Johnson Titles Pty Ltd v Esso Australia Limited [2000] FCA 1837

Johnson Titles Pty Ltd v Esso Australia Limited [2000] FCA 1837

Separate trial of the negligence claims of selected applicants and group members is ordered, as this is expedient and in the interests of justice, will likely resolve most group claims, and avoids delaying those claims pending an extremely lengthy and complex cross-claim. Esso may plead as material facts matters concerning the gas system in place at the date of the explosion, but cannot plead State entities’ knowledge before the explosion as part of defences to dependence, vulnerability, or causation. Leave to amend the defence is denied to the extent proposed, but Esso may seek leave to plead an amended defence in line with the judgment.

Parties
Applicants: Johnson Tiles Pty Ltd and others; Respondents/cross Claimants: Esso Australia Ltd and another; Cross Respondents/cross Claimants: State Electricity Commission of Victoria and others; Cross Respondent: BHP Petroleum (Bass Strait) Pty Ltd; Cross Respondents: 21st, 22nd and 23rd Cross-Respondents; Respondents: 15th and 24th respondents; Cross Respondents: 25th to 27th Cross-Respondents; Insurers: State Entity Insurers
Jurisdiction
Australia
Judgment Date
13 December 2000
Procedural Posture
Representative Proceeding (class Action) / Interlocutory (pleadings/directions Regarding Separate Trial and Amendment of Defence)
Outcome
Separate trial of the negligence claims ordered; motion for leave to amend defence in the proposed form dismissed (Esso may seek fresh leave to amend in accordance with reasons).
Legal Topics
Representative Proceedings, Negligence—economic Loss, Case Management—separate Trials, Pleadings—amendment, Duty of Care—dependence and Vulnerability, Causation—novus Actus Interveniens
Civil Procedure Torts Representative Proceedings Negligence—economic Loss Case Management—separate Trials Pleadings—amendment Duty of Care—dependence and Vulnerability Causation—novus Actus Interveniens

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Parties

Johnson Tiles Pty Ltd and others

Applicants

Esso Australia Ltd and another

Respondents/cross Claimants

State Electricity Commission of Victoria and others

Cross Respondents/cross Claimants

BHP Petroleum (Bass Strait) Pty Ltd

Cross Respondent

21st, 22nd and 23rd Cross-Respondents

Cross Respondents

15th and 24th respondents

Respondents

25th to 27th Cross-Respondents

Cross Respondents

State Entity Insurers

Insurers

Procedural Posture

Representative Proceeding (class Action) / Interlocutory (pleadings/directions Regarding Separate Trial and Amendment of Defence)

Legal Issues

  1. 1 Whether there should be a separate trial of the applicants' negligence claims and Esso's cross-claim.
  2. 2 Whether Esso may amend its defence to plead facts regarding applicants' dependence or vulnerability to State entities as a defence to duty of care/vulnerability in negligence for economic loss.
  3. 3 Whether Esso may plead causation/novus actus interveniens based on acts or omissions of State entities.

Ratio Decidendi

Separate trial of the negligence claims of selected applicants and group members is ordered, as this is expedient and in the interests of justice, will likely resolve most group claims, and avoids delaying those claims pending an extremely lengthy and complex cross-claim. Esso may plead as material facts matters concerning the gas system in place at the date of the explosion, but cannot plead State entities’ knowledge before the explosion as part of defences to dependence, vulnerability, or causation. Leave to amend the defence is denied to the extent proposed, but Esso may seek leave to plead an amended defence in line with the judgment.

Court Disposition

Separate trial of the negligence claims ordered; motion for leave to amend defence in the proposed form dismissed (Esso may seek fresh leave to amend in accordance with reasons).

Orders

  • Within 7 days the parties file minutes of orders to give effect to the reasons for judgment.
  • Further hearing of directions adjourned to 2 February 2001.