IRAC Example
IRAC Example 2:
Hilift Pty Ltd (Hilift) owns an industrial crane. Hilift employs two crane operators, Elwyn and Osman, who each work 4 hour shifts. In May 2008 the owner/builder of a new apartment block hires Hilift’s crane and operators for two weeks to lift building materials to the upper floors of their building. At the end of the first shift on the 10 May, Elwyn notifies the manager of Hilift that the crane is not performing properly and that it needs looking at. The manager contacts the company who does repairs and maintenance work on the crane, EFL Engineering, and asks for an engineer to be sent out immediately. EFL says that no-one is available for two hours. The manager of Hilift decides to allow Osman to begin his shift before the engineer arrives, since to stop work will delay construction. Osman is halfway through hoisting his first load when a cable in the crane snaps and the crane swings out of control, smashing into a lower floor of the building. Two construction workers in the building are injured. One has both legs crushed and they have to be amputated. The other worker will be hospitalised for a long time with serious injuries but will make a full recovery. The building is damaged by the accident and will cost $75,000 to repair. The construction of the building is delayed by three months because of the accident, and for this period the expected income from tenants is lost. Osman is deeply traumatized by these events and cannot bring himself to drive a crane again. After a period of six months without employment, during which he receives psychiatric treatment, Osman takes lower paid work as a general construction worker. A subsequent inspection of the crane finds that the fault in the cable would have been discovered if an engineer had inspected the crane after Elwyn’s shift had ended. To replace this cable would have taken six hours.
Advise Hilift as to whether, and to what extent, the company will be liable in tort for the harm
Hilift Pty Ltd (Hilift) owns an industrial crane. Hilift employs two crane operators, Elwyn and Osman, who each work 4 hour shifts. In May 2008 the owner/builder of a new apartment block hires Hilift’s crane and operators for two weeks to lift building materials to the upper floors of their building. At the end of the first shift on the 10 May, Elwyn notifies the manager of Hilift that the crane is not performing properly and that it needs looking at. The manager contacts the company who does repairs and maintenance work on the crane, EFL Engineering, and asks for an engineer to be sent out immediately. EFL says that no-one is available for two hours. The manager of Hilift decides to allow Osman to begin his shift before the engineer arrives, since to stop work will delay construction. Osman is halfway through hoisting his first load when a cable in the crane snaps and the crane swings out of control, smashing into a lower floor of the building. Two construction workers in the building are injured. One has both legs crushed and they have to be amputated. The other worker will be hospitalised for a long time with serious injuries but will make a full recovery. The building is damaged by the accident and will cost $75,000 to repair. The construction of the building is delayed by three months because of the accident, and for this period the expected income from tenants is lost. Osman is deeply traumatized by these events and cannot bring himself to drive a crane again. After a period of six months without employment, during which he receives psychiatric treatment, Osman takes lower paid work as a general construction worker. A subsequent inspection of the crane finds that the fault in the cable would have been discovered if an engineer had inspected the crane after Elwyn’s shift had ended. To replace this cable would have taken six hours.
Advise Hilift as to whether, and to what extent, the company will be liable in tort for the harm