More on insurers’ liability to pay claimaints’ costs personally

I posted on this subject earlier here. My friend and former long-time colleague at Middletons, Derek Begg commented, and has referred me to this article on Plymouth & South West Co-Operative Society Ltd v Architecture Structure & Management Ltd [2006] All ER (D) 248 by insurance firm Wotton & Kearney. (Some serious grunt went into their inaugural annual insurance review — which is definitely worth checking out.)

NSW judge refuses to admit affidavit adopting contents of another’s affidavit

I provided my 25 handy hints on affidavits earlier. Two of them were:

  • it is undesirable for one deponent to refer to another’s affidavit and effectively incorporate it by reference; much better to reiterate the whole story in the second witness’s own words;
  • a few inconsistencies between affidavits enhance their credibility rather than detract from it — you can get all your ducks in an implausibly neat line, in other words: see Timms v Commonwealth Bank of Australia [2001] NSWSC 560 at [69]ff by way of example;

Now it could probably only happen in NSW where they get very excited about the rules relating to affidavits (I do not say that disparagingly, au contraire), but in Singh v Singh [2007] NSWSC 1357, one Justice Barrett yesterday actually refused to admit into evidence the following statement in affidavits of Mr Singh, Mr Singh, and Mr Singh: “I agree with the contents of his [another Mr Singh’s] affidavit”. (Tragically, his Honour missed the pun about sikhing too enthusiastically to singh from the same songbook.)

Evidence is supposed to be comprised exclusively of facts from the witness’s own knowledge, and opinion which the witness is qualified to give, and it is generally impermissible to give oral evidence about the contents of a document. Since an affidavit stands in substitution for oral evidence at trial, the rule applies equally to affidavits. Either the statement in the affidavits of the three Messrs Singh offended these rules, or they were irrelevant. I will not bother trying to condense the judgment, which is fairly to-the-point. So here it is, word for word: Continue reading “NSW judge refuses to admit affidavit adopting contents of another’s affidavit”

Court orders defendant to tell plaintiff about its liability insurance

Professor Greg Reinhardt taught me civil procedure in my undergraduate degree. Then he taught me Advanced Litigation, Professional Indemnity Insurance, and Insurance Litigation, in a post-graduate degree I did. In the latter subject, I wrote an essay about, in part, plaintiffs’ attempts to join defendants’ liability insurers to proceedings for declarations that they were bound to indemnify the defendant against the plaintiff’s claim, and published it in two parts at (1998) 9 Insurance Law Journal 208; (1998) 10 Insurance Law Journal 29. Plaintiffs want to know how much insurance defendants have. Little point angling for a $2 million settlement if there’s only $1 million in insurance. Better to characterise the other side’s wrongdoing as negligence rather than deliberate or dishonest conduct if his indemnity insurance doesn’t respond to liability for such wrongdoing. Professor Reinhardt has recently given a paper dealing with the courts’ willingness to take the existence of, responsiveness of, and amount of an insurance policy of one party or another into account, and I report below a full-on development noted in his paper. Continue reading “Court orders defendant to tell plaintiff about its liability insurance”

2nd edition of Professional Liability in Australia reviewed

I was already a fan of the first edition of Judge Stephen Walmsley SC, Alister Abadee, and Ben Zipser‘s excellent Professional Liability in Australia, published by Thomson, and had been waiting for the new edition with interest. I got myself a copy the other day. It’s good, and there are substantial additions since the first edition, including a lot on expert evidence, a new bit on professional discipline, analysis of the Financial Services Reform Act, 2001, analysis of the cases on the civil liability acts and a good analysis of proportionate liability.

It is a text which delves into all of the legislation which clusters around professional liability these days and grapples with it, a thankless task for an Australian text writer compelled to read and understand all of the states’ and territories’ regimes and then synthesise them. So the availability of compensation in professional discipline regimes is treated properly, as is the effect of professional standards legislation, which caps liability for scheme mebers. The research is wide-ranging and thorough: a VCAT decision is cited. It is written from a practical perspective rather than a theoretical perspective. There is not the over-reliance on English authority which sometimes characterises texts in this area. The writing tends to take positions rather than carrying on at great length about parallel or divergent lines of authorities without suggesting which is to be preferred. One suspects that bad decisions have simply been ignored in the hope that they will be forgotten. If only more text writers would operate in this fashion.

