Overseas Tankship (UK) Ltd v Miller Steamship Co Pty (The Wagon Mound) (No 2): PC 25 May 1966

(New South Wales) When considering the need to take steps to avoid injury, the court looked to the nature of defendant’s activity. There was no social value or cost saving in this defendant’s activity. ‘In the present case there was no justification whatever for discharging the oil into Sydney Harbour. Not only was it an offence to do so, but it involved considerable loss financially. If the ship’s engineer had thought about the matter, there could have been no question of balancing the advantages and disadvantages. From every point of view it was both his duty and his interest to stop the discharge immediately.’ and ‘foreseeability of harm of the relevant type by the defendants was a prerequisite for the recovery of damages in nuisance and under the rule in Rylands v Fletcher’.
Held: The defendants were liable for damage which was only a very remote possibility. ‘It is not sufficient that the injury suffered by the respondents’ vessels was the direct result of the nuisance if that injury was in the relevant sense unforeseeable.’ The risk must be real’ in the sense that a reasonable person ‘would not brush [it] aside as far-fetched’: ‘But it does not follow that, no matter what the circumstances may be, it is justifiable to neglect a risk of such a small magnitude. A reasonable man would only neglect such a risk if he had some valid reason for doing so, e.g. that it would involve considerable expense to eliminate the risk. He would weigh the risk against the difficulty of eliminating it . . . A person must be regarded as negligent if he does not take steps to eliminate a risk which he knows or ought to know is a real risk and not a mere possibility which would never influence the mind of a reasonable man.’ (Lord Reid)

Lord Reid, Lord Goff
[1967] 2 AC 617, [1966] UKPC 1, [1966] 1 Lloyd’s Rep 657, [1966] 2 All ER 709, [1966] 3 WLR 498
Bailii
Australia
Citing:
CitedRylands v Fletcher HL 1868
The defendant had constructed a reservoir to supply water to his mill. Water escaped into nearby disused mineshafts, and in turn flooded the plaintiff’s mine. The defendant appealed a finding that he was liable in damages.
Held: The defendant . .
CitedRickards v Lothian PC 11-Feb-1913
The claim arose because the outflow from a wash-basin on the top floor of premises was maliciously blocked and the tap left running, with the result that damage was caused to stock on a floor below.
Held: The provision of a domestic water . .
CitedGoldman v Hargrave PC 13-Jun-1966
(Australia) In Western Australia, a red gum tree was struck by lightning and set on fire. The appellant had the tree cut down, but took no reasonable steps by spraying the fire with water to prevent the fire from spreading, believing that it would . .
See AlsoOverseas Tankship (UK) Ltd v Morts Dock and Engineering Co Ltd (The Wagon Mound No 1) PC 18-Jan-1961
Foreseeability Standard to Establish Negligence
Complaint was made that oil had been discharged into Sydney Harbour causing damage. The court differentiated damage by fire from other types of physical damage to property for the purposes of liability in tort, saying ‘We have come back to the plain . .

Cited by:
CitedJan De Nul (Uk) Limited v NV Royale Belge CA 10-Oct-2001
The contractor undertook to dredge a stretch of river. Due to its failure to investigate properly, the result was the release of substantial volumes of silt into the estuary, to the damage of other river users and frontagers. The act amounted to a . .
CitedDelaware Mansions Limited and others v Lord Mayor and Citizens of the City of Westminster HL 25-Oct-2001
The landowner claimed damages for works necessary to remediate damage to his land after encroachment of tree roots onto his property.
Held: The issue had not been properly settled in English law. The problem was to be resolved by applying a . .
CitedCambridge Water Company v Eastern Counties Leather Plc HL 9-Dec-1993
The plaintiffs sought damages and an injunction after the defendant company allowed chlorinated chemicals into the plaintiff’s borehole which made unfit the water the plaintiff itself supplied.
Held: The appeal was allowed. Liability under . .
CitedTomlinson v Congleton Borough Council and others HL 31-Jul-2003
The claimant dived into a lake, severely injuring himself. The council appealed, arguing that it owed him no duty of care under the Act since he was a trespasser. It had placed warning signs to deter swimmers.
Held: The council’s appeal . .
CitedTransco plc v Stockport Metropolitan Borough Council HL 19-Nov-2003
Rylands does not apply to Statutory Works
The claimant laid a large gas main through an embankment. A large water supply pipe nearby broke, and very substantial volumes of water escaped, causing the embankment to slip, and the gas main to fracture.
Held: The rule in Rylands v Fletcher . .
AppliedLamb v Camden London Borough Council 1981
The property had been left vacant for repairs and then taken over by squatters. A claim was made in respect of the liability of the land-owners for the damage caused by the squatters.
Held: The damage was too remote. The correct test was not . .
CitedSmith v Littlewoods Organisation Limited (Chief Constable, Fife Constabulary, third party); Maloco v Littlewoods Organisation Ltd HL 1987
The defendant acquired a semi derelict cinema with a view to later development of the site. A fire started by others spread to the pursuer’s adjoining property.
Held: The defendants were not liable in negligence. The intervention of a third . .
CitedThe Attorney General v Hartwell PC 23-Feb-2004
PC (The British Virgin Islands) A police officer had taken the police revolver, and used it to shoot the claimant. It was alleged that the respondent police force were vicariously liable for his acts and also . .
CitedGabriel v Kirklees Metropolitan Council CA 24-Mar-2004
The claimant (aged 6) sought damages after being hurt when other children playing on a building site threw stones from the site, hitting him as he passed by.
Held: The case raised questions of law and it was incumbent on the judge to provide . .
CitedPratley v Surrey County Council CA 25-Jul-2003
The claimant sought damages for personal injury namely stress suffered in the course of her work as a care manager. She said that she had been overworked, and suffered depression when a proposal for reducing the work load remained unimplemented. The . .
CitedJolley v Sutton London Borough Council HL 24-May-2000
An abandoned boat had been left on its land and not removed by the council. Children tried to repair it, jacked it up, and a child was injured when it fell. It was argued for the boy, who now appealed dismissal of his claim by the Court of Appeal, . .
CitedAnthony and others v The Coal Authority QBD 28-Jul-2005
The claimants lived adjacent to an old coal tip, which caught fire spontaneously and burned for three years. They claimed in nuisance. The defendant argued that the risk of spontaneous ombustion was not reasonable, and that the use was safe.
MentionedHone v Six Continents Retail Ltd CA 29-Jun-2005
The employer appealed a finding that it was liable in damages for negligence to the claimant, and employee who suffered psychiatric injury cause by stress at work. He said he had been left to work very excessive hours, between 89 and 92 hours a . .
CitedJohnston v NEI International Combustion Ltd; Rothwell v Chemical and Insulating Co Ltd; similar HL 17-Oct-2007
The claimant sought damages for the development of neural plaques, having been exposed to asbestos while working for the defendant. The presence of such plaques were symptomless, and would not themselves cause other asbestos related disease, but . .
CitedJohnston v NEI International Combustion Ltd; Rothwell v Chemical and Insulating Co Ltd; similar HL 17-Oct-2007
The claimant sought damages for the development of neural plaques, having been exposed to asbestos while working for the defendant. The presence of such plaques were symptomless, and would not themselves cause other asbestos related disease, but . .
CitedDymond v Pearce CA 13-Jan-1972
A motorcyclist crashed into the rear of a lorry stationary on the carriageway. The plaintff said that the parking of the lorry was a nuisance, and that if it had not been so parked, there would have been no accident.
Held: The appeal failed. . .

Lists of cited by and citing cases may be incomplete.

Negligence

Leading Case

Updated: 01 November 2021; Ref: scu.179686