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2008-2009 THE PARLIAMENT OF THE COMMONWEALTH OF AUSTRALIA HOUSE OF REPRESENTATIVES FOREIGN STATES IMMUNITIES AMENDMENT BILL 2009 EXPLANATORY MEMORANDUM (Circulated by authority of the Attorney-General, the Honourable Robert McClelland MP) FOREIGN STATES IMMUNITIES AMENDMENT BILL 2009 OUTLINE The Foreign States Immunities Act 1985 (the Act) provides a regime for the immunity of foreign States from the civil jurisdiction of Australian courts. This immunity is subject to various exceptions listed in the Act. These exceptions include proceedings concerning the death of or personal injury to a person, or loss of or damage to tangible property, caused by an act or omission that occurs in Australia. The purpose of this Bill is to amend the Act to enable a foreign State and its emergency management personnel to be immune in tort proceedings under the Act for acts or omissions that occur in the course of the foreign State providing emergency management assistance to Australia. The Bill will amend the Act to empower the Governor-General to make regulations modifying its operation with respect to a foreign State assisting the Australian Government or a State or Territory Government to manage domestic emergencies or disasters (whether natural or otherwise). This amendment would authorise regulations to be made lifting what would otherwise be an exception to the foreign State's immunity in proceedings concerning the death of or personal injury to a person, or loss of or damage to tangible property. The Bill will facilitate the provision of vital resources to the Australian Government and State and Territory Governments as it removes a barrier to the conclusion of agreements with other countries for the exchange of emergency management resources, including personnel and/or equipment. While the proposed amendment would limit the ability of individuals to sue a foreign State or its personnel, the provision of this immunity would not negate any liability of the Australian Government or State and Territory Governments. Further, as the immunity will only apply to acts or omissions of the foreign State in the course of providing emergency management assistance or facilities, any negligence by a foreign official outside of their duties would remain subject to the jurisdiction of the Australian courts. The immunities under the Act also do not apply in any criminal proceedings. The existence, or occurrence, of an emergency or disaster will not be a precondition to the use of the regulation making power. The regulation making power will cover foreign States that send their personnel and/or equipment to participate in the ordinary course of emergency management activities, including preparatory and preventive activities, prior to the actual occurrence of an emergency or disaster. This amendment is consistent with the Australian Government's commitment to strengthen our capacity to withstand disasters and emergencies in order to protect the safety and security of all Australians. FINANCIAL IMPACT STATEMENT The proposed amendments will not have any budgetary implications for the Australian Government. NOTES ON CLAUSES Clause 1: Short title 1. This clause is a formal provision specifying that once enacted the short title of the Bill will be the Foreign States Immunities Amendment Act 2009. Clause 2: Commencement 2. This clause provides that the Bill will commence on the day after it receives Royal Assent. Clause 3: Schedule(s) 3. This clause provides that each Act that is specified in a Schedule is amended or repealed as set out in the applicable items in the Schedule and that any other item in a Schedule has effect according to its terms. Schedule 1 - Foreign States Immunities Act 1985 Item 1 - Subsections 42(1) and (2) 4. Item 1 amends subsections 42(1) and (2) of the Act which permits the Governor-General to make regulations in certain circumstances. The amended provision will provide that it is the Minister who is to form the opinion that an immunity or privilege conferred under the Act should be modified in relation to a foreign State before the Governor- General exercises his or her power to make regulations under the Act. 5. The purpose of this amendment is to align the provisions with current Commonwealth drafting policy. Item 2 - After section 42 6. This item inserts a new section 42A after section 42 of the Act to be called 'Extension of immunities - emergency prevention and management'. 7. Section 13 of the Act currently provides that a foreign State is not immune in a proceeding in so far as the proceeding concerns the death of or personal injury to a person, or loss of or damage to tangible property, caused by an act or omission done or omitted to be done in Australia. 8. This new section would allow the Governor-General to make regulations excluding or modifying the operation of section 13 of the Act so that a foreign State which is providing assistance to Australia in Australia's management of domestic emergencies or disasters is immune from the type of proceedings referred to in that section. 9. New subsection 42A(1) provides that before the Governor-General makes a regulation, the Minister must be satisfied that the foreign State, or a separate entity of the foreign State, is providing, or is to provide, assistance or facilities to the Australian Government or any of the State or Territory Governments for the purposes of preparing for, preventing or managing emergencies or disasters in Australia. 10. The scope of the regulation making power is limited to emergencies or disasters which occur, or which may occur, in Australia. 11. The provision is expressed to apply to a foreign State, or a separate entity of a foreign State. A separate entity of a foreign State is a person or body corporate (not being an Australian national or corporation) acting as an agency or instrumentality of the foreign State. It may include State-owned corporations where these act as agencies for the State. 12. New subsection 42A applies to a foreign State whether the foreign State offers assistance in the form of emergency management personnel and/or equipment in general. An emergency or disaster does not need to actually exist, or have occurred, in order for the Minister to be satisfied that a foreign State is providing, or is to provide, assistance or facilities for the purposes of preparing for, preventing or managing emergencies or disasters in Australia. For example, the Governor-General may make regulations to cover foreign States that send their personnel to participate in emergency prevention and management activities, for example training activities, prior to any situation actually becoming a domestic emergency. 13. If the Minister is satisfied that subsection 42A(1) applies, new subsection 42A(2) will enable the Governor-General to exclude or modify the application of section 13 of the Act. For example, the Governor-General may exclude the application of section 13 in whole, or in part, to a foreign State with respect to personnel assisting in the prevention or management of bushfires. This regulation making power would be used, for example, where a reciprocal agreement exists between the Australian Government, or the Government of a State or Territory, and a foreign State.