Professional negligence is one of those areas of law in which everyone claims to be a specialist. There are, for example, 387 barristers at the Victorian Bar who claim on their web profile to practise in professional negligence. Then there are undoubtedly many others, like me, who haven’t listed their practice areas using the scheme which allows for searching like that.

Thomson has kindly offered a 10% discount for readers of this blog if you go to their bookshop at 160 William St, Melbourne. Alternatively, the book can be purchased online, for $220 inclusive of postage and handling.

Continue reading “2nd edition of Professional Liability in Australia reviewed”

25 handy hints on affidavits in Victoria

I presented a seminar with Glenn McGowan SC on affidavits and written evidence recently. I wrote a long paper, mainly about the state courts, but incorporating some aspects of Federal Court procedure, which I will send to anyone who asks for a copy, and which will probably end up on the blog replete with useful hyperlinks one day. Meanwhile, here are some handy hints on affidavits which are not always properly understood:

  • a deponent who makes an affidavit in a work capacity can state their business address instead of their residential address, but the condition of doing so is that they state the name of their firm or employer, if any, and the position they hold: Supreme Court Rule 43.01(3);
  • in the Supreme Court, you can call for an electronic copy of an affidavit to be emailed to you if served with a hard copy, by invoking Practice Note No. 1 of 2002, (2002) VR 107;
  • you can call for any document referred to in an affidavit by a notice to produce under Supreme Court Rule 29.10(2), and the rule is interpreted to mean that you can call for production of any document referred to in an exhibit to an affidavit: Williams [I 29.01.345] citing Re Hinchcliffe [1895] 1 Ch 117; Continue reading “25 handy hints on affidavits in Victoria”

In Bali

Update, 4 October 2008: Here’s an excellent article on Bali’s resurgent tourism and the environmental challenges it is posing, by The Age‘s Indonesia correspondent, Mark Forbes.

Original post: This barrister is in Bali. So no new posts until the fury of deadlines which will unleash itself on me again on my return on 19 September 2007 abates sufficiently. Sorry about that. I took this photo in the early morning looking into the Sayan Valley near Ubud, in which is to be found what is considered to be one of the world’s best hotels but which is in fact a dreadful place with a great view, with all the charm of a super-luxury voluntary prison camp.

Choice is over-rated. Sometimes it’s good to be told what to do. Here’s how to have a good time in Bali: Continue reading “In Bali”

18 days after I buy mine, wigs’ future looking shaky

The barrister garb costs more than $1,500 to buy if you take up the mega-discount the merchants of these things provide to baby barros. Normally, the wig itself costs $1,350. I shelled out for some at around 4.45 p.m. on 30 June 2007. Now the English have abolished wigs for civil and family trials (some consultant managed to wring a fee of AU$250,000 out of her Majesty’s government for the report recommending same) and the New South Welsh are muttering in the same direction. NSW Supreme Court judges are actually going to vote on the question. What is more, Rob Hulls, Victoria’s Attorney-General, has reportedly said ‘there is plenty of horsehair running around Flemington … and that is where it should stay’. Apparently, it’s already happened in Westralia. Here’s a .pdf version of a whole book on the history of legal wigs from England. And here’s an Australian pamphlet on the subject.

I thought the wig was a bit dear, but now that I know the hair is from Mongolian ponies, I’m much happier. In fact Ludlows say:

‘Our wigs are made from the hair of Mongolian ponies and Australian Brumbies, the finest horsehair available in the world. The hair used for our wigs is taken naturally by cutting, the animals are not harmed. Once sourced, the hair is sterilised and bleached so that it is completely clean and conforms to the strictest standards.

Each wig takes six days to make and is built on a block by one artisan (not on a production line) in the same manner that the finest hats were once made, ensuring the wig keeps its shape for a lifetime.’

I think the barristers’ garb is a bit plain. It needs to be revamped, ramped up, given a bit of bling. I’m thinking gold, lace, medals. Like the Chief Justice of Malaysia: Continue reading “18 days after I buy mine, wigs’ future looking shaky”

1 in 4 law graduates in fields “clearly unrelated to law”

The Age published a Kenneth Nguyen article today out of the blue about the numbers of:

  • Australian law schools — 30 years ago there were 12, now there are 30;
  • people pursuing law degrees — which the article suggests is the modern day arts degree; and
  • people not going on to practice law — 1 in 2 — or even work in law related fields — 1 in 4.

