Case: Telstra Corporation Ltd v Hannaford [2006] FCAFC 87 ; (2006) 151 FCR 253
Outcome: cited
applicant contended that this approach was contrary to the evidence and contrary to the principles in Lees , which have not been disturbed by the decision in Telstra Corporation Ltd v Hannaford [2006] FCAFC 87 ; (2006) 151 FCR 253 and which have been followed in Australian Postal Corporation v Mowbray &amp; Anor [2003] FCA 1258 ; (2003) 77 ALD 440, Oudyn and Duong v Australian Postal Corporation (2005) 41 AAR 288. Finally, Comcare submitted that, on any view, the Tribunal had before it a reviewable decision that presently refused the applicant compensation under ss 16 and 20 of the SRC Act for the condition of 'adjustment disorder with features of anxiety and depression'. The Tribunal was not simply limited to considering the case within the four corners of a diagnosis that had been accepted previously if it was no longer apt. It was entitled to consider the evidence available to it and assess whether or not liability should be found for another mental condition that had emerged in the ongoing progress of the case: Hannaford , per Heerey J at [10] and [11]. There is no doubt, in my view, that the first tier decision-maker, Ms Failla, in making her determinations of 25 October 2005, relied on and embraced as reasons for her decision, the 'Statement of Reasons' referred to in and accompanying her proposal letter to the applicant of 3 February 2004. That statement contained the following relevant observations and findings: '56. Dr Brown further opined on the balance of probabilities Mr Buhr's Delusional Disorder is not related to his employment with the Commonwealth, but rather the expression of a constitutional predisposition prior to his employment with the Commonwealth and a progression of that psychological constitution's reaction to ongoing situations as he perceived them. The only connection to his Commonwealth employment is that his delusions are focused on this and he would be sensitive to any perception that he was rejected, considered inferior, was under threat or discriminated against. In terms of fitness for employment Dr Brown was of the opinion that Mr Buhr is not psychologically fit for any employment due to his Delusional Disorder. ... 60. In order for compensation to be payable under the SRC Act, it must be established that an employee:- (i) suffered an injury arising out of, or in the course of, that employment: or (ii) suffered an ailment or the aggravation of any such ailment that was contributed to in a material degree by the employment. 61. The weight of the evidence suggests that Mr Buhr is no longer suffering a condition that arose out of or materially contributed by his Commonwealth employment. The condition Mr Buhr now suffers from is as a result of constitutionally acquired paranoid personality disorder, which has manifested into a Delusional Disorder. Both specialist Dr Brown and Dr Greenway are of the opinion that Mr Buhr suffers from a Delusional Disorder that has been brought about by his own perception regarding events associated with his Commonwealth employment. ... 62. With regard to the mental condition I note that a number of allegations made regarding the cause of Mr Buhr's mental condition have been refuted or have been unfounded (refer point 15 &amp; 42) and therefore supports the fact that it is his own perception of the events. Examples of these include conspiracy within the Public Service against him, audited by the tax department as a gesture of victimisation, persecuted by denying him a transfer on medical grounds, refused training. Including (as reported to Dr Brown and Dr Greenway) that he was threatened and that the Assistant Manager placed a needle in his arm and injected a material which would cause him to develop cancer. 63. ... I accept on the basis of the medical doctors and specialist opinion that Mr Buhr may have suffered from this condition, however the "adjustment disorder" that was caused by his Commonwealth employment has now ceased and the condition Mr Buhr now currently suffers from namely "Delusional Disorder" is as a result of a constitutional predisposition. ... 69. Based on the evidence above and the requirements of the SRC Act 1988 I propose to determine that Mr Buhr suffered an "adjustment disorder" and a "strained neck" as a result of his Commonwealth employment. However the conditions suffered have since ceased and the condition Mr Buhr now currently suffers from is a "delusional disorder" which is constitutional rendering him totally unfit for employment.' In my view, a fair reading of the Statement of Reasons, in particular the passages extracted in [33] above, would lead one to conclude that Ms Failla, as the first tier decision-maker, did determine that Comcare had no liability under s 14 of the SRC Act for the applicant's current (at that time) injury of delusional/paranoid disorder because it was '... not related to his employment with the Commonwealth, but rather the expression of a constitutional predisposition prior to his employment by the Commonwealth and a progression of that psychological constitution's reaction to ongoing situations as he perceived them'.