Case No. HQ12X03121 IN THE HIGH COURT OF JUSTICE QUEEN'S BENCH DIVISION FATAL LUNG CANCER BETWEEN: PROFESSOR CARL HENEGHAN (Son and Executor of the Estate of James Leo Heneghan, deceased) Claimant - and (1) (2) (3) (4) (5) (6) MANCHESTER DRY DOCKS LIMITED 00722056 LIMITED CARILLION CONSTRUCTION (CONTRACTS) LIMITED R. BLACKETT CHORLTON LIMITED S.C. CHEADLE HULME LIMITED KELLOGG BROWN & ROOT LIMITED Defendants _____________________________________________________ BRIEFING NOTE _____________________________________________________ - High Court applies Fairchild to multi-party lung cancer cases - PERMISSION TO APPEAL TO COURT OF APPEAL - 1. Judgement was handed down today (11th December 2014) in the case of Heneghan. 2. Mr Justice Jay has applied the Fairchild principle to liability in a multi-party lung cancer case. -2The Facts 3. James Heneghan died of lung cancer on 3rd January 2013. He was survived by his widow who is herself unwell. 4. Mr Heneghan was exposed to an aggregate dose of 133 fibres/ml years of asbestos. 5. The six Defendant tortfeasors were responsible for 46.9 fibres/ml years’ exposure, approximately 35.2% of the total. Their individual contributions ranged from 10.1% to 2.5% of total exposure. The Issue 6. The remaining issue when the matter came before the High Court was whether the Claimant was entitled to recover against each Defendant in full, or only an apportionment according to that Defendant’s contribution to total exposure. The Arguments 7. The Claimant and the Defendants were agreed that Mr Heneghan had contracted and died from asbestos-related lung cancer – the overall dose of 133 fibres/ml years was more than enough to double the risk. 8. The Claimant then argued, supported by the evidence of Dr Rudd, that he was entitled to full recovery against each Defendant, on the basis that each had made a material contribution to his cancer. 9. The Defendants, supported by the evidence of Dr Moore-Gillon, argued that only contribution to risk and not to cause could be proved, so that the Fairchild principle should apply and that liability should therefore be apportioned consistent with the decision in Barker (not reversed for lung cancer cases by section 3 Compensation Act 2006). -3The Result in the High Court 10. The High Court has accepted the Defendants’ arguments, on the basis that ‘… lung cancer and mesothelioma are legally indistinguishable.’ 11. Jay J found that the Claimant was not able to prove causation of actual injury against any tortfeasor, despite this being an asbestos-related lung cancer. All that could be proved was a contribution to risk, so that it was appropriate to apply the Fairchild principle. Practical Implications 12. There are two stages in proving causation in a lung (and any other comparable) cancer claims. 13. A Claimant must first establish that the overall dose more than doubles the risk, proving that the lung cancer is asbestos-related. 14. At the second stage, where no tortfeasor is responsible for more than 50% of the overall dose, the Claimant recovers against each such tortfeasor a portion of his / her damages according to that tortfeasor’s contribution to the overall dose. 15. Accordingly, where there is an asbestos-related cancer (the first stage), the Claimant succeeds against each tortfeasor who has made a material contribution to the overall dose, to the extent of that contribution (the second stage). 16. Section 3 Compensation Act 2006 does not apply to a lung cancer case so as to reverse the effect of Barker. Accordingly, if Barker remains good law (something that is likely to be considered by the Supreme Court in the Zurich Insurance v IEGL appeal to be re-heard in January 2015) then there will be an apportionment. 17. Insurers will also be able to argue that they are only liable to indemnify their insured according to the period that they are on cover. -418. Where there is a tortfeasor responsible for more than 50% of the overall dose, the High Court has suggested (at paragraph 61) that a Claimant could recover in full against them, on the basis that it can be shown that they have caused the disease on the balance of probabilities. 19. The same principle would apply if there was an insurer of such a tortfeasor, on cover for more than 50% of the exposure. Appeal 20. Permission has been given to appeal to the Court of Appeal - the case was recognised by the High Court as ‘giving rise to problems of some difficulty and importance’ . 21. The appeal is to be expedited, given the widow’s poor state of health. 22. The Claimant will argue that mesothelioma and lung cancer are materially different diseases and that the High Court was wrong to extend the Fairchild principle to lung cancer claims. Causation in full can be proved on a conventional basis. 23. In the meantime, it may be worth considering a stay in multi-party lung cancer claims. DAVID ALLAN, QC. SIMON KILVINGTON