Without an admission of liability, or if an insurer simply denies liability, no rights to payment arise. At least an insurer in Queensland has to address the issue. The NSW Act ought to be amended accordingly. If liability is denied, the facts of the case ought to be submitted to an independent legal expert for a ruling before litigation is commenced. If the liability issue remains unresolved, the plaintiff, on commencing litigation, ought to be able to elect to have liability determined separately and expeditiously without having to file a Notice of Motion or comply with s.50A or Practice Note 33.
Accidents generally occur very quickly.
Any protracted delay in hearing the facts on liability is likely to cause a miscarriage of justice due to failing memories, change of road conditions, un-contactable witnesses and destroyed or lost records. Obviously if liability is determined in favour of the defendant both parties will save considerable expense in not having to obtain and present evidence in relation to the assessments of damages. The Law Society of New South Wales is the professional association for the solicitors branch of the legal profession in the State of New South Wales, Australia. 170 Phillip Street, Sydney NSW 2000, Australia.