Vranken, Martin --- "The Relevance of Civil Law Doctrines in Australian Courts: Some Examples from Contract and Tort" [1999] UNSWLawJl 39; (1999) 22(1) UNSW Law Journal 1

[*] Lic in Law, PhD (Leuven), LLM (Yale), Associate Professor, The University of Melbourne.

[1] O Kahn-Freund, "Comparative Law as an Academic Subject" (1966) 82 LQR 40.

[2] The so-called problem of transplantability has been identified and analysed by 0 Kahn-Freund, "On Uses and Misuses of Comparative Law" (1974) 37 MLR 1.

[3] This exercise in law reform logically extends to judge made laws as well as laws based on statute. Interestingly, it is said to be more popular in England than elsewhere. See H Collins, "Methods and Aims of Comparative Contract Law" (1991) 11 Oxf J Legal Studies 396.

[4] The celebrated French comparative scholar Andre Tunc describes this benefit of comparativism in terms of

an enrichment and an opening-up of the mind ("La culture et l'ouverture d'esprit^" ): A Tunc,

"L'Enseignement du droit compare: presentation^" (1988) 40 Revue internationale de droit compare 703.

[5] For a fuller treatment, see M Vranken, Fundamentals of European Civil Law and Impact of the European

Community, The Federation PressBlackstone Press (1997) pp 2-10.

[6] Examples of a willingness to accept that German legal principles, in particular, may be relevant for law reform in Australia are said to include litigation, restitution, and the doctrine of proportionality: A Marfording, "Federalism and Judicial Review in Germany: Lessons for Australia?" (1998) 21 UNSWU 155 at 156.

[7] M Vranken, "The Relevance of European Community Law in Australian Courts" (13) [1993] MelbULawRw 19; 19 MULR 431.

[8] [19321 AC 562.

[9] Hill v Van Erp (1996-97) 188 CLR 159.

[10] Esanda Finance Corporation v Peat Marwick Hungerfords (1996-97)188 CLR 241.

[11] Note 9 supra.

[12] Note 10 supra.

[13] This was of paramount significance for Dawson J in the Esanda case: note 10 supra at 254. The now classic expression of concern that liability in negligence for pure economic loss might expose defendants to liability "in an indeterminate amount for an indeterminate time to an indeterminate class" originated in the dictum by Cardozo CJ in the American case of Ultramares Corporation v Touche 255 NY 170; 174 NE 441 at 444 (1931).

[14] Deane J has observed that in many commercial or financial transactions there exists "a correlation between the attainment of personal On for one's self and the sustainment of economic loss by another": Sutherland Shire Council v Heyman [1985] HCA 41; (1985) 157 CLR 424 at 503.

[15] Note, however, that the former Chief Justice of Australia, Sir Anthony Mason, has identified the desire to preserve tort and contract as separate fields of liability as a major factor in explaining the cautious approach of the English courts, in particular, to permitting recovery for economic loss. His argument reflects a narrower conception of the judicial mle in England as compared to Australia Canada and New Zealand. See Sir A Mason, "The recovery and calculation of economic loss" in NJ Mullany (ed), Tons in the nineties, Law Book Co (1997) pp 7-8.

[16] BS Markesinis and S Deakin, '°I he Random element in their Lordships' Infallible Judgment: An Economic and Comparative Analysis of the Tort of Negligence from Anns to Murphy" (1992) 55 MLR 619 at 633.

[17] See, in particular, BS Markesinis, "Five Days in the House of Lords: Some Comparative Reflections on White v Jones" (1995) 3 TV 169. See, more generally, BS Markesinis, The German Law of Torts: A comparative Introduction, Clarendon Press (3rd ed, 1994; with corrections and additions in 1997) p 194.

[18] Elsewhere in the civil law, eg in Germany, Switzerland and even the Netherlands, tort liability is phrased in more relative terms that are reminiscent of the (equally relative) common law duty of care. See in this regard J Herbots, "Le 'duty of care' et le dommage purement financier en droit compare", (1985) 62 Revue de droit international et de droit compare 52.

[19] Colmar, 20 April 1955, D, 1956, 723, note R Savatier.

[20] "Considering that anyone, whether they be a physical or a moral person, who suffers injury, irrespective of its nature, is legally entitled to receive compensation from the person whose fault caused the harm .." (emphasis added): ibid at 724.

[21] !bid at 724: "la desorganisation de 1'equipe, consequence directe de la mon de Kemp (the soccer player), est une source de prejudice certain, dont le FCM (the soccer club) est en droit de demander reparation" (emphasis added).

