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Session 2005 - 06
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Standing Committee Debates
Compensation Bill [Lords]

Compensation Bill [Lords]



The Committee consisted of the following Members:

Chairmen: Mr. Peter Atkinson, Mr. Martin Caton
Anderson, Mr. David (Blaydon) (Lab)
Atkins, Charlotte (Staffordshire, Moorlands) (Lab)
Brazier, Mr. Julian (Canterbury) (Con)
Clapham, Mr. Michael (Barnsley, West and Penistone) (Lab)
Foster, Mr. Michael (Worcester) (Lab)
Hamilton, Mr. David (Midlothian) (Lab)
Heald, Mr. Oliver (North-East Hertfordshire) (Con)
Hollobone, Mr. Philip (Kettering) (Con)
Hughes, Simon (North Southwark and Bermondsey) (LD)
Jones, Mr. David (Clwyd, West) (Con)
Jones, Mr. Kevan (North Durham) (Lab)
Linton, Martin (Battersea) (Lab)
Mann, John (Bassetlaw) (Lab)
Öpik, Lembit (Montgomeryshire) (LD)
Prentice, Bridget (Parliamentary Under-Secretary of State for Constitutional Affairs)
Tipping, Paddy (Sherwood) (Lab)
Watkinson, Angela (Upminster) (Con)
Geoffrey Farrar, Gosia McBride, Committee Clerks
† attended the Committee

Standing Committee E

Thursday 22 June 2006

(Morning)

[Mr. Peter Atkinson in the Chair]

Compensation Bill [Lords]

