The Secretary to the Postmaster-General's Department has forwarded a file of papers relating to damage caused to a postal article by leakage from a parcel of eggs sent by post, the contents of which had become broken, and has requested advice as to the validity of sub-regulation (1) of regulation 220A of the Post and Telegraph Regulations.

The Deputy Crown Solicitor, Sydney, was requested by the Deputy Postmaster-General, Sydney, to advise upon the question whether the Postmaster-General was entitled to recover compensation from the sender of the eggs for the damage caused by the eggs to other postal articles. The Deputy Crown Solicitor expressed the opinion that, as the Postmaster-General had not in fact sustained any damage, and had not incurred any legal liability to the person whose goods were damaged, regulation 220A would not be held to confer upon the Postmaster-General a legal right to recover any compensation from the sender of the eggs, or conversely to impose a legal liability upon the sender of the eggs to pay reasonable compensation to cover the damage done to other postal articles.

The Crown Solicitor, however, disagreed with the opinion of the Deputy Crown Solicitor and expressed the opinion that regulation 220A is valid and that the question asked by the Deputy Postmaster-General, Sydney, should be answered in the affirmative.

The Deputy Crown Solicitor informed the Deputy Postmaster-General to that effect, and suggested that, as the question was one of general importance in the administration of the Post and Telegraph Act, the question was one which might be submitted for further advising through the general administration of the Postmaster-General's Department.

On the request of this Department, the Crown Solicitor furnished a full statement of his view of the case and advised to the same effect as his previous opinion. Regulation 220A(1) provides as follows:

The sender of a parcel containing a liquid or semi-liquid substance or a substance which may become liquified while in transit through the post shall be liable to pay to the Postmaster-General reasonable compensation in the event of the liquid or substance escaping and damaging other postal articles. By section 97 of the Post and Telegraph Act, power is given to make regulations, inter alia, providing for the conditions under which parcels may be received, transmitted, delivered, returned to senders or otherwise disposed of. Sub-regulation (1) of regulation 220A is, I think, a regulation providing for such a condition.

I am, therefore, of opinion that regulation 220A(1) of the Post and Telegraph Regulations is valid.

[Vol 17, p. 45]