Australia: Security guard injured in trolley mishap fails against his employer and the club occupier - 16 February 2016

Last Updated: 18 February 2016
Article by Brooke Jacobs

South Sydney Junior Rugby League Club Ltd v Gazis [2016] NSWCA 8

In this Alert, Special Counsel Brooke Jacobs considers the scope of duty owed by employer and occupier and the necessity for workers to prove that any breach of duty was causative of harm. Consideration is also given to the narrow interpretation of an insurance exclusion for injury to employees of subcontractors.

The facts

The plaintiff was employed by MPS Security Pty Ltd (MPS) as a security officer. South Sydney Rugby League Club (the Club) contracted Semacs Australia Pty Ltd (Semacs) to provide security at the Club premises. Semacs obtained the services of the plaintiff from MPS and the plaintiff was deployed to the Club to act as a security officer.

The Plaintiff suffered injuries when he was moving a large trolley used to transport the poker machine takings at the Club. He lost his grip and fell backwards, injuring his back.

Relevantly, the evidence demonstrated that moving the trolley did not form part of the plaintiff's employment duties and MPS, Semacs and the Club were unaware that the plaintiff engaged in moving the trolley. The trolley had six swivel wheels and when laden (which it was not at the time), weighed at least 90kg.

The plaintiff commenced proceedings seeking damages for personal injuries against MPS (employer), Semacs (host) and the Club (occupier).

The decision at first instance

The plaintiff settled the case against Semacs on the first day of trial, however, MPS and the Club maintained cross claims against Semacs.

Interestingly, the trial judge did not accept that Semacs acquired the services of the plaintiff from MPS under a contract of labour hire.

The was relevant to Semacs' insurer HCC, which sought to rely on an exclusion in its policy with respect to claims for injury "to employees of subcontractors arising out of or in the course of his/her employment in your (Semacs') business."

The trial judge rejected that HCC was entitled to rely upon the exclusion.

At first instance, the trial judge found in favour of the plaintiff and apportioned liability 25% to MPS and 75% to the Club.

MPS and the Club appealed against the finding that they were liable, arguing that Semacs should be liable to contribute and/or that the assessment of damages was in error. HCC challenged the finding that it was not able to rely upon the exclusion by way of notice of contention.

The decision on appeal

The New South Wales Court of Appeal upheld the appeal by MPS and the Club as it related to primary liability.

Justice Basten (at pp22) found that the arrangement between MPS and Semacs was clearly a contract for labour hire. However, in circumstances where the plaintiff was provided under a contract for labour hire (as opposed to being a person working as an employee of a contractor), HCC was not entitled to rely upon the policy exclusion.

In relation to the Club, whilst the court accepted that the Club owed a duty, it found that the exercise of reasonable care did not require the Club to direct the plaintiff to desist in moving the laden trolley in circumstances where it was unaware that the plaintiff was doing so and any risks posed were obvious, but remote.

In relation to the awareness of the Club that the plaintiff was moving the trolley, the court noted that "it is not correct that the knowledge of every employee of the company, particularly as to the activities of independent contractors having different functions on the company's premises, becomes the knowledge of the company" and referred to Nationwide News Pty Ltd v Naidu [2007] 71 NSWLR, where the court found that the whether the knowledge of a particular person should be imputed to the corporation depends on the scope of that person's employment.

In relation to MPS, the court accepted that, as the employer, it owed a non delegable duty of care and was in breach of it by virtue of its failure to inspect the environment the plaintiff was working in. However, the court held that the breach was not causative of the accident, because even on reasonable inspection by the employer, any risk posed by the trolley would not have been identified.

Key take away points

  • Employers owe a non delegable duty of care to workers deployed to work at sites controlled by others
  • For a claim to succeed against an employer, a breach of its non delegable duty (for instance, for failing to inspect the workplace) must cause the harm
  • The scope of an occupier's duty is lesser and the courts will look to what the occupier knew or ought to have known about the risk that manifested and caused the harm
  • Courts continue to make narrow distinctions to avoid giving effect to insurance exclusions – in this case, it distinguished between an employee provided under a contract of labour hire and a subcontractor's employee.