[22] Ibid at 725.

[23] Code civil, Article 1149: "de la pease qu'il a faite et du gain dont it a ete prive".

[24] Cass civ, 2nd ch, 3 November 1971, D, 1972, J, 667, now Deschamps.

[25] Ibid: 'The future, phantom with empty hands who promises all and has nothing".

[26] Cass civ, 2nd ch, 14 October 1992, Bull civ, II, no 241, 120; P Jourdain, "Jurisprudence francaise en matiere de droit civil", RTD civ, 1993, 148.

[27] CL Deschamps, "La reparation du prejudice economique pur en droit francais" in EK Banakas (ed), Civil Liability for Pure Economic Loss, Kluwer (1996) 89 at 93, (text reproduced in (1998) 50 Revue internationale de droit compare 367).

[28] Y Chattier, note under Cass civ, 9 November 1983, and Cass crim, 3 November 1983, JCP 1985, II, no 20360. Unlike its German counterpart, the Cour de Cassation does not normally substitute its decision for that of the lower court.

[29] Cass civ, 2nd ch, 28 April 1982, D, 575 (including the opinion of advocate general Charbonnier).

[30] Ibid. The opinion of the advocate general is not a formal part of the court decision.

[31] Cass civ, 2nd ch, 17 March 1977, D, 1977, 631, note A Robert.

[32] Ibid at 632: "the harm ... is to be attributed to acts of vandalism, ... thus a new risk that does not necessarily follow has been introduced by the very peculiar and exceptional conduct of the thief, which was not reasonably foreseeable".

[33] Cass comet, 17 January 1968, JCP,1969,11, no 15839, note J Stoufflet.

[34] F Grua, "La responsabilit6 civile de celui qui foumit le moyen de causer un dommage", RTD civ, 1994, 1.

[35] Deschamps, now 27 supra at 95: "le caractere personnel du dommage".

[36] Ibid at 96.

[37] Cass civ, 2nd ch, 25 June 1975, RTD civ, 1976, 134, note Duny.

[38] Deschamps, note 27 supra at 96: "le caractere legitime de 1'interet Use”.

[39] Cass civ, 1st ch, 25 June 1991, D, 1991, 566, note Ph le Toumeau.

[40] Herbots, note 18 supra at 52; Fokkema and Markesinis, cited in Markesinis, note 17 supra, p 44.

[41] JP Dawson, "Specific Performance in France and Germany" (1959) 57 Michigan Law Review 494.

[42] See, generally, GH Treitel, Remedies for Breach of Contract: A Comparative Account, Clarendon Press (1988) p 47.

[43] Logically, it follows from this that specific performance is available where it is an express term of the contract

[44] JW Carter and DJ Harland, Contract Law in Australia, Butterworths (3rd ed, 1996) p 885.

[45] For illustrations as to the general proposition that specific performance will not be granted where the courts consider it to be an unjust remedy in the circumstances, see NC Sedden and MP Ellinghaus, Cheshire and Fifoot's Law of Contract, Butterworths (7th ed, 1997) pp 810-11.

[46] Ibid, p 811.

[47] Ibid, p 815.

[48] HK Lucke, "Book Review" (1990.1991) 3 JCL 241.

[49] Ibid at 248.

[50] K Zweigert and H K6tz, An Introduction to Comparative Law, Clarendon Press (3rd ed, 1998) pp 483-4.

[51] See Part M A immediately above.

[52] "Toute obligation de faire ou de ne pas faire se resout en doges et interets, en cas d'inexdcution de la pan du debiteur".

[53] See the discussion of codes and their interpretation in Vranken, note 5 supra pp 35 and 56.

[54] See Dawson, note 41 supra at 496 if.

[55] Aticle 1101 Code civil.

[56] As regards contracts "to give", legal title passes upon a mere meeting of minds of the contracting parties. See the discussion in Dawson note 41 supra at 509-11.

[57] Cass civ, 1st ch, 20 January 1953, D, 1953, 222.

[58] [bid: "Une obligation personnelle de faire ode ne pas faire^".

[59] B Nicholas, The French Law of Contract, Clarendon Press (2nd ed, 1992) p 219.

[60] Cass civ, 3rd ch, 29 November 1972, Bull civ, III, no 642: "Le creancier peut aussi, en cm d'inexecution, titre auto rise a faire executer lui-meme l'obligation aux depens du debiteur".

[61] Cass civ, 3rd ch, 19 May 1981, Bull civ, III no 101.

[62] Cass civ, 3rd ch, 18 January 1972, Bull civ, 11, no 39.