I doubt the social utility of people spending 3 or 4 years in a course as vocational as law without any intention to practise. People study maths and chemistry because the skills are transferrable. So too, apparently, law. No one recognises the enormous social inefficiency of people studying one thing in order to get some spin-off benefit. No one asks why education should not be devised to teach the skills directly. I always marvel that the one thing people who studied maths do not necessarily come away with is a facility in mental arithmetic and the approximation of sums, the two things which might actually be of benefit to them in the real world. And then there are the law students who come away from law school without an ability to write. Don’t get me started.

Auditors’ liability: what to do with information from a whistleblower

The Corporations Act contains whistleblowers provisions. Section 9.4AAA which commenced on 1 July 2004 provides extensive protections to officers, employees, and contractors of companies who report to auditors, non-anonymously and in good faith, matters which they reasonably believe suggests that a company or an employee may have breached the Corporations Act or the ASIC Act. Importantly, the only people to whom the whistleblower’s information may be passed  by the auditor without the whistleblower’s consent are ASIC, APRA, or the Australian Federal Police. The company being audited may not be informed without the whistleblower’s consent. This is a kind of Australian version of America’s Sarbanes-Oxley Act which contains similar provisions. ASIC’s information sheet is here.

No absolute bar in England to representing and opposing same client in two different matters

Goubran shares my view that a solicitor can act for and against the one man at the same time. Just not in relation to the same thing. In fact, there is a degree of relation which makes it impermissible, and Goubran sets out the practically meaningless judicial utterances on the test for the requisite degree of relation. He does so by tackling the following passage from Bolkiah v KPMG [1999] 2 AC 222, 234 (Lord Millett) which I have always thought to be overarching: Continue reading “No absolute bar in England to representing and opposing same client in two different matters”

A good summation of Microsoft Word metadata issues for lawyers

I have been involved in teams of litigators on the biggest cases around with dedicated IT people fixing everything IT related, and consider myself to be relatively well aware of the perils of electronic documents. But some metadata slipped out with a document not so long ago, a comment which I could not see in the Word view mode I was in before I emailed it. It probably went unnoticed by my opponent, but a footer in a word document resulted in BHP — one of Australia’s then biggest companies — paying hundreds of millions of dollars to settle the Ok Tedi litigation after being convicted of contempt of court (see below for Julian Burnside‘s account of it). (The conviction was later set aside, but, alas, too late.) Here is a useful article from the American Bar Assocation which summarises the perils of not expunging the metadata generated by use of Word’s track changes feature of draft documents, with lots of links to technical help on the issue. And here is an article from www.discoveryresources.org linked to from that article which explores the issues well too. But now, back to the Ok Tedi Case, probably the best metadata horror story out there, but, I think little known outside Melbourne legal circles: Continue reading “A good summation of Microsoft Word metadata issues for lawyers”

NSW prosecutor’s computer repair leads to child porn suspension

A Sydney silk took his computer into work at the Department of Public Prosecutions to be fixed. The repairman mentioned the child pornography on the hard disk to his superiors, and the Deputy Senior Crown Prosecutor was suspended on leave with pay and has said he will plead guilty to a charge of possessing child pornography. He may lose his job, his status as a QC, and up to two years of his liberty. With thanks to Freedom to Differ.

Staying disciplinary proceedings as abuses of process

Update, 23 December 2009: Doubt is cast on the correctness of Hunt AJA’s comments by Hodgson JA, the other justices of appeal agreeing, in Council of the NSW Bar Association v A (2008) 72 NSWLR 236 at 249; [2008] NSWCA 164 ([40]).

Original post: The following passage from the NSW Court of Appeal’s decision in Lindsay v Health Care Complaints Commission [2005] NSWCA 356 (Hunt AJA, others agreeing) casts some doubt on whether a medical disciplinary tribunal presided over by a judge had power to stay a disciplinary proceeding as an abuse of process. The issue arose in the context of which the legislation provided that “The members of the Tribunal are to conduct an inquiry into any complaint … referred to it”, and then, later “It is the duty of a Committee and the Tribunal to hear inquiries and appeals under this Act and to determine those inquiries and appeals expeditiously.” As the Court noted, “Both provisions express the obligation of the Tribunal to exercise that jurisdiction in unusually mandatory terms”. Continue reading “Staying disciplinary proceedings as abuses of process”