© HopgoodGanim Lawyers

Award-winning law firm HopgoodGanim offers commercially-focused advice, coupled with reliable and responsive service, to clients throughout Australia and across international borders.

2015 AFR Beaton Client Choice Awards:
Best Law Firm (revenue $50m - $200m)
Best Professional Services Firm (revenue $50m - $200m)

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

To print this article, all you need is to be registered on

Click to Login as an existing user or Register so you can print this article.

Brooke Jacobs
Some comments from our readers…
“The articles are extremely timely and highly applicable”
“I often find critical information not available elsewhere”
“As in-house counsel, Mondaq’s service is of great value”

Related Video
Up-coming Events Search
Font Size:
Mondaq on Twitter
Register for Access and our Free Biweekly Alert for
This service is completely free. Access 250,000 archived articles from 100+ countries and get a personalised email twice a week covering developments (and yes, our lawyers like to think you’ve read our Disclaimer).
Email Address
Company Name
Confirm Password
Mondaq Topics -- Select your Interests
 Law Performance
 Law Practice
 Media & IT
 Real Estate
 Wealth Mgt
Asia Pacific
European Union
Latin America
Middle East
United States
Worldwide Updates
Check to state you have read and
agree to our Terms and Conditions

Terms & Conditions and Privacy Statement (the Website) is owned and managed by Mondaq Ltd and as a user you are granted a non-exclusive, revocable license to access the Website under its terms and conditions of use. Your use of the Website constitutes your agreement to the following terms and conditions of use. Mondaq Ltd may terminate your use of the Website if you are in breach of these terms and conditions or if Mondaq Ltd decides to terminate your license of use for whatever reason.

Use of

You may use the Website but are required to register as a user if you wish to read the full text of the content and articles available (the Content). You may not modify, publish, transmit, transfer or sell, reproduce, create derivative works from, distribute, perform, link, display, or in any way exploit any of the Content, in whole or in part, except as expressly permitted in these terms & conditions or with the prior written consent of Mondaq Ltd. You may not use electronic or other means to extract details or information about’s content, users or contributors in order to offer them any services or products which compete directly or indirectly with Mondaq Ltd’s services and products.


Mondaq Ltd and/or its respective suppliers make no representations about the suitability of the information contained in the documents and related graphics published on this server for any purpose. All such documents and related graphics are provided "as is" without warranty of any kind. Mondaq Ltd and/or its respective suppliers hereby disclaim all warranties and conditions with regard to this information, including all implied warranties and conditions of merchantability, fitness for a particular purpose, title and non-infringement. In no event shall Mondaq Ltd and/or its respective suppliers be liable for any special, indirect or consequential damages or any damages whatsoever resulting from loss of use, data or profits, whether in an action of contract, negligence or other tortious action, arising out of or in connection with the use or performance of information available from this server.

The documents and related graphics published on this server could include technical inaccuracies or typographical errors. Changes are periodically added to the information herein. Mondaq Ltd and/or its respective suppliers may make improvements and/or changes in the product(s) and/or the program(s) described herein at any time.


Mondaq Ltd requires you to register and provide information that personally identifies you, including what sort of information you are interested in, for three primary purposes:

  • To allow you to personalize the Mondaq websites you are visiting.
  • To enable features such as password reminder, newsletter alerts, email a colleague, and linking from Mondaq (and its affiliate sites) to your website.
  • To produce demographic feedback for our information providers who provide information free for your use.

Mondaq (and its affiliate sites) do not sell or provide your details to third parties other than information providers. The reason we provide our information providers with this information is so that they can measure the response their articles are receiving and provide you with information about their products and services.

If you do not want us to provide your name and email address you may opt out by clicking here .

If you do not wish to receive any future announcements of products and services offered by Mondaq by clicking here .

Information Collection and Use

We require site users to register with Mondaq (and its affiliate sites) to view the free information on the site. We also collect information from our users at several different points on the websites: this is so that we can customise the sites according to individual usage, provide 'session-aware' functionality, and ensure that content is acquired and developed appropriately. This gives us an overall picture of our user profiles, which in turn shows to our Editorial Contributors the type of person they are reaching by posting articles on Mondaq (and its affiliate sites) – meaning more free content for registered users.

