FURNACE OIL DANGEROUS

Press, Volume XCVIII, Issue 29071, 7 December 1959, Page 8

FURNACE OIL DANGEROUS

Court Decision In Australia

(N.Z. Press Association—Copyright) SYDNEY, December 3. The full Supreme Court at New South Wales today held that floating furnace oil, which generally had been regarded as safe, had led to a serious fire on Sydney harbour.

It unanimously dismissed an appeal by the owners of a British ship, who had been ordered to pay damages for fire damage to the wharf and installations at Morts Dock, eight years ago. The appeal had been brought by Overseas Tank Ships (U.K.), Ltd. ( against Morts Dock and Engineering. Co., Ltd. Joint judgment was given by the Senior Puisne Judge (Sir Wilfred Owen), Mr Justice Maquire, and Mr Justice Manning.

Mr Justice Manning gave the Court’s reasons in a 35-page judgment, which is regarded in legal circles as very important. He said the appellant company owned the ship, Waggon Mound, from which a quantity of furnace oil escaped and spread over part of the harbour in October, 1951. Nearly 60 hours later the oil had become ignited under the wharf owned by Morts Dock. Mr Justice Manning said that before this particular fire furnace oil floating on water generally was regarded as safe.

The Judge who originally heard the claim had found the shipowners were negligent and directed the Admiralty Registrar to ascertain the amount of damage to be awarded to the Morts Dock Company, he said. A most extraordinary and unusual chain of circumstances had preceded the fire, Mr Justice Manning said. When a piece of cotton waste fell from the wharf it alighted upon a piece of debris, which acted as a raft. The raft floated or drifted to a position near to where welding was being carried out.

A piece of molten metal fell, struck the oil-soaked waste and stayed in contact with the waste long enough to set it smouldering. At that time, there was a wind of sufficient strength and direction to fan the smouldering waste into flame.

Mr Justice Manning said it might seem unfair, in a moral sense, that the shipowners should be required to make good the loss caused by the resultant fire. But the law justified this, he added.