---
title: "Keep the New South Wales non-economic-loss threshold off the safety-defect claim"
url: "https://ailawframework.com/practice/personal-injury-and-compensation/work-out-which-damages-rules-apply-to-a-safety-defect-injury/new-south-wales"
type: "task_jurisdiction_version"
site: "AI Law Framework"
id: "A21-PR20261023-6-NSW"
practice_area: "Personal Injury & Compensation (workers compensation, CTP/TAC, medical negligence)"
tier: "red"
lawyer_review: "required"
jurisdictions: ["NSW"]
last_reviewed: "2026-10-25"
---

# Keep the New South Wales non-economic-loss threshold off the safety-defect claim

> List the heads of loss and the tests the lawyer names. Keep Part VIB on the Part 3-5 claim. Put Civil Liability Act s 16 only on a fault claim. Do not write the advice or state a current dollar cap.

Canonical page: https://ailawframework.com/practice/personal-injury-and-compensation/work-out-which-damages-rules-apply-to-a-safety-defect-injury/new-south-wales  
Last reviewed: 2026-10-25

Site index for agents: https://ailawframework.com/llms.txt

## Key facts

| Fact | Value |
| --- | --- |
| Practice area | [Personal Injury & Compensation (workers compensation, CTP/TAC, medical negligence)](https://ailawframework.com/practice/personal-injury-and-compensation.md) |
| Human involvement | Red: Lawyer writes; AI may check, clarify or collect data |
| How AI is used | List the heads of loss and the tests the lawyer names. Keep Part VIB on the Part 3-5 claim. Put Civil Liability Act s 16 only on a fault claim. Do not write the advice or state a current dollar cap. |
| What the lawyer must review | Write the advice. Part VIB applies to the Part 3-5 claim through s 87E, in this court or the Federal Court. Allow no non-economic loss under section 16 unless severity is at least 15 per cent of a most extreme case. Do not use $350,000 as the current cap. The section prints $350,000 and indexes it. Do not apply s 16, or s 275, to the Part 3-5 claim. |
| Written for | New South Wales |
| Applies to | [Work out which damages rules apply to a safety-defect injury](https://ailawframework.com/practice/personal-injury-and-compensation/work-out-which-damages-rules-apply-to-a-safety-defect-injury.md) |

## Checking plan

**Lawyer-led judgement**

Part VIB travels with the Part 3-5 claim. Section 16 is the New South Wales fault-claim threshold. The printed maximum is indexed. The lawyer writes the advice and uses the order in force.

- What the AI does: List the heads of loss and the tests the lawyer names. Keep Part VIB on the Part 3-5 claim. Put Civil Liability Act s 16 only on a fault claim. Do not write the advice or state a current dollar cap.
- What the lawyer does: The lawyer writes which New South Wales damages rules apply.
- Who reviews: Lawyer competent in this practice area
- Basis: Checked against the linked sources on 23 October 2026. Confirm the current instrument before reliance.

## Checks the lawyer makes

1. Confirm the 15 per cent floor before any non-economic loss on the fault claim.
2. Do not state a current dollar figure for s 16 or for s 87M.
3. Section 87S says that if non-economic loss is less than 15 per cent of a most extreme case, the court must not award personal injury damages for non-economic loss. Section 87E applies that Part to a proceeding under the Australian Consumer Law that relates to Part 3-5 and in which the plaintiff seeks personal injury damages. Section 87S is a different provision from section 16.
4. If a submission is filed, verify citations other than by the tool alone.

## Notes

- Practice Note SC GEN 23 and District Court General Practice Note 2 prohibit generative AI from generating affidavit content, and require leave before it drafts an expert report. Draw the note to the expert.
- The s 16 table and rounding were read. The indexation order was not opened.

## Practical guide

Jurisdiction: A New South Wales fault claim beside a Part 3-5 claim

**Deliverable**: The lawyer's note of which threshold applies to which cause of action.

**Inputs**

- The causes of action pleaded
- The injury summary accepted by the lawyer

**Example**: Illustrative example: Severity on the fault count is argued at 20 per cent of a most extreme case. The lawyer uses s 16 for that count only, and does not treat the printed $350,000 as this year's maximum.

**Stop and escalate when**

- Section 16 is applied to the Part 3-5 claim.
- A current dollar cap is stated without the indexation order.

Checked 2026-10-23.

## Sources

- [Civil Liability Act 2002 (NSW), s 16](https://classic.austlii.edu.au/au/legis/nsw/consol_act/cla2002161/s16.html) (checked 2026-10-23)
- [Competition and Consumer Act 2010 (Cth), s 87E and s 87S](https://classic.austlii.edu.au/au/legis/cth/consol_act/caca2010265/s87s.html) (checked 2026-10-23)

*Practice guidance for planning and review. Confirm current primary sources and the requirements of the actual matter. This is general information, not legal advice.*