The state government of Victoria is the responsible authority for the Wessex airport. This airport was originally far away from any houses but new residential developments have been approved over the years and now the airport is surrounded on all sides by private homes.

Six months ago, shortly after taking off, an aeroplane developed engine trouble. It had to circle back to the runway and make an emergency landing. Concerned residents are now warning that a major disaster is clearly foreseeable. They say that sooner or later an aeroplane will crash onto houses and kill innocent people. They urge the state government to take whatever action is necessary to prevent such an event from occurring. They say that unless the government takes action, it will be liable in Negligence should a disaster occur.

The state government wants to know what liability might exist in these circumstances. It does not deny that there is a duty of care. But it wants to know what it should do to avoid breaching that duty. This involves balancing various factors. These factors are explained in the following pages in this section.