazley P; Bathurst CJ & Ward JA agreeing).
[35] Ex parte Miah [142] (McHugh J).
[36] Haoucher v Minister for Immigration and Ethnic Affairs [1990] HCA 22; (1990) 169 CLR 648, 657, 660 (Dawson J).
[38] Babalis v City of Adelaide (1985) 38 SASR 450.
[39] Carroll v Sydney City Council (1989) 15 NSWLR 541.
[40] Somaghi v The Minister for Immigration, Local Government and Ethnic Affairs [1991] FCA 389; (1991) 31 FCR 100.
[41] Minister for Immigration and Citizenship v Li [2013] HCA 18; (2013) 249 CLR 332.
[42] Minister for Immigration and Border Protection v Stretton [2016] FCAFC 11; (2016) 237 FCR 1.
[43] Minister for Immigration and Border Protection v Eden [2016] FCAFC 28; (2016) 240 FCR 158.
[44] Jacob v Save Beeliar Wetlands (Inc) [2016] WASCA 126; (2016) 50 WAR 313 [69] (McLure P; Buss & Newnes JJA agreeing).
[45] Re Refugee Review Tribunal; Ex parte Aala [2000] HCA 57; (2000) 204 CLR 82 [5] (Gleeson CJ), [17], [39] - [41] (Gaudron & Gummow JJ), [169] (Hayne J).
[46] Western Australian Planning Commission v The Board of Valuers [2016] WASC 326 (primary decision).
[47] Prior to Mr Prestage's death, Mr and Mrs Prestage were the landowners; Mrs Prestage was the sole landowner after Mr Prestage's death.
[50] Definitions of those terms in PD Act s 4.
[51] Definition of 'Commission' in PD Act s 4.
[52] SZBEL v Minister for Immigration and Multicultural and Indigenous Affairs [2006] HCA 63; (2006) 228 CLR 152.
[53] Minister for Immigration and Border Protection v WZARH [2015] HCA 40; (2015) 256 CLR 326.
[59] WZARH [58] citing Re Minister for Immigration and Multicultural and Indigenous Affairs; Ex parte Lam [2003] HCA 6; (2003) 214 CLR 1.
[61] cf Director of National Parks and Wildlife v Barritt [1990] NTSC 37; (1990) 102 FLR 392, 401 - 406.
[63] Although its chairperson is appointed by the WAPC. See PD Act s 182(2)(a).
[65] The responsible authority is to 'advise the owner ... of the purchase price at which the land may be sold without affecting the amount of compensation': PD Act s 183(3).
[66] West Australia Planning Commission v Navarac Pty Ltd [2009] WASC 399 [39], [45].
[67] PD Regulations reg 39(2)(b), reg 40(1)(b), reg 40(2), reg 40(3).
[69] GB 14 - 15; primary decision [32].
[70] GB 16 - 17; primary decision [33].
[74] See, eg, points 3 - 5 above; cf Graham v Baptist Union of NSW [2006] NSWSC 818 [32] - [35].
[75] With, evidently, ready access to advice from the Department of Planning - see points 2 - 5 of [206] above.
[76] See the observations of Gordon and Gummow JJ in Re Refugee Review Tribunal; Ex parte Aala [2000] HCA 57; (2000) 204 CLR 82 [59] referred to in the passage from WZARH quoted in [200] above.
[78] PD Regulations reg 39(2), reg 40(1)(b), reg 40(2), reg 40(3).
[80] Compare the appellant's submissions at appeal ts 7.
[81] Babalis v City of Adelaide (1985) 38 SASR 450.
[82] Carroll v Sydney City Council (1989) 15 NSWLR 541.
[88] Appellant's written submissions, pars 28 - 30.
[89] Appellant's written submissions, pars 31 - 32, read with par 10.
[90] Appellant's written submissions, pars 33 - 34.
[92] Primary decision [94] - [117].
[94] Appellant's written submissions, par 35.
(1985) 38 SASR 450
(1989) 15 NSWLR 541
(1994) 49 FCR 576
(1990) 102 FLR 392
(2004) 221 CLR 309
(1990) 169 CLR 648
(2016) 50 WAR 313
(1985) 159 CLR 550
(2014) 288 FLR 116
(2016) 240 FCR 158
(2016) 237 FCR 1
(2015) 256 CLR 326
(2013) 249 CLR 332
(2011) 245 CLR 1
(2002) 76 ALJR 966
(1984) 156 CLR 296
(2012) 246 CLR 636
(2001) 206 CLR 57
(2003) 214 CLR 1
(2003) 216 CLR 212
(2000) 204 CLR 82
(2010) 241 CLR 252
(1977) 137 CLR 396
(1991) 31 FCR 100
(2006) 228 CLR 152
(2014) 86 NSWLR 527
(2016) 219 LGERA 180
(1989) 21 FCR 472
(2006) 151 FCR 214
(1986) 66 ALR 502