Facts

• A farmer imported potato seeds infected with bacteria
• Bacteria spread and damaged crops, damaging reputation
• This meant the farmers were unable to sell their potatoes
• They brought an action against the farmer

Issue

• Did the farmer owe a duty of care?

Held

• There was a duty of care
• He was liable for the losses
• Where a D knows, or is likely to know, that his conduct is likely to cause harm to person or property, he must take reasonable care
• Where economic loss is suffered, courts are hesitant to impose but, there were significant factors;

The vulnerability of the P, the control of the D, the D’s knowledge of the P and their circumstances and the physical proximity between the parties.

• Vulnerability was significant; farmers couldn’t protect themselves.
• There was a high level of control by the D.

-- Download Perre v Apand (1999) 198 CLR 180 as PDF --

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