A mesothelioma victim is bringing a landmark legal case against the Commonwealth.

New South Wales man Chris Georgiou says he got mesothelioma from exposure to “Mr Fluffy” loose-fill asbestos in his home, and is suing the Federal Government for negligence because it failed to stop the installation or warn residents.

The case has come before the New South Wales Dust Diseases Tribunal, and Mr Georgiou’s lawyer says if it is successful, the case may pave the way for many more claims.

Mr Georgiou is a retired jeweller who hid valuable items in his roof space because he did not own a safe.

“I didn't want to have them in the house. So I hid them in the roof, on top of the fluffy asbestos,” he told the ABC.

“I used to use a ladder or a chair and I would put my hand in. So I was touching the asbestos.”

He also entered roof space several times to install pink batts and aluminium foil with his son, who he believes may also be stricken with the deadly disease.

“It's a hidden sickness. I don't know how long it will take him to know he's safe. How does he know he's safe?” Mr Georgiou asked.

Mr Georgiou bought the house in Canberra with his wife in 1978.

In 1992, the family moved out so that the ACT Government could remove the loose-fill asbestos.

Mr Georgiou sold the house in 2003, and in 2013 he was diagnosed with mesothelioma.

He claims his breath is short breath and fluid on his lungs must now be drained regularly.

“It's devastating because since I retired and I sold the shop, I had the best time - the best time in my life,” Mr Georgiou said.

In their statement of claim, Mr Georgiou's lawyers argue that the Commonwealth breached its duty of care, because it was warned back in 1968 that asbestos insulation in houses was dangerous.

“In mid-1968, the ACT Health Services Branch, then a Commonwealth body, requested Mr Gersch Major, a physicist, to investigate the possible hazards that might arise from the installation of asbestos fibre insulation in houses in the ACT,” the statement read.

“The men doing the insulation work were exposed to excessive asbestos dust and it was unwise for them to be working with this material,” Mr Gersch’s report said after he inspected two houses in the ACT.

Mr Gersch even suggested that the Government should consider stopping Dirk Jansen - owner of the Mr Fluffy company - from operating.

The statement says that by the time the asbestos was installed in Mr Georgiou's house (beginning in 1975) the health dangers of asbestos and the fact it can cause mesothelioma was even better-known.

“The Commonwealth knew, or ought to have known, of the risk of harm to residents of houses such as the Macgregor house, including the plaintiff, if it did not exercise its powers,” the statement

Comcare is yet to file a statement in reply.

Mr Georgiou's lawyer is Theodora Ahilas, head of the asbestos litigation unit at Maurice Blackburn Lawyers.

She says his is an important test case.

“Mr Georgiou is a robust 80-plus [year old] gentleman living his golden years diagnosed with an insidious disease known as mesothelioma, which is a disease which is only caused by asbestos exposure,” she told the ABC.

“Unfortunately there is no known threshold for exposure giving rise to mesothelioma.

“Any exposure to asbestos can give rise to mesothelioma.

“It's something that shouldn't have happened to Mr Georgiou or anyone else.

“It is a cancer of the lining of the pleura. It is generally a fatal condition. It is a preventable disease [and] we have the highest incidence of it in the world.

“It's a very important issue to address these days because as we have more exposure to DIY home renovations, it's important to identify that any exposure like this could give rise to a disease like this in the future.

“We've seen the beginning but I don't think we've seen the end of this type of case,” she said.