[63] Cass civ, 3rd ch, 7 June 1979, Bull civ, no 124; Cass civ, 3rd ch, 18 February 1981, Bull civ, a no 38.

[64] "La partie envers laquelle l^'engagement n'a point ete execute, a le choix ou de forcer l'autre a l'execution de In convention ..., ou d'en demander la resolution avec dommages et interets".

[65] See the discussion in Dawson, note 41 supra at 513-17; Nicholas, note 59 supra, p 222.

[66] Act no 72-626 of 5 July 1972.

[67] "Kraft des Schuldverhaltnisses ist der Glaubiger berechtigt, von dem Schuldner eine Leistung zu fordern".

[68] JP Dawson, "Judicial Revision of Frustrated Contracts: Germany" (1983) 63 Boston University Law Review 1039 at 1041-5.

[69] Zweigert and Kotz, note 50 supra, p 473.

[70] "Der Schuldner is verpflichtet die Leistung so zu bewirken wie Treu and Glauben mit Rilckricht auf die Verkehrssitte es erfordern".

[71] Dawson, note 41 supra at 529-30.

[72] ZPO, Paragraphs 888 (personal obligations) and 890 (negative ie not to do something or to let obligations, someone else do something).

[73] Treitel, note 42 supra, pp 53-4.

[74] ZPO, Paragraphs 883, 884, 897.

[75] ZPO, Paragraph 885.

[76] ZPO, Paragraph 887.

[77] Zweigert and Kotz, note 50 supra, pp 473-4.

[78] Landsgericht Hagen, Juristische Rundschau, 1948, 314.

[79] Oberlandesgedcht Munich, Monatsschrift fir deutsches Recht, 1955, 682.

[80] Oberlandesgericht Hamburg, Monatsschnft fur deutsches Recht, 1955, 43

[81] TS Ulen, ' The Efficiency of Specific Performance: Toward a Unified Theory of Contract Remedies" (1984-1985) 83 Michigan Law Review 341. See also the discussion in M Richardson and J Sgro, "Game Theory and Remedies for Breach of Contract" in M Richardson and G Hadfield (eds), The Second Wave of Law and Economics, The Federation Press (forthcoming, 1999) p 50.

[82] [1932] UKHL 100; [1932] AC 562; [1932] All ER 1.

[83] [1969] VR 136.

[84] Ibid at 140-1 (emphasis added).

[85] [1977] HCA 64; (1977) 138 CLR 91.

[86] The expression is borrowed from M Davies, Torts, Butterworths (1995) p 174.

[87] Robertson v Swincer [1989] SASC 1758; (1989) 52 SASR 356 at 360, 362.

[88] Smith v Leurs [1945] HCA 27; (1945) 70 CLR 256.

[89] See the discussion in M Vranken, "Duty to Rescue in Civil Law and Common Law: Les Extremes se Touchent?" (1998) 47 ICLQ 934.

[90] J Feinberg, The moral Limits of the Criminal Law: Volume one: Harm to Others, Oxford University Press (1984) p 126.

[91] This qualification to the general duty to rescue was articulated by the Cour de Cassation in the 1924 case of Companie des Messageries maritimes, Cass civ, 24 December 1924, D, 1925, 120.

[92] A Tunc, "Abstention delictueuse", pars 34 in D nouveau rep 1947, 8, as cited in 'Me Failure to Rescue: a Comparative Study" (1952) Colum LR 631 at 640.

[93] See the discussion of criminal proceedings in C Dadomo and S Farrar, The French Legal System, Sweet and Maxwell (2nd ed, 1996) p 192.

[94] Cass crim, 19 June 1996, decision no 2822, Bull crim no 260; D, 1997, somm 142, note J Pradel.

[95] Cass civ, 27 February 1951, D, 1951, 329, now H Desbois.

[96] Vranken, note 5 supra, p 132.

[97] K Larenz, Lehrbuch des Schuldrechts, I, Beck (14th ed, 1987) p 457 as cited in W van Gerven, J Lever, P Larouche, C von Bar and G Viney, Common Law of Europe Casebooks. Torts: Scope of Protection, Hart Publishing (1998) pp 61-2.

[98] F Tetre, P Simler and Y Lequette, Droit civil: Les obligations, Dalloz (6th ed, 1996) pp 566-8.

[99] See the discussion in Vranken, note 5 supra, pp 217-21.

[100] W van Gerven, "Foreword", note 97 supra, p v.

[101] [1987] UKHL 3; [1987] 2 WLR 480 (HI,) at 511.

[102] See the quote from Kahn-Freund at the start of the article.