Clause 1

Deterrent effect of potential liability
9 am
Mr. Oliver Heald (North-East Hertfordshire) (Con): I beg to move amendment No. 10, in page 1, line 11, at end add—
‘(2) In determining negligence the court will have regard to—
(a) the extent that the person undertaking the activity obeyed the instructions given by the person providing the activities, and
(b) the influence of drugs or alcohol.'.
The Chairman: With this it will be convenient to discuss the following amendments:
No. 13, in page 1, line 11, at end add—
‘(2) In considering whether an activity is a desirable activity for the purposes of this Part, the court shall have particular regard to whether the claimant—
(a) willingly accepted a risk as his, or
(b) entered onto land or into premises with the intention of committing an offence.
(3) In determining whether a risk was accepted for the purposes of paragraph 2(a) the court shall decide using the same principles as in other cases in which one person owes a duty of care to another.'.
No. 14, in page 1, line 11, at end add—
‘(2) In considering whether an activity is a desirable activity for the purposes of this Part, the court shall have regard to the age of the claimant and in particular whether the claimant is—
(a) under 10 years of age, or
(b) under 14 years of age but can prove that he did not have the capacity to understand the nature of his actions.'.
Mr. Heald: Mr. Atkinson, I reiterate my welcome to the Chair that I gave to you and your brother Chairman, Mr. Caton. It is good to be under your firm but wise leadership.
All three amendments deal with the question of whether the law should encourage the public to behave in a responsible and safe manner when enjoying leisure pursuits. Their purpose is to look at whether there should be a legal duty to comply with safety instructions and similar such points, because it is important that somebody who is under the influence of drugs or alcohol, or behaving in an obviously reckless way, should shoulder the burden rather than others. The British Association of Leisure Parks, Piers and Attractions, the Field Studies Council and others make the point that in other jurisdictions it has been possible to make that more clear than in English law.
New South Wales, for example, has a clear formal position for dealing with claimants who are drunk or under the influence of drugs when they behave in a particular way and damage themselves. In the case of Radcliffe v McConnell Jones and the Governors of Harper Adams Agricultural College, his honour Judge Brunning found the college 60 per cent. liable for the claimant’s tetraplegia. In that case, a student who had been drinking dived into the shallow end of a college swimming pool. The Court of Appeal, in overruling the decision, made the point that the risk—that in diving the claimant might hit his head on the bottom of the pool—was common and obvious to most adults, and that it was important to bear that in mind. One of the judges said:
“It is unfortunate that a number of high spirited young men will take serious risks with their own safety and do things that they know are forbidden. Often they are disinhibited by drink and the encouragement of their friends. It is the danger and the fact that it is forbidden that provides the thrill. But if the risk materialises, they cannot blame others for their rashness”.
Another similar case was Donoghue v Folkestone Properties Ltd. in 2003. Is there scope for clarifying the law and making it clear, as clause 1 does in other contexts, that it would be a defence if people undertaking activities completely ignored the instructions that they were given by, say, the leisure park or organiser of the activity, or were drunk or high on drugs?
Mr. Michael Clapham (Barnsley, West and Penistone) (Lab): Is there not a danger of putting people who are doing a job of work into a difficult position from which it would be difficult to draw back? Let me give the hon. Gentleman the example of a fireman who willingly enters a building as part of his job and is injured. Linking the case to the concept of desirability, if we accept the hon. Gentleman’s proposals, could we not be creating a situation whereby such a person would find that he had accepted the risk?
Mr. Heald: I fully appreciate that it would be a bad thing if that were what I am proposing, but it is not. Amendment No. 10, to which I spoke first, would require the court to have regard to
“the extent to which the person undertaking the activity obeyed the instructions given by the person providing the activities”
and whether the person was under the influence of drugs or alcohol. Neither of those would apply in the case that the hon. Gentleman mentioned. Amendment No. 13 relates to a person who willingly accepts a risk with the intention of committing an offence. Of course the fireman would not intend to commit an offence. Proposed subsection (3) begins:
“In determining whether a risk was accepted for the purposes of paragraph 2(a)”,
which refers back to entering a premises willingly but with the intention to commit an offence. I am alive to the concern raised by the hon. Gentleman, but it need not exist.
One could call amendment No. 13 the Tony Martin defence. It covers a situation in which somebody enters premises willing to commit an offence and thereby exposes himself to risk.
Lembit Öpik (Montgomeryshire) (LD): My reading of amendment No. 13 suggests that proposed subsections (2)(a) and (2)(b) actually work slightly separately. They state that they relate to someone who has
“willingly accepted a risk as his, or ... entered onto land or into premises with the intention of committing an offence.”
Would that not mean that a fireman who enters premises and gets injured in the course of trying to put out a fire would not necessarily find it so easy to sue the owner of the premises? There may be problems in considering compensation for people wounded in the conduct of their work, but it would seem unreasonable for the owner of a house that must necessarily be a danger as it is burning to end up being sued by somebody who is pursuing his work. There are two issues to consider and I suggest that the hon. Gentleman is right to say that the amendment would afford some protection against vexatious claims.
Mr. Heald: I am certainly always willing to be corrected on my interpretation of my amendments, and if the Minister says that I have got it wrong and wants to come up with an even better version on Report, nobody will be happier than I.
Angela Watkinson (Upminster) (Con): As the debate has turned to firefighters and my youngest daughter is a firefighter, I feel compelled to contribute.
There is always a leading hand or senior officer in charge of proceedings in a dangerous situation. There may be a case in which firefighters who have entered a building and are in communication with the organisers of the operation outside encounter unforeseen circumstances. They then have to make a quick decision on their own back. I am not sure how legislation can account for such a situation or who could be held responsible should those firefighters sustain injury having acted in accordance with their training and made a sudden decision that takes account of circumstances unknown to the leading hand outside. Such a case might come under the Health and Safety at Work, etc. Act 1974. How can such circumstances be accounted for?
Mr. Heald: That makes me think a little more about the point that the hon. Member for Montgomeryshire (Lembit Öpik) made. I believe that under the law of negligence it has always been the case that if somebody is working in their normal job, going about lawful activities and is injured, and there is fault, the employer can be found liable for damages. However, it has always been said that if the worker acts wholly outside the normal ambit of his work and does something reckless or completely out of line with his duties—I think it was called a “frolic of his own” in a case called Hilton v. Thomas Burton (Rhodes) Ltd.—the workman cannot say to the employer, “Look, it’s your system of work or the way you’ve employed me that is the root of the problem”. It was always open to the employer to use the defence, “You acted outside your instructions in a way that wasn’t envisaged.” It is important that that protection should remain, provided that it is properly decided on. The hon. Gentleman’s point is a good one. If the amendment is not drafted as well as it should be, I know that the Minister will tell me. However, the point about accepting risk—or acting in a criminal way—is that there should be a defence available for the occupier or employer.