Lawyer’s defamation suit against former client founders on absolute privilege

In Sexter & Warmflash, P.C. v Margrabe, 2007 NY Slip Op 00065, a woman hired lawyers to represent her and her brother in a dispute with a cousin. The lawyers charged a reduced fee but could charge a 50% premium upon resolution of the dispute. The dispute was settled, but the woman thought the lawyers were progressing too fast towards final resolution (and their premium payment) at the expense of her interests. She fired them and copied her brother in on her none-too-complimentary letter of dismissal, which she also sent to two other lawyers she had retained for second opinions. Essentially, she alleged a concurrent conflict between duty and interest, as well as incompetence. The lawyers sued her in defamation for at least US$1 million, and then represented themselves, a step which raises real questions in my mind about their strategic competence, one of the things criticised in the controversial letter. The case was summarily dismissed. The New York Supreme Court Appellate Division‘s statement of the law of absolute privilege is reproduced: Continue reading “Lawyer’s defamation suit against former client founders on absolute privilege”

Next election important for composition of the High Court

Kenneth Nguyen’s analysis in The Age about the importance, from the point of view of the composition of the High Court, of the next election, is worth reading. He says the next federal election is expected some time after September this year, the same month Callinan J must retire by. The Chief Justice must retire by August 2008, and Kirby J by March 2009. Kirby and Gummow JJ are the only two Labor government-appointed judges on the Court at the moment.

Mind you, sometimes these discussions suggest too close a correlation between the likely decision making of appointees and the predilections of the governments appointing them. Deane and Wilson JJ, both champions of indigenous issues, were Fraser Government appointments, for example, and both were powerful voices on social justice during Liberal Governments. Ron Wilson published the stolen generation report “Bringing Them Home” while Howard was prime minister, and William Deane was openly critical of the Howard Government after he was freed of the constraints of the office of Governor General. On the other hand “Liberal government” means something very different today from what it meant in the 1970’s: Malcolm Fraser has been a strident critic of John Howard, as has John Hewson more recently (though he thought Howard’s IR reforms did not go far enough…).

Solicitor refers costs dispute to VCAT’s legal practice list

In  Robert J Lawyers v Kirby [2006] VCAT 2609 A client complained about his solicitor’s fees. The Legal Services Commissioner was unable to  settle the costs dispute. The solicitor exercised his right to refer the matter to the Legal Practice List of VCAT. Unusual, but sensible, since the Legal Practice Act, 1996 empowers VCAT to give judgment, effectively, for outstanding fees, and that is what he got, after having 15% knocked off for what I would characterise as a rather technical breach of the Legal Practice Act, 1996’s costs disclosure rules. Continue reading “Solicitor refers costs dispute to VCAT’s legal practice list”

Latest mammoth loss of a chance exegisis: NSW med neg case

The latest novel written by a judge about the concept of loss of a chance is Halverson v Dobler [2006] NSWSC 1307. I suspect lawyers professional indemnity specialists spend too little time reading the doctors’ negligence cases. Though there seems to be some suggestion that loss of a chance as a concept is on the wane, especially in relation to personal injuries cases, and that loss of a chance should only apply to cases where conventional proof (on the balance of probabilities cannot be made out), that is not quite enough to persuade me to wade through the judgment.

Solicitor gets 4 months’ holiday for sharing receipts with unqualified conveyancer

In Legal Services Commissioner v DLM [2006] LPT 13, the solicitor was ordered to pay the costs of the prosecution, publicly reprimanded, and had his practising certificate suspended for 4 months. He was guilty of sharing receipts from his law practice with an unqualified conveyancer. He agreed with a former colleague, not legally qualified, that she would find clients, arrange finance for their purchase of homes, and that he would then complete the conveyancing work she had already commenced. She got $1,000, and he got $1,500 though separate bills were rendered. The Tribunal looked at the substance of the whole thing and found that in truth, there was a sharing of receipts contrary to the prohibition on lawyers sharing receipts from legal practice with non-lawyers, which is found in Queensland in the rules of professional conduct. The Chief Justice of Queensland, Paul de Jersey, characterised the arrangement, which, it must be said is somewhat difficult to follow from the reasons like this: Continue reading “Solicitor gets 4 months’ holiday for sharing receipts with unqualified conveyancer”