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David is an experienced fireman with the NSW Fire Brigades. On 1 December 2009, he was ordered by his supervisor to drive a fire engine vehicle at a very high speed along a country road with the lights flashing and bell sounding. David could see the driver of the car ahead, Peter, had become agitated, but he kept going. Peter, without wearing a seat belt, panicked in trying to make room for the fire engine and collided with a lamp post. Fortunately, Peter was not seriously hurt but was taken by an ambulance to a nearby hospital for examination. On the way, the ambulance was involved in another car accident and Peter sustained two broken legs. Peter would like to claim for medical expenses of $10,000 and loss of income of $20,000 while the injury subsisted. Advise Peter of his legal rights in tort.
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Existing machine Purchased 3 years ago Cost=22,000 Installation= 3000 Depreciation=3 years using the MACRS - 5 year Recovery schedule Current market value=10,000
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