Lawyers believe the ruling could spark more claims
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The Court of Appeal has upheld a High Court decision to allow dock workers with asbestos related illnesses to sue the government for compensation.
Former docker Robert Thompson and dockers widow Winifred Rice, both from Lancashire, have brought the action.
Last year the High Court ruled the Department of Trade and Industry (DTI) was responsible for dockers' safety in the 1950s and 1960s.
The DTI appealed to try to block compensation claims, but lost the case.
Government responsible
Mr Thompson, 65, of Scarisbrick, near Southport, won the right to take legal action along with widow Mrs Rice from Ormskirk , whose husband died of asbestos related cancer in 2000.
Lawyers acting for the DTI, which now has responsibility for the former dock labour boards, argued the boards were not employers, but simply hired and arranged labour for shipping companies.
The DTI took the case to the Court of Appeal to reverse the decision and had it been successful it would have blocked compensation claims.
But after Wednesday's ruling dockers can be compensated by the government, instead of having to track down dock labour boards that no longer exist.
John Flanagan, Training & Information Officer for Merseyside Asbestos Victims Support Group (MAVS), welcomed the decision saying it was simply "common sense" to secure proper compensation for victims of asbestos.
"These same workers made a substantial contribution to today's society with the back breaking work on docks all over the UK.
"In particular, Liverpool Docks which was one of the main UK ports for the importation of asbestos." He added.
It is thought the ruling could spark a flood of compensation claims from former dock workers.