A vehicle has a 'defect' for the purposes of s 3(1)(a)(iv) of the Motor Accidents Act 1988 (NSW) where it is not fit for the purpose for which it was designed or the use to which it was intended to be put, applying the test from the Employers' Liability Act authorities. The absence of mechanical aids on a trailer designed for single-worker operation constitutes such a defect. A self-insured employer's liability to an injured worker is a primary obligation, while the CTP insurer's obligation to indemnify the employer is secondary; accordingly, the liabilities are not co-ordinate and the employer is entitled to full indemnity, not merely contribution.
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