Elisha v Vision Australia LimitedCitation:[2024] HCA 50Before:Gageler CJ, Gordon, Edelman, Steward, Gleeson, Jagot, Beech-Jones JJDate:11 Dec 2024Case Number:M22/2024Read more

Elisha v Vision Australia LimitedCitation:[2024] HCA 50Before:Gageler CJ, Gordon, Edelman, Steward, Gleeson, Jagot, Beech-Jones JJDate:11 Dec 2024Case Number:M22/2024Read more

Damages for psychiatric injury caused by the manner of dismissal are not recoverable for breach of contract, as such damages are precluded by the rule in Addis v Gramophone Company Ltd. The employer's disciplinary procedure was not incorporated as a contractual term. The employer did not owe a duty of care to provide a safe system of investigation and decision-making in relation to discipline and termination. The damage claimed was too remote.

Parties
Appellant: Appellant; Respondent: Respondent
Jurisdiction
Australia
Judgment Date
11 December 2024
Procedural Posture
Civil Appeal / Judgment
Outcome
Appeal dismissed
Legal Topics
Damages, Breach of Contract, Remoteness, Employment Termination, Negligence, Incorporation of Terms
Employment Law Contract Law Tort Law Damages Breach of Contract Remoteness Employment Termination Negligence +1 more

Case Brief

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Parties

Appellant

Appellant

Respondent

Respondent

Procedural Posture

Civil Appeal / Judgment

Legal Issues

  1. 1 Whether damages for psychiatric injury caused by manner of dismissal are recoverable for breach of contract
  2. 2 Whether the employer's disciplinary procedure was incorporated as a term of the employment contract
  3. 3 Whether the employer owed a duty of care to provide a safe system of investigation and decision-making regarding discipline and termination

Ratio Decidendi

Damages for psychiatric injury caused by the manner of dismissal are not recoverable for breach of contract, as such damages are precluded by the rule in Addis v Gramophone Company Ltd. The employer's disciplinary procedure was not incorporated as a contractual term. The employer did not owe a duty of care to provide a safe system of investigation and decision-making in relation to discipline and termination. The damage claimed was too remote.

Court Disposition

Appeal dismissed

Orders

  • The appeal is dismissed.
  • The appellant is to pay the respondent's costs.