Commercial Law Updates

 On 28 October 2022, the Supreme Court of Fiji confirmed that Total (Fiji) Limited (TOTAL) is liable under Fiji law as a polluter. (CIVIL PETITION NO. CBV 0007 of 2020) (Supreme Court Judgment)

Fiji’s Supreme Court Judges were unanimous in their opinion that TOTAL had been negligent and caused a “pollution incident”. The Supreme Court Judgment upheld the Fiji Court of Appeal’s unanimous Judgment (CIVIL APPEAL NO. ABU 90 OF 2018) that found TOTAL had caused a pollution incident as defined by section 50 of the Environment Management Act, 2005. 

Together, Fiji’s Court of Appeal and Supreme Court Judgments against TOTAL provide significant environmental law jurisprudence for Fiji and demonstrate that the “polluter pays principle” is established in Fiji common law. Amongst other things, the Supreme Court Judgment rejected TOTAL’s interpretation of section 50 of the Environment Management Act, and directed that damages be assessed against TOTAL under 5 separate heads of damages. 

TOTAL did not accept the higher Court Judgments and as a dissatisfied litigant, chose to file an application to challenge the Supreme Court Judgment pursuant to section 98(7) of the Constitution of Fiji. TOTAL’s challenge to the Supreme Court Judgment may be unprecedented in the context of civil litigation in Fiji. 

TOTAL’s challenge was heard by Fiji’s Supreme Court on 13 April 2023, and on 5 April 2024 the Supreme Court by unanimous decision rejected TOTAL’s challenge.

This article provides a summary of the exceptional circumstances under which the final judgment of Fiji’s highest court, the Supreme Court, may be challenged. Any challenge to the Supreme Court must be considered with extreme caution as the dissatisfied litigant challenges the public interest that litigation should reach a final conclusion.

On 26 January 2024, and following broad consultation, Fiji’s Department of Energy launched Fiji National Energy Policy 2023-2034 (NEP) which sets out an ambitious implementation plan under the leadership and coordination of the Department of Energy to meet Fiji’s international climate change targets and align with Sustainable Development Goal 7 (SDG 7).

The Immigration (Amendment) Act 2023 and the Immigration (Exemption by Descent) Order 2023 came into effect on 10 October 2023. These legal amendments extend the category of persons who are entitled to enter, reside and work in Fiji without a permit.

The Immigration (Amendment) Act 2023 applies to any person who is registered in the Vola ni Kawa Bula (VKB) - an official record of indigenous or iTaukei Fijians born in Fiji and maintained by the iTaukei Lands and Fisheries Commission that record entitlement by birthright to land and associated resource rights.

The Immigration (Exemption by Descent) Order 2023 applies to any person who is not a citizen of Fiji but is a child, grandchild or great grandchild of any person that was a citizen of Fiji on 10 October 1970 - defined as a (“principle citizen”).

In this legal bulletin we provide a brief explanation of these legislative changes and include important points to note about their application and effect.

The Fiji government has, via Public Notice rescinded the public health restrictions that impacted businesses and travelers to Fiji. These changes to public health measures have retrospective effect.

In this legal alert, we briefly update on the recent changes to public health requirements.

On 03 June 2021, the Parliament of Fiji passed the Public Health (Amendment) Act 2021. The Amendment Act introduces amendments (amendments) to Part 7 of the Public Health Act of 1935 (the Act) which deals with all matters relating to infectious diseases.

While the background and explanatory notes of the amendments relate largely to the current Covid-19 coronavirus outbreak, the amendments in fact relate to all infectious diseases under Part 7 of the Act including Covid-19.

In this commercial law update we explain the amendments and provide our comments in relation to the amendments by way of guidance and to assist in the current situation that requires all Fijians to work together to do what we can to reduce the transmission of this virus and get back to the way we want to.

A recent judgment of the High Court of Fiji has discussed and clarified the operation and legal effect of defect liability clauses in construction contracts.

This Judgment adds to Fiji's jurisprudence for construction law and emphasizes the importance of construction law contracts particularly when things don't go to plan.

We provide a short update in relation to important legal points that have arisen from the High Court's Judgment. The Judgement was also reported in Fiji's national press here

The Fiji government's response to the public health crisis posed by Covid-19 has been swift, and remarkable. At the time of writing this response based on WHO advice has reduced the known cases of Covid 19 in Fiji to 3 active cases bringing the number down from a peak of 18. This is a notable achievement, but Fiji's success has come with a steep economic cost.  