The final amendment in the group deals with the situation of children. It is an attempt to consider the duty that applies, even to trespassers, under the Occupiers Liability Act 1984 and to reflect a view of the current situation and the intention of that Act. The case of British Railways Board v. Herrington led to that law. A child of six trespassed over a broken fence and was injured. It was found that the British Railways Board was liable because it was an obvious risk that a child would go over the fence to roam and explore. The intention of the amendment is to restrict the application of that measure to children. We can all understand that a child is likely to climb over a fence if it is not high enough. The amendment aims to say that while, yes, if a child is involved, there should be liability, if someone older—perhaps someone in their late teens or older—acts recklessly and goes on to land, the situation is different. I am interested to hear the Minister’s views on that.
The basic point that I am trying to make in the group of amendments is that individuals should have some responsibility to behave responsibly. There have been dreadful examples of people behaving recklessly in leisure parks. As a society, we believe that individuals should take responsibility for their actions. The question is whether the law can be improved in these three areas.
Mr. Julian Brazier (Canterbury) (Con): I welcome you to the Chair, Mr. Atkinson. The issues that we are dealing with are fundamental to the workings of the first part of the Bill.
I start by making a quick point that reinforces that made by my hon. Friend the Member for North-East Hertfordshire (Mr. Heald) about firefighters. I have great respect for firefighters. My constituency headquarters burned down just before a general election. A young man was a tenant in the floor upstairs. The firemen arrived and had a terrible battle with the blaze—although none of them was injured—and the building was completely gutted. The student’s car was outside and we thought that we had a tragedy on our hands, but mercifully it transpired that he was sleeping elsewhere that night.
There is a parallel with the armed forces. I ask my hon. Friend and the hon. Member for Barnsley, West and Penistone (Mr. Clapham) to bear in mind that we are dealing with claims of negligence and of breach of statutory duty. The normal route for a fireman injured on duty would not, of course, be a negligence claim against his employer any more than would the normal route for a soldier injured in action be a negligence claim against the Army. The point is well made, but it is not that a fireman, through using his initiative and seeing that he had to do something outside his instructions, would lose the framework of protection for people injured on duty. Far from it. We are dealing with negligence claims that are issued against people who break the law, behave grossly irresponsibly in disobeying instructions, or are drunk or drugged.
9.15 am
As I did on a number of occasions in our previous sitting, I quote Andrew Caplan, the legal adviser to the Scouts. He says:
“I am aware that the matters listed below may be taken into consideration currently by the court when considering the question of contributory negligence but the law on contribution often allows the courts to make an award to the claimant whilst recognising he was in part to blame for his own misfortunes. The problem for the defendant is that they have to proceed through the whole litigation process incurring significant costs and the discount for contribution is usually very small. In addition the defendant has to pay all the claimant’s and his own costs which together far outweigh the cost of the damages in the majority of cases.”
My hon. Friend cited BALPPA, which says:
“the law should encourage the public to behave in a responsible and safe manner when enjoying leisure pursuits. This would place participants under a legal duty to comply with the safety instructions they receive both visually and verbally when enjoying leisure pursuits. Whilst the current law provides a system of contributory negligence, the Courts seldom make a finding especially where the claimant is a child under the control of the parent at the material time. Even where a finding is made, it is almost unheard of for the amount to exceed 50 per cent. and more often the figure is around 20 per cent. and fails to reflect an individual's responsibility.”
Let me relate that to a particular example. I have twice taken my children to a commercial leisure activity centre with the rather colourful name “Going Ape”. Visitors have two safety ropes attached to them and run around through a series of obstacles up in the trees. First, a simple model is used to show the children how to operate the equipment, after which their parents supervise them as they go round. As somebody with quite a lot of experience of such activity from the airborne forces, I must say that the safety standards in both the parks that I visited were extremely high.
I have a horrible suspicion, however, that the time will come when a parent manifestly fails to do the simple check that they should do before their child attempts each obstacle, and the child will be injured. Given the heights involved, the accident could be very serious, and the operation would probably close if a successful case were brought against it. Such operations offer teenagers the opportunity, under strictly controlled safety conditions, to have a hell of a lot of fun, but the court will not take into account the fact that teenagers who are not offered such opportunities—I will not go over the same ground as last time—will often find other, far more dangerous ways to amuse themselves.
BALPPA goes on to say that the Colorado ski industry in the USA was saved from closure by a change in the law. A series of claims was successfully brought against the industry, but it is now written into the law in Colorado that those who disobey the clear notices telling them to ski on piste and so on cannot bring a negligence case against the ski slope operators. In Australia, as my hon. Friend mentioned, many states have rewritten their laws on negligence. The wording in Western Australia reminds the court that personal negligence can be responsible for 100 per cent. of the case.
Let me end by giving an example of a case that did not go to court. It involves the British Canoe Union, which settled the case on legal advice. The BCU sent details of the case to me because it was concerned about that legal advice. It was told that it had to settle the case; otherwise it would face a long and costly court case, which it was likely to lose. The BCU says that, in its marathon two years ago,
“crews were competing over a 30 mile course in racing kayaks. Part of the course passed through a narrow, half-mile long cutting. A volunteer marshal was positioned at each end of the cutting to warn crews entering it about any powered craft which could present a danger to it.
A power boat entered the cutting and four minutes later a kayak arrived at the cutting travelling in the same direction. The marshal”,
who was standing on the bank,
“allowed it to enter on the strict understanding that there was a powered craft in the cutting and that they should not try to overtake it.”
There was no question but that they had heard the instruction, but they ignored it and overtook the boat. Fortunately, no one was injured, but there was a collision and the power boat was severely damaged. The BCU said:
“A claim was made against the volunteer marshal alleging he should have assumed the crew would have ignored his instruction and he was therefore negligent.”
Bearing in mind the background—which is that although one can bring contributory negligence in court, it almost never exceeds 50 per cent, and rarely exceeds 20 per cent—it was good legal advice that the marshal would be better off settling than fighting back. The BCU’s insurers paid up, but the result has been a substantial increase in insurance costs for all subsequent races, and the volunteer in question will never offer his services again.
My hon. Friend made it clear to the Committee that he is not particularly wedded to his wording; if the Government want to improve on it, that is fine. If we want a country in which young people have the opportunity to take risks, we must make sure that the courts do not penalise those who, whether as volunteers—that is my main concern—or in a commercial context, provide the opportunity for young people to take risks in a properly structured way. On the very rare occasions when some of them behave grossly irresponsibly—when they are drunk, manifestly disobeying instructions or whatever—the courts should not penalise the organisers, because if they do, we will go down the route of losing even more of the remaining adventure training opportunities. The result will not be fewer tragedies, as even the Royal Society for the Prevention of Accidents has pointed out; youngsters will go off and find alternatives, in canals and pools and on railway lines, and in other unsupervised activities, and so there will be far more tragedies, not fewer.
 
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Prepared 23 June 2006