WHAT HAS THE HIGH COURT RULED?
* The Catholic Church's Ballarat diocese is not vicariously liable for the sexual abuse of a young boy by one of its priests
* This overturns a previous ruling by Victoria's Supreme Court that found the diocese had been liable
* The High Court ruled the relevant legislation did not provide a basis for imposing vicarious liability because the abusive priest, Father Bryan Coffey, was not an employee of the church
WHAT DOES THE CASE INVOLVE?
* A man, known as DP in court documents, said he was sexually assaulted by Coffey at his parents' home in Port Fairy in 1971 when he was five years old
* Coffey, who is now dead, received a three-year suspended sentence in 1999 after being convicted of charges including indecent assaults children and false imprisonment
* DP later sued the diocese and its current bishop Paul Bird and made a claim for more than $1.5 million for loss of earnings as a result of the assaults but was awarded $230,000
WHAT IS VICARIOUS LIABILITY?
* Vicarious liability means employers can be legally responsible for acts of discrimination or harassment that occur in the workplace relating to a person's employment
* It is usually reserved for employers responsible for the wrongful or negligent actions of their employees, regardless of whether the organisation was at fault
* The Victorian courts had extended that to the church, finding Coffey was still a "servant of the diocese" and through the role had the "power and intimacy" to abuse children
* The latest decision ruled the lower courts had overreached
WHAT IS THE CONSEQUENCE OF THIS DECISION?
* Legal and victim-survivor advocate groups are concerned the decision will mean churches and institutions can avoid responsibility for child abuse in some cases
* There are calls for governments to introduce legislation to make churches liable
WHERE ARE CHURCHES HELD VICARIOUSLY LIABLE?
* The decision puts Australia at odds with similar jurisdictions such as the UK and Canada which allowed institutions to be held vicariously liable for abuse that occurred on their watch