In our firm's guidance to employers on 18 March 2020 (available here) published just before Fiji confirmed its first Covid-19 case, we noted that employers and employees may find solutions together to respond to the unprecedented situation. This is based on the premise that employers and employees have the option to work together in good faith to find compromises to employment relationships within the law. The unfortunate reality is that if an employer cannot afford meet wage obligations then employment will end for one reason or another. A little over 2 months after Fiji's first Covid-19 case many of us are aware of a number of Fiji employers who have had no choice but to terminate employment contracts, follow redundancy processes or seek to reduce wages. In exercising all of these options the employer still has the duty to act in good faith. 

On 28 May 2020, the Government of Fiji introduced a Bill before the Parliament of Fiji, Bill No. 12 of 2020, that has passed into law as the Employment Relations (Amendment) Act 2020 (“Amendment”). The Amendment has changed Fiji's employment law with the aim of addressing difficulties faced by businesses due to COVID-19. The intention behind the Bill was explained in the explanatory note to the Bill as “to provide for a more realistic work environment which enables the sustainability of jobs and businesses, and to clarify the meaning of “an act of God” in the Act during the COVID-19 period”.

This commercial law update outlines some of the major changes that this Amendment has made to the law, and how it relates to other sections of the Employment Relations Act 2007 (“ERA”) such as termination of employment and redundancy. 

This article is for information purposes only and is not and should not be relied upon as legal advice. We strongly recommend that any employer or employee concerned about an employment law problem or issue should seek legal advice.

Everyday life has been severely impacted by COVID-19, and even after the pandemic eases or ends we will have to adjust to new ways of conducting ourselves and our businesses. These are likely to include new methodologies to prepare ourselves better to ensure continuity of businesses, and safeguard the livelihoods of employees.

During these testing times, it is easy to overlook important deadlines, legal obligations and those terms and conditions under a contract which continue to run uninterrupted, and the fulfilment of which may be rendered impossible. This commercial law guidance briefly reviews what options may be available under a contract should businesses face difficulty in performing their contractual obligations.

Please note we provide general guidance only regarding commercial contractual obligations in the context of the current pandemic. This guidance does not cover employment contracts as these should be considered separately in accordance with the Employment Relations Act 2007.

At the time of writing there are no confirmed cases of Covid-19 in Fiji (following publication of this guidance, Fiji confirmed its first case on 19 March 2020). However the effects of the Covid-19 pandemic are being felt in Fiji and particularly in the tourism sector. Through urgent action to prioritise public health that includes stringent measures to limit contact between people, certain countries or regions have been able to control the spread of Covid-19. However, the economic consequences of these sensible measures have been severe and sudden.

It is uncertain how long this period of economic downturn will last, and in this time businesses will have to adapt to survive by exploring innovative options that may include more remote working, less person to person meetings and individuals taking more responsibility to safeguard one another. Employers also have a duty to provide a safe working environment.

In this legal bulletin we provide general guidance from an employment perspective to assist employers and employees to do what they can to minimise the effects of the economic downturn and work within the requirements of Fiji employment law. This is provided from our firm as a small contribution to the current situation and while we hope it is of assistance, please note that it is provided for general guidance purposes only, and it is not intended to be, and nor should it be taken as, a substitute for legal advice.

A unanimous decision of Fiji’s Court of Appeal Ramendra Prasad v Total (Fiji) Limited, Civil Appeal No. ABU 90 of 2018, 28 February 2020 (Lecamwasam, JA, Almedia Guneratne, JA, Jameel, JA) has found Total (Fiji) Limited (“TOTAL”) negligent and liable for a fuel leak that was discovered in September 2008 close to Nausori on the island of Viti Levu, in Fiji.

In finding TOTAL negligent, liable and responsible for an underground fuel leak, Fiji’s Court of Appeal has affirmed Fiji’s Environment Management Act, 2005, and the principle “polluter pays” as well as affirming the actions and findings of Fiji’s Department of Environment.

In this legal update we focus on the key legal principles affirmed by the Court of Appeal as they are significant in terms of Fiji’s environmental jurisprudence and good governance.