We are only able to provide the material on the Mondaq (and its affiliate sites) site free to site visitors because we can pass on information about the pages that users are viewing and the personal information users provide to us (e.g. email addresses) to reputable contributing firms such as law firms who author those pages. We do not sell or rent information to anyone else other than the authors of those pages, who may change from time to time. Should you wish us not to disclose your details to any of these parties, please tick the box above or tick the box marked "Opt out of Registration Information Disclosure" on the Your Profile page. We and our author organisations may only contact you via email or other means if you allow us to do so. Users can opt out of contact when they register on the site, or send an email to with “no disclosure” in the subject heading

Mondaq News Alerts

In order to receive Mondaq News Alerts, users have to complete a separate registration form. This is a personalised service where users choose regions and topics of interest and we send it only to those users who have requested it. Users can stop receiving these Alerts by going to the Mondaq News Alerts page and deselecting all interest areas. In the same way users can amend their personal preferences to add or remove subject areas.


A cookie is a small text file written to a user’s hard drive that contains an identifying user number. The cookies do not contain any personal information about users. We use the cookie so users do not have to log in every time they use the service and the cookie will automatically expire if you do not visit the Mondaq website (or its affiliate sites) for 12 months. We also use the cookie to personalise a user's experience of the site (for example to show information specific to a user's region). As the Mondaq sites are fully personalised and cookies are essential to its core technology the site will function unpredictably with browsers that do not support cookies - or where cookies are disabled (in these circumstances we advise you to attempt to locate the information you require elsewhere on the web). However if you are concerned about the presence of a Mondaq cookie on your machine you can also choose to expire the cookie immediately (remove it) by selecting the 'Log Off' menu option as the last thing you do when you use the site.

Some of our business partners may use cookies on our site (for example, advertisers). However, we have no access to or control over these cookies and we are not aware of any at present that do so.

Log Files

We use IP addresses to analyse trends, administer the site, track movement, and gather broad demographic information for aggregate use. IP addresses are not linked to personally identifiable information.


This web site contains links to other sites. Please be aware that Mondaq (or its affiliate sites) are not responsible for the privacy practices of such other sites. We encourage our users to be aware when they leave our site and to read the privacy statements of these third party sites. This privacy statement applies solely to information collected by this Web site.

Surveys & Contests

From time-to-time our site requests information from users via surveys or contests. Participation in these surveys or contests is completely voluntary and the user therefore has a choice whether or not to disclose any information requested. Information requested may include contact information (such as name and delivery address), and demographic information (such as postcode, age level). Contact information will be used to notify the winners and award prizes. Survey information will be used for purposes of monitoring or improving the functionality of the site.


If a user elects to use our referral service for informing a friend about our site, we ask them for the friend’s name and email address. Mondaq stores this information and may contact the friend to invite them to register with Mondaq, but they will not be contacted more than once. The friend may contact Mondaq to request the removal of this information from our database.


This website takes every reasonable precaution to protect our users’ information. When users submit sensitive information via the website, your information is protected using firewalls and other security technology. If you have any questions about the security at our website, you can send an email to

Correcting/Updating Personal Information

If a user’s personally identifiable information changes (such as postcode), or if a user no longer desires our service, we will endeavour to provide a way to correct, update or remove that user’s personal data provided to us. This can usually be done at the “Your Profile” page or by sending an email to

Notification of Changes

If we decide to change our Terms & Conditions or Privacy Policy, we will post those changes on our site so our users are always aware of what information we collect, how we use it, and under what circumstances, if any, we disclose it. If at any point we decide to use personally identifiable information in a manner different from that stated at the time it was collected, we will notify users by way of an email. Users will have a choice as to whether or not we use their information in this different manner. We will use information in accordance with the privacy policy under which the information was collected.

How to contact Mondaq

You can contact us with comments or queries at

If for some reason you believe Mondaq Ltd. has not adhered to these principles, please notify us by e-mail at and we will use commercially reasonable efforts to determine and correct the problem